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RELIANCE PERSONNEL -VRS- NATIONAL LABOUR COMMISSION

Case

by CECILIA SOWAH J.A (PRESIDING), MERLEY A. WOOD (MRS), J.A, ADJEI FRIMPONG, J.A

Jurisdiction

Court of Appeal

Judge

CECILIA SOWAH J.A (PRESIDING), MERLEY A. WOOD (MRS), J.A, ADJEI FRIMPONG, J.A

Catalog Type

Case

Judgement Date

Feb 08, 2023

Summary

Labour Law — Termination of Employment — Mutual Agreement — Notice or Salary in Lieu — Enforcement of NLC Decisions — Validity of Notice of Appeal Filed at Tribunal Registry — Court Below under C.I. 19 — Duty of High Court to Review Record Before Enforcement. FACTS The appellant, Reliance Personnel, employed a worker on a one‑year fixed‑term contract, terminable by either party upon two weeks’ notice or payment in lieu under clause 11 of the contract. The employer terminated the contract in accordance with the clause. The worker petitioned the National Labour Commission (NLC), which held that the termination was without disciplinary basis and ordered the employer to pay the salary for the unexpired term of the contract. The employer filed a Notice of Appeal at the NLC registry the same day the ruling was delivered. Despite this, the NLC applied to the High Court under section 172 of the Labour Act for enforcement of its decision. The High Court concluded that no valid appeal existed and enforced the NLC ruling. On appeal, the Court of Appeal held that the High Court erred in enforcing a decision that was contrary to sections 15(a) and 17(1)(b) of the Labour Act, since the termination was lawfully executed by mutual agreement through notice. The court emphasized that termination in accordance with agreed contractual notice provisions cannot be impugned as unfair where the Labour Act expressly allows it. It further held that a Notice of Appeal filed at the NLC registry was valid under Rule 8(2) of C.I. 19, since the NLC, being an adjudicating tribunal, constituted the “court below” for purposes of compiling the record. The High Court therefore misdirected itself by ignoring the stamped Notice of Appeal on record and by failing to examine the legality of the NLC decision before enforcing it, as required by controlling Supreme Court authority. Held: (1) Termination was lawful under the contract and consistent with the Labour Act; (2) Notice of Appeal filed at the NLC was valid; (3) High Court’s ruling was against the weight of evidence; (4) Enforcement application ought to have been dismissed. The High Court decision was accordingly set aside, the enforcement application dismissed, and costs of GHS 5,000 awarded to the appellant.

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