EMPLOYMENT REGULATED BY STATUTE

REPUDIATION BY ONE PARTY DOES NOT TERMINATE THE CONTRACT EXCEPT WHERE ACCEPTED

In Heyman v. Darwins Ltd. (1949) AC. 356, 361 Viscount Simon L.C. said, “But repudiation by one party standing alone does not terminate the contract. It takes two to end it, by repudiation on the one side, and acceptance of the repudiation on the other.” The proposition is founded on the elementary principles of the formation and discharge of contractual obligations. Where there is a unilateral repudiation of a contract, this is treated as an officer by the guilty part to the innocent party of the termination of the contract. It is the acceptance of the officer by the innocent party which acts as a discharge of the contract. – See Hochster H v. De La Tour (1853) 2 F& B. 678; Johnstone v. Milling (1886) 16 QBD 460. It is then open to the innocent party to sue only for damages since by his acceptance of the repudiation the contract comes to an end. Hence where the innocent party refuses to accept the repudiation the contract remains in existence.

NATURE OF A STATUTORY EMPLOYMENT – CONDITIONS

Statutory employment has been explained to mean an employment in which the procedure for employment and discipline are governed by statute. See Nigeria Institute of International Affairs v Mrs. T.O. Ayanfalu (2007) 2 NWLR (Pt. 1018) p. 246. In addition to the above, it is the position of the law that it is not all persons employed by a statutory body or government agency that is in a statutory flavored employment. Uwa JCA, explained this in Federal Medical Centre, Ido-Ekiti & Ors. v Isaac Olukayode Olajide (2011) LPELR-4150 (CA), when he held thus: “In agreement with the submissions of learned counsel to the 1st set of appellants to the effect that for an employment to be held to have statutory flavour the following conditions must be met: 1) The employer must be a body set up by statute. 2) The establishing statute must make express provisions regulating the employment of the staff of the category of the employee concerned. In a plethora of legal authorities in recent times, the Apex Court has given a clear distinction between employment with statutory flavour and other employment. In employments covered by statute, procedures for employment and discipline (including dismissal) of an employee are clearly spelt out, whereas any other employment outside the statute is governed by terms under which parties agreed to be master and servant.”

— Adewemimo J. Afariogun v FUTA (2020) – NICN/AK/41/2017

EQUAL SALARY FOR EQUAL WORK CANNOT BE APPLIED WHERE PAYMENT SOURCES ARE DIFFERENT

Para. 30: “Indeed, the principle of equality of salary, which implies the elimination of salary discrimination based on whatever criteria that may relate to the person of the salaried worker, does not apply to the diversity of the sources of remuneration. Here, the salaries proposed by the Defendants are to be paid, not from the funds of the Commonwealth, but from the budget of the Defendants themselves. This was what was established as a principle, by Court of Justice of the European Union, in the 17th September 2002 Judgment on Lawrence and Regent Office Care Ltd. & Others (Report 1-07325-C.C.E.E.) when it stated that “the principle of equal work, equal salary, does not apply when the observed disparities in remuneration cannot be attributed to a single source’.”

— Essien v. The Gambia (2007) – ECW/CCJ/JUD/05/07

AN EMPLOYEE IS ENTITLED TO KNOW THE REASON FOR HIS DISMISSAL

The ILO Termination of Employment Convention 1982 (No 158) is yet to be ratified by Nigeria. It is however evidence of international labour standards, and international best practice in termination of employment which this Court is obligated to apply; and its recommendations that an employee is entitled to be informed of the reason for the termination of his employment. Section 7 (6) of the National Industrial Court Act 2006 empowers the Court to have due regard to good or international best practices in labour or industrial relations, and what amounts to good or international best practices in labour is a question of fact. Section 254C of the 1999 Constitution (as amended) has empowered this Court to determine whether the Claimant was terminated for a valid reason or for no reason. It is not globally acceptable in industrial relations and practice to terminate the employee’s employment without adducing any reason for doing so, see Petroleum and Natural Gas Senior Staff Association of Nigeria v Schlumberger Anadrill Nig Ltd [2008] 11 NLLR (Pt 29) 164, Aloysius v Diamond Bank Plc [2015] 58 NLLR 52, Uzo Ejekwumadu v Blue Arrow TSW Ltd (unreported) Suit No: NICN/LA/242/2016 judgement delivered March 18, 2021. It is contrary to international labour standards and international best practices for an employer to terminate the employment of its employee without any reason or justifiable reason that is connected with the performance of the employee’s work. This is also contrary to the International Labour Organisation (ILO) decent work agenda with the four strategic objectives of the promotion of rights at work, employment, social protection, and social dialogue.

— O.A. Obaseki-Osaghae, J. Ejiro Peter Amratefa v. Access Bank (NICN/ABJ/106/2022, November 2, 2023)