Under Article 3(2) (c) of the Ethiopian Labour Proclamation clearly stipulates that the labor law doesn’t apply to those people who are at managerial positions. But will this provision apply to people who are working as managerial employees on a temporary basis? 

The suit between the applicant, Commercial Bank Ethiopia and defendant Ato Mulat Tarekagn was concerned with the same issue. As the claim was presented to the First Instance Court shows the defendant had been working for the applicant since 1972 but he was discharged on the grounds of not discharging his responsibilities properly. So he claimed the termination of employment was illegal and requested the court to order his return back to his work place. 

The First Instance Court rejected the claim stating that since the defendant is working in the managerial status, it had no jurisdiction to try the case. 

The defendant appealed his claims to the High Court. The court, after pointing out the defendant worked at the managerial position on a temporary cases, stated that the defendant cannot be considered to be a managerial staff hence it rejected the lower courts decisions.

The applicant, grieved by the courts decision appealed to the Cassation bench. The bench came to see that the defendant was getting all the benefits arising from the particular position and that he took full responsibility to undertake the task.  

The proclamation for the amendment of Labor Proclamation No. 494/2006 under Art.3(C) stipulates that a managerial employee is a person who’s vested with power to lie down and execute management policies by law. The provision doesn’t set out any exception for temporary managerial employees. 

So, the bench rejected the decision of the High Court since the defendant fulfills the requirements of a managerial employee. 

Thus any managerial employee, either at permanent or temporary basis, will not be subjected to the provisions of labor proclamation. 

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