National Labour Commission Vrs First Atlantic Bank Limited [2020] GHASC 75 (2 December 2020)

National Labour Commission Vrs First Atlantic Bank Limited [2020] GHASC 75 (2 December 2020)

Redundancy pay under section 65 of the Labour Act, 2003 (Act 651) is not restricted to situations involving close down, arrangement, or amalgamation, but also applies to redundancies arising from major changes in production, programme, organization, structure, or technology. The National Labour Commission had jurisdiction to determine the dispute, and the appeal to the Supreme Court did not require leave as it originated from the High Court. The Court of Appeal's decision was supported by the evidence, and the grounds of appeal lacking particulars were struck out.

Citation
National Labour Commission Vrs First Atlantic Bank Limited [2020] GHASC 75 (2 December 2020)
Parties
Applicant/appellant/respondent: National Labour Commission; Respondent/respondent/appellant: First Atlantic Bank Limited
Court
ghasc
Jurisdiction
Ghana
Judgment Date
2 December 2020
Procedural Posture
Civil Appeal / Supreme Court Final Judgment
Outcome
Appeal dismissed; Court of Appeal decision affirmed
Legal Topics
Redundancy Pay, Jurisdiction of National Labour Commission, Interpretation of Labour Act 2003 (act 651), Procedural Requirements for Appeals, Statutory Construction
Source Language
eng
Labour Law Employment Law Statutory Interpretation Redundancy Pay Jurisdiction of National Labour Commission Interpretation of Labour Act 2003 (act 651) Procedural Requirements for Appeals Statutory Construction

Case Brief

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Parties

National Labour Commission

Applicant/appellant/respondent

First Atlantic Bank Limited

Respondent/respondent/appellant

Procedural Posture

Civil Appeal / Supreme Court Final Judgment

Legal Issues

  1. 1 Whether redundancy pay under section 65(2)(b) of the Labour Act applies only to close down, arrangement, or amalgamation, or also to other forms of redundancy under section 65(1)
  2. 2 Whether the National Labour Commission had jurisdiction to determine the redundancy pay dispute
  3. 3 Whether the appeal required leave to be filed in the Supreme Court

Ratio Decidendi

Redundancy pay under section 65 of the Labour Act, 2003 (Act 651) is not restricted to situations involving close down, arrangement, or amalgamation, but also applies to redundancies arising from major changes in production, programme, organization, structure, or technology. The National Labour Commission had jurisdiction to determine the dispute, and the appeal to the Supreme Court did not require leave as it originated from the High Court. The Court of Appeal's decision was supported by the evidence, and the grounds of appeal lacking particulars were struck out.

Court Disposition

Appeal dismissed; Court of Appeal decision affirmed

Orders

  • Respondent to pay all monthly net salaries of the two workers from 1st September, 2015 to date of this decision and their SSNIT contributions
  • Respondent to pay GH¢2,000 as golden handshake, GH¢3,000 as repatriation, and GH¢5,000 as bonus to each worker