Court awards sacked Tatu City boss Sh27million
What you need to know:
- Judge says firm did not give Mr Lucas Akunga Omariba a chance to defend himself.
- The former CEO denied allegations that he absented himself from work, or that his conduct was unbecoming.
A former Tatu City chief executive officer has been awarded Sh27.5 million for wrongful dismissal six years ago.
Justice Onesmus Makau said the summary dismissal of Mr Lucas Akunga Omariba in February 2015 was unlawful because he was not given an opportunity to defend himself.
“I have held before that a disciplinary hearing is not an option before dismissal of an employee for a cause. Under Section 41 of the Employment Act, an employer is required, in mandatory terms, to give his employee an opportunity to defend himself, before terminating his employment contract,” said Justice Makau.
The award includes 10 months’ salary as compensation for unfair termination without notice and accrued leave days.
Justice Makau directed that part of the compensation be used to pay for two mobile phones that the company wanted returned.
In his testimony, Mr Omariba said that on the fateful day, he attended a board meeting, then after returning to his office, he received an email informing him of his sacking.
He said that the board meeting did not discuss his sacking and it was never an agenda for the meeting.
Abrupt dismissal
According to Mr Omariba, his dismissal was abrupt and no reason was given. Security personnel were also instructed not to allow him back to the office, denying him a chance to collect his personal belongings.
He further argued that fair process dictated that he be notified of the charges or claims and given a chance to defend himself.
The former CEO denied allegations that he absented himself from work, or that his conduct was unbecoming.
He told the court that he had received a good performance rating and a bonus of Sh26 million, the previous year but the court noted that there was no evidence that the bonus was approved.
Tatu City defended the termination saying it was fair and lawful by reason of his gross insubordination to the board, absenteeism and breach of confidentiality. It further said the contractual relationship between them had deteriorated with time.
The company said the former CEO took off with electronic information, correspondence and documents belonging to the company and refused to return them despite demand.
And upon being fired, Mr Omariba allegedly contravened the confidentiality of his employment contract by sharing sensitive information about the company with third parties.