While calculating the payments, the court should take due consideration of the provisions stated in the labor law regarding the effects of termination of a contract unlawfully.
A suit entertained in the Cassation bench affirms the above. the suit was between the applicant Kumsa Bejisa and defendant National Tour and Travel agency. The applicant had been working for the defendant company as a driver for the past 24 years. The claim of the applicant was that the employment contract was terminated unlawfully that proper payments had to be made.
The Federal First Instance Court came to the decision that the termination was unlawful. But the only payments it ordered were 14 days of wage and an additional two months salary payment, for delay. It also gave the applicant the right to bring claim to the court if severance pay and pension right was not respected and enforced.
The Federal High Court upon appeal also decided to enforce the lower courts decision.
The applicant presented the case to the Cassation bench claiming this was a fundamental error of law. The Cassation bench came to realize the lower court had decided the termination of employment was unlawful but the payments it ordered were not all the payments demanded by the plaintiff. But after a court decided the fact that the termination was unlawful, it keeping silent on the effects is not a proper way to go and hence not in accordance with the law.Having said that the bench modified the lower courts decisions.
Generally what one can grasp from this suit is that when ever a court renders a decision on unlawful termination of a contract it should consider the right of the employee to get compensated and that industrial peace is properly safeguarded. Hence in cases where it’s proved that the termination of the contract is unlawful all payments regarding the unlawful termination should be made to the employee.
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