Court awards N50m damages against Total Nigeria Limited

Justice Elizabeth Oji from the Lagos division of the National Industrial Court has declared Total Nig. Ltd’s refusal and neglect to issue letters of employment to Mr. Odah Ezekiel and three others illegal.

The Court made the declaration on Monday in a suit filled by the defendants suing for themselves and on behalf of disengaged security employees.

Despite repeated demands for their employment letter without success, the Court deemed it unlawful, unfair labor practice, and a breach of international best practices, as well as a violation of the Labor Act.

Furthermore, the Court ruled the continuous refusal by Total Nig. Ltd to pay Mr. Odah Ezekiel and others their terminal benefits after summarily downsizing them since 2014 and 2015 as wrongful, illegal, unfair labor practice, and breach of international best practices. Consequently, it deemed the actions unconstitutional, null, and void.

Justice Oji ordered Total Nig. Ltd to pay Mr. Odah Ezekiel and others the sum of N50m as aggravated and exemplary damages for subjecting them to labor slavery, unfair labor practice, ill-treatment, and neglect.

This was due to the manner they were unilaterally and illegally transferred without their consent, along with the sum of N5m as the cost of action within 30 days.

Background

Mr. Odah Ezekiel and others filed a case against Total Nig. Ltd and five others after unsuccessful attempts to resolve the issue of who should pay their end-of-employment entitlements following 15 years of service.

They claimed to have been employed by Total Nig. Ltd without receiving any employment letters, despite responding to a vacancy advertisement 15 years ago.

Total Nig. Ltd argued that Mr. Odah Ezekiel and others were employees of the private security firms contracted to them, urging the court to dismiss the case.

Bemil Nigeria Limited stated that Total Nig. Ltd was the Claimants’ employer and that they were only engaged to supervise the Claimants, arguing against their inclusion in the case.

However, Halogen Security Nigeria Limited admitted to employing five of the disengaged staff under its contract with Total Nig. Ltd since 2007, raising doubts about the Oil firm’s employment of the Claimants.

Total Nig. Ltd filed a preliminary objection, claiming there was no direct contractual relationship with the disengaged staff, and citing triangular employment relationships prohibited by labor guidelines.

In opposition, Mr. Odah Ezekiel and others asserted Total Nig. Ltd’s full awareness and involvement in their recruitment, deployment, and termination.

They argued against their unjustified transfers to private security companies without consent or valid endorsement by a labor officer, alleging breach of the Labor Act and demanding damages and accountability as their true employers.

Court’s decision

Following a thorough review of both parties’ submissions, Justice Elizabeth Oji’s judgment highlights labor guidelines’ importance in preventing undocumented employment, particularly in the Oil and Gas Sector. She emphasizes the need for proper documentation to protect Nigerian workers’ rights.

The Court rejected Total Nig Ltd’s claim of triangular employment, noting that no employment contracts were issued by the other defendants involved.

Justice Oji declared Total Nig Ltd’s failure to provide employment letters to Mr. Odah Ezekiel and others within three months of their employment as a breach of the Labor Act, unfair, and unlawful.

The Court criticized the handling of Mr. Odah Ezekiel and others, transferring them between supervisors without notice or information, deeming it callous and unfair labor practice.

Justice Oji ruled that Mr. Odah Ezekiel and others are entitled to their terminal benefits for their years of service, but noted the absence of oral evidence supporting their claimed sum of N10,000,000.00 each.

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