Disengaged staff sue CBN for ₦30bn compensation.
Disgruntled Central Bank of Nigeria employees who were laid off last year have filed a lawsuit against the bank in Abuja’s National Industrial Court.
In an initiating summons issued on July 4, 2024, under the NICN Civil Procedure Rules 2017, the aggrieved employees presented many issues for resolution.
Ex-CBN employees, among others, have petitioned the court to determine whether they were denied their constitutional right to a fair hearing before and after their appointments were terminated, claiming that the CBN violated internal policies, Nigerian labour laws, and their contractual rights.
Stephen Gana, Kabiru Idris, Benedict Agbo, Peter Adeyemi, John Yisa, Eleanor Ihua, Stephen Ambore, Edom Obi, Dabo Chundung, Ekpe-Oko Roupa, Alabi Mubarak, Isa Yusuf, Quadru Ralph, Olasupo Adedokun, Dauda Yusuf, Ogidi Tolu, Levi David, Umar Kurba, Christopher Alfred, Gana Nma, Tanko Joel, Iyare Christian, Paul Iza, Alzebeokhai E
In a class action lawsuit, all 33 of them, represented by Okwudili Abanum, claimed that the termination process, carried out through letters titled ‘Reorganizational and Human Capital Restructuring’ dated April 5, 2024, violated both the CBN’s human resources policies and procedures manual and Section 36 of the Nigerian constitution.
Furthermore, the procedure lacked the requisite consultation and impartial hearings required by law.
They further claimed that the termination letters issued due to restructuring were arbitrary, illegitimate, and unconstitutional.
On this note, the claimants requested an order declaring their dismissal null and void.
Additionally, the claims requested a restraining order to prohibit the CBN from terminating them without following due processes.
They also requested that the court issue a declaration directing their immediate reinstatement and payment of salaries and benefits beginning on the day of termination.
The claim cited Article 16.4.1 of the HRPPM, which requires engagement with the joint consultative council and adherence to fair procedures before taking employment actions that negatively impact employees.
The claimants stated that the requirement was flagrantly ignored, as they were only given three days to resign their positions and hand over official property.
They also requested N30 billion in general damages for psychological suffering, hardship, and reputational loss caused by the dismissal, as well as an extra N500 million to cover the expense of the lawsuit.
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In another document dated November 20, 2024, during the initial mention of the litigation, the court asked the parties to seek an amicable resolution of the disagreement.
The sitting judge, Justice O. A. Osaghae, stated, “This is a new matter, and it is mentioned for the first time.” I reviewed the processes and believe that the parties should try to resolve this disagreement amicably. As a result, parties are encouraged to seek an amicable settlement under Section 20 of the NICA 2006.
Meanwhile, the CBN, represented by a team of lawyers led by Inam Wilson, informed the court that they had filed a preliminary objection to the claimants’ complaint on November 4, 2024, and that he had recently been served with the claimants’ request to respond to the counterclaim.
Following the defendant’s counsel’s submission, Justice Osaghae adjourned the preliminary objection hearing to January 29, 2025.
Remember that in 2024, the apex bank terminated the employment of approximately 1,000 employees in four batches between March and May of that year.
While some laid-off employees said they received severance payouts as low as N5,000, others alleged their gratuities were completely deducted to cover outstanding loans.
Although the layoff was officially attributed to reorganisation and human capital restructuring, the impacted employees claimed that it breached the CBN Act, which requires board consent for major personnel decisions.
On December 4, last year, the Central Bank stated that its early exit package was fully voluntary and had no negative consequences for eligible employees.