IN THE HIGH COURT OF MALAWI
PRINCIPAL
REGISTRY
CIVIL
CAUSE NO. 569 OF 2000
BETWEEN:
AND
UNIVERSITY OF MALAWI ………………………………………DEFENDANT
Dr
Mtambo, Counsel for the defendant
This is this court’s order on the assessment of damages herein pursuant to the order of the High Court directing the Registrar to assess damages herein. The High Court made the said order upon finding after a full trial that the defendant breached the contract of employment of the plaintiff by terminating the said contract without giving the plaintiff an opportunity to be heard.
By its
judgment dated 27th November, 2003 the High Court awarded the
plaintiff two months’ pay in lieu of the two months notice of termination of
the plaintiff’s employment that the plaintiff was entitled to under his
contract of employment with the defendant.
The High Court then ordered further that the Registrar assess the
damages the plaintiff has suffered herein due to the wrongful termination of
his contract apart from the notice pay above.
This order relates to those damages.
The plaintiff testified at length on the damage he has suffered after
the termination of his contract of employment.
Both the
plaintiff and the defendant filed their submissions that have greatly assisted
this court in arriving at its final decision.
The task
of this court is to find out what other items the plaintiff is entitled to
apart from the two months notice pay already awarded to him by the High Court.
In his
well researched submissions the plaintiff has prayed for damages as follows.
In the
first place he seeks damages for breach of
contract in the form of 29 years salary, being the difference of his
retiring age and his current age at the time of the termination of his
employment, as well as his pension and gratuity calculated on the basis of the
terminal annual salary at the time of termination of his employment.
And the
plaintiff cited the cases of Dr Chawani v Attorney General MSCA Civil appeal Number 18 of 2000 and Chihana
v. Council of the University of Malawi [1992] 15 MLR 58. The
defence counsel cited the Employment Act 1999 and submitted that there under the
measure of damages for wrongful dismissal depends on the length of service of a
former employee prior to such dismissal.
And that the plaintiff having worked for less than 5 years herein is
only entitled to one week’s pay in terms of Section 63 (4) of the Employment
Act. And further that such award would
suffice to cover the plaintiff’s loss of legitimate expectations herein.
The
defendant also cited the case of Phambala v. ADMARC Civil
cause Number 1601 of 1996 in support of his contention that notice pay is the
measure of damages for unlawful dismissal.
In taking
the stand above the defendant takes the view that the law is settled that under
the common law the courts do not award future earnings lost by reason of an
unlawful termination of employment.
Counsel for the defendant cited the case of Dr Chawani v.
Attorney General (cited above) in support of the defendant’s
view. This court has had occasion to
consider the cases cited by both parties herein. It has also considered the Employment Act as cited by the
defence. This court is of a contrary
view to that taken by the defence.
Firstly,
contrary to the assertion by the defence, the Employment Act does not apply to
an employee of government like the plaintiff see Order 2 (b) Employment Act (Application)
Order made under Section 2 of the Employment Act. This court is of that firm view because the defendants’
institution is a governmental institution created by statute and is thereby
exempted from the application of the Employment Act. Further, this court has read the case of Chihana V.
Council of the University of Malawi (cited above) which is on all fours with the instant case. A permanent and pensionable employee having
been wrongfully dismissed by the defendant in that case as is the case herein. In that particular case the High Court
awarded the plaintiff her monthly salary from the time her employment was
terminated up to the time she would have been eligible for early retirement. Further she was awarded a lump sum which she
could have received as gratuity on early retirement, as if she had been
contributing to the pension fund at the same rate as at the date of the
wrongful termination of the contract of employment.
In the
face of the authorities referred to above this court finds the defendant’s
contention that the plaintiff is only entitled to a week’s pay
unsustainable. And on the contrary,
this court finds that the plaintiff herein is entitled to his salary from the
time of the wrongful termination of his employment up to the time he would have
been eligible for early retirement. And
further that the plaintiff is entitled to gratuity pension calculated on the
basis of the terminal annual salary at the time of the wrongful termination of
his employment. See Chihana v.
Council of the University of Malawi (cited above). Those two items work out as follows:
(gross
annual salary x 29)
=K108,852.00 x 29 = K3,156,708.00
The sum
of K3,156,708.00 is therefore awarded to the plaintiff less tax to be
calculated. The rate of tax shall be
the one applicable at the time of the termination of the plaintiff’s
employment.
The
defendant is ordered to within 21 days of the date of this order obtain a
quotation of the plaintiff’s Pension and Gratuity entitlement from the National
Insurance Company who are said to be the administrators of the defendant’s
employees’ pension scheme. The gratuity
and pension entitlement ought to be calculated on the basis and at the rate of
contributions that the plaintiff and defendant were making at the time the
plaintiff’s employment was wrongfully terminated. The sum to be quoted by the Pension Scheme Administrators is
awarded to the plaintiff. The quotation
of the plaintiff’s entitlement to Pension and gratuity certified by the
National Insurance Company shall be filed with this court by the defendant
within 24 days of the date of this order ie. 3 days after time provided for it
to be obtained by the defendant.
This
court now moves on to deal with the plaintiff’s other heads of claim. He claims reinstatement as damages for his
being treated unequally to his then Head of the French Department. This court without belaboring itself to say
much wishes to state that the High Court Categorically ruled that reinstatement
of the plaintiff to his former employment with the defendant was out of
question in the circumstances. That
relief is therefore unavailable to the plaintiff.
The
plaintiff also claimed damages in the form of rentals that he has incurred
since he was told to leave the defendants house in which he was being housed in
the course of his employment. On this
item this court agrees with the defence that this claim is unsustainable. The business of the plaintiff’s lodging
after the termination of his employment being none of the business of the
defendant ex-employer. The same
conclusion was arrived at on a similar claim in the Chihana Case
cited above. The claim for rentals
therefore fails entirely.
The
plaintiff further claimed K8,000.00 being the transport expense for moving his
belonging’s from Zomba to Blantyre. The
defendant ought to have provided such transport. The plaintiff could not produce any proof of the fact that be
indeed spent K8,000.00 on transporting his belongings from Zomba to Blantyre. Special damages like these ought to be
strictly proved as submitted by the defence.
That proof is completely lacking and this court declines to award the sum of K8,000.00 transport
costs as claimed.
The
plaintiff has further claimed damages for conspiracy. With due respect to the plaintiffs’ submissions on the same this
court finds that these damages are not
within the parameters of the judgment of the High nor does the plaintiff’s
claim herein include damages for conspiracy.
At any rate the tort of conspiracy involves at least more than two
people. Logically therefore that claim
is beyond this matter where there is only one defendant. The claim for damages for conspiracy also
fails.
On the question of notice pay the same as
admitted by the plaintiff was already paid to him by the defendant on 12th
January, 2004. That issue is
settled. This court can not adjust the
same retrospectively to cater for the fall in the value of the Kwacha. This court can also not award the plaintiff
the professional allowance as it is based on the contract herein which was
itself terminated. So no award for the
professional allowance is made. See Dr
Chawani v. Attorney General (cited above).
The
plaintiff also submitted that he be awarded sentimental damages for being
humiliated. This shall be dealt with
together with the plaintiff’s claim for damages for defamation. This court wishes to agree with the defence
that this case does not concern itself with defamation. Humiliation is an aspect which on its own
did not come as an issue before the High Court. With the greatest respect to the plaintiff’s submissions on
damages for defamation and sentimental damages this court declines to award
either.
Costs of
the instant assessment are for the plaintiff.
Made in Chambers
at Blantyre this May, 2004.