National Industrial Court of Nigeria

Court Orders Alcon Nigeria Limited To Pay Ex-Employee N39.7M In Outstanding Entitlements

Hon. Justice Muhammad Hamza of the Port Harcourt Judicial Division of the National Industrial Court has declared the non-payment of Mr Ikenna’s salary for the period of October 2021 to January 2022, by Alcon Nigeria Limited as a breach of the contract of employment.

The Court ordered Alcon Nigeria Limited to pay Mr Ikenna the sum of (N16,781,500.00) Sixteen Million, Seven Hundred and Eighty-One Thousand, Five Hundred kobo as pension contribution for the period of January 2017 to January 2022; the sum of N5,762,267.4 (Five Million, Seven Hundred and Sixty-Two Thousand, two Hundred and Sixty-Seven and 4 kobo as salary for the period of October 2021 to January 13, 2022, less the payment of one (1) month payment in lieu of notice, the sum of N11,289,600.00 (Eleven Million Two Hundred and Eight-Nine Thousand, Six Hundred Naira Only) as the End of Service/Gratuity, and the sum of N5, 874, 240.00 (Five Million Eight Hundred and Seventy-Four Thousand, Two Hundred and Forty) as Leave allowance for the periods of 2019/2020 and 2020/2021 plus a 50kg of rice.

However, Justice Hamza ordered Mr Ikenna to return all the properties and assets of Alcon Nigeria Limited his possession such as Lexus vehicle, computer laptop and many others in good condition within 7 days.

From facts, the claimant- Mr. Ikenna had submitted that he was constrained to resign from the employment of Alcon Nigeria Limited, and the firm had refused to pay him his outstanding emoluments.

In defence, the defendant- Alcon Nigeria Limited maintained that non-payment of Mr Ikenna’s entitlement was a result of Mr Ikenna’s refusal to complete the exit process and return all properties and assets of the firm in his possession, that withholding of these properties and assets is a clear violation of the collective agreement signed between the parties.

Counsel argued that the act of self-help carried out by Mr Ikenna in illegally holding over the properties of Alcon Nigeria Limited inhibits the performance of the obligations of the firm in paying his outstanding entitlements as enshrined in the Collective agreement.

In opposition, the learned counsel to the claimant—posited that the obligation of his client to abide by the exit protocols of Alcon Nigeria Limited can only arise where the firm has fully complied with the payment of outstanding salaries, allowances, tax and pension remittances accruing to Mr Ikenna pre-resignation.

Counsel submitted that Alcon Nigeria Limited having admitted that it breached the contract of employment between it and Mr Ikenna cannot be heard complaining that his client refused to abide by its exit protocols upon claimant’s resignation; urged the Court to grant the reliefs sought.

Delivering judgment, the Presiding Judge, Justice Muhammad Hamza restated that the facts admitted need not be proved and held that Mr. Ikenna is entitled to salary from October 2021 to January 13, 2022, less the payment of one (1) month payment in lieu of notice as provided for under the collective agreement.

The Court held that Mr Ikenna has proved his entitlements of unremitted contributory pension and End of Service/Gratuity from Alcon Nigeria Limited to the satisfaction of the Court, and the assertion that Mr Ikenna had been in the employment of Alcon Nigeria Limited since 2004 needs no further proof.

On the claim of N50m exemplary damages, Justice Hamza held that notwithstanding the fact that Alcon Nigeria Limited was in breached of the terms and conditions of employment by not paying Mr Ikenna his monthly salaries, Mr. Ikenna is not entitled general and exemplary damages for having held onto the Properties of the Alcon Nigeria Limited even after his resignation.