CIV\APN\12\92
IN THE HIGH COURT OF LESOTHO
In matter between:
SOPHIA NTEBALENG RATHOBELI Applicant
and
FAIRWAYS LESOTHO LIMITED Respondent
JUDGMENT
Delivered by the Honourable Mr, Justice J.L. Kheola on the 3rd day of August. 1993.
This is an application for an order in the following terms:-
Directing Respondent to pay Applicant severance pay pursuant to Conditions and Wages of Employment Order 1978;
Directing Respondent to pay Applicant emoluments withheld during the period of suspension;
Directing Respondent to pay Applicant cash in lieu of one month's notice;
Directing Respondent to pay back Applicant's
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pension and other policies' contributions;
Directing Respondent to pay Applicant for over-time she was twice each year or service to work since 1980 to her date of dismissal;
Directing Respondent to pay Applicant a sum of M2,000.00 (two thousand maloti) as compensation for her stolen property.
In her founding affidavit the applicant avers that in September, 1977 she was employed by the respondent as a clerk and worked for the respondent till on or about the 12th November, 1991 when she was dismissed. At the time of her dismissal she was holding the position of a Manager and earning a salary of M812.00 gross.
The reason for the applicant's dismissal is stated in the letter of dismissal as being the big shortage at Tsita's Nek where the
applicant was the manageress.
The applicant avers that she was not paid any severance pay at the time of her dismissal as she had worked for the respondent for a period exceeding four years. She was not paid her salary which was withheld during the period of her suspension from the
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31st October, 1991 to the 12th November, 1991 when she was dismissed. She was not paid cash in lieu of notice even though she was entitled to one month's notice. She was not paid back the pension and other policies' contributions which she made while she was employed by the respondent which were compulsory.
The applicant further avers that from her leave pay a sum was subtracted in relation to ninety-nine days sick leave even though respondent was aware that she was involved in a car accident whilst en route to work which has since disabled her permanently. She was not paid for overtime even though she was required to work overtime twice each year of service since 1980 to the date of her dismissal.
She avers that she was allocated a quarter by the respondent at Tsita's Nek in the Mafeteng district where she worked as a Manageress till her dismissal. Sometime in May, 1990 her said quarter was broken into and a number of items of her property was stolen. The respondent asked her to submit an account in respect of the lost property as it was going to pay for the loss. She submitted the account in the sum of M2,000.00 which was found by the respondent to be fair and reasonable. However to-date the respondent has not paid her this sum to which she was entitled.
The respondent's answering affidavit was made by a certain
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Mr. T.G. van Dyk who is the Area Manager of the respondent. He avers that during April, 1991 he visited Tsita's Nek store for the purpose of inspection. He found a shortage of stock amounting to M20,101.00. He questioned the applicant about the shortage and she was unable to give a satisfactory explanation. The applicant was dismissed on the 12th November, 1991. The deponent alleges that the applicant was paid her terminal benefits as illustrated in Annexure "D" to the answering affidavit.
The affidavits of Ms. Eatere Motanyane, Ms. Florett 'Masepolo Makhale and Mr. David Makhetha show that the applicant did not manage the store well. She took away goods from the storeroom without any evidence of payment; she instructed the cashier not to reflect the extraction of such cash in the cash register; she took an amount of M600.00 from a client for the sale of corrugated iron sheets which were never delivered.
In her replying affidavit the applicant denies all these allegations made against her. She denies that at the time she was the Manageress of Tsita's Nek there was any shortage of stock. She avers that at the time the inspection was made she was on sick leave following her involvement in a car accident. She was on sick leave from the 12th February, 1991 till the 1st July, 1991.
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The respondent has filed a counter-claim together with the answering affidavit. The counter-claim is accompanied by a declaration setting out full particulars of the claim. I agree with Mr. Malebanye, Counsel for the applicant, that this is an irregular process inasmuch as in motion proceedings there can be no counter-claim. The respondent ought to have filed a counter-application. The
counter-claim is struck out as an irregular process.
Regarding the answering affidavit of the respondent it will be seen that it has not challenged or denied any of the allegations raised by the applicant. The proper procedure is that the respondent must answer the founding affidavit paragraph by paragraph. The respondent has not done so instead it has merely alleged that it has a counter-claim against the applicant arising from the shortage which was discovered at the store which was under the management of the applicant. That allegation does not answer the applicant's case.
The applicant alleges that she was not paid severance pay pursuant to Wages and Conditions of Employment Order 1978 (The Order), Section 10 (1) (a) and (b) and 10 (2) reads as follows:
An employee who has completed more than four continuous service with the same employer,
whose employment is being
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terminated by his employer otherwise than by summary dismissal in the circumstances set out in section 15(3) of the Employment Act 1967:
who resigns from employment,
shall be entitled to receive, upon such termination or resignation as the case may be, redundancy, severance or long service payment, equivalent to two weeks wages for each completed year of continuous service with the same employer.
Where the employee received a lump sum payment from a contributory scheme, to which both the employer and employee contributed over and above his own contributions, that amount will count towards and be offset against the redundancy, severance or long service payment referred under paragraph 10(1)."
It seems to me that an employee who is summarily dismissed is not entitled to any severance payment. The letter of dismissal of the applicant clearly indicates that this was a summary dismissal. It reads as follows:
"I refer to our discussions with Mr. Matlala of the Labour Department. This (sic) discussions is (sic) taken to determinate you as from to-day, the reason for this is the big shortage at Tsita's Nek as discussed with you.
Outstanding leave will be paid to you, but we will deduct all outstanding accounts."
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(My underlining)
The letter was written on the 12th November, 1991 and the dismissal was to operate with effect from the same day. The question of whether this was a summary dismissal or not was never addressed by the applicant in her founding affidavit. Nor did her counsel make any submissions regarding that issue.
The applicant is applying that the respondent be directed to pay cash lieu of one month's notice. This prayer seems to suggest that the applicant assumed that the dismissal ought to have been on notice. No attempt was made to show the Court that the dismissal was unlawful or that it ought to have been on one month's notice.
The depositions by the respondent and its witnesses indicate that the applicant was guilty of misconduct in terms of section 15(3) (a) of the Employment Act 1967 in that she caused the shortage by stealing the stock or giving the stock to other people who never paid for it. In other words the dismissal was for a lawful cause.
I shall make no finding on that issue. However for the purposes of this case I shall assume that the dismissal was a summary one. Whether it was justified or not I wish not to
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decide because no submissions were made on that aspect of the case.
I therefore come to the conclusion that the applicant was not entitled to severance payment as well as the cash in lieu of one month's
notice.
The applicant prays that the respondent be directed to pay applicant emoluments withheld during the period of suspension. In its answering affidavit the respondent has not challenged this particular claim. Having been dismissed on the 12th November, 1991 the applicant is entitled to her salary from the 31st October, 1991 when she was suspended.
The applicant prays that the respondent be directed to pay back applicant's pension and other policies' contributions. The applicant
has not stated the exact amounts of deductions that were made from her salary. The respondent has not denied that the applicant made such contributions. I find it very strange and unsatisfactory that the respondent is treating its managers of its stores like casual labourers. There is no written contract between the applicant and the respondent. In a dispute like the present one the employee has no written contract to prove the terms and conditions of her employment. This practice of the respondent towards its senior employees is unsatisfactory. Does
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it mean that Mr. T. G. Van Dyk, the Group Manager of the respondent who made the answering affidavit on behalf of the respondent has no written contract between himself and the respondent? I do not think so.
I am of the view that the applicant is entitled to the refund of all the money she contributed towards her pension and other policies. Section 16 of the Employment Act 1967 provides that the termination of any contract under the provisions of this Part shall be without prejudice to any accrued rights or labilities of either party under the said contract at the date of termination. I regard those contributions made by the applicant as being her accrued rights irrespective of whether she is dismissed summarily or on notice.
As far as payment for over-time work done by the applicant since 1980 to the date of her dismissal there is no dispute raised by the respondent. In terms of section 5 of the Order the applicant is entitled to such payment.
The last prayer regards the payment of M2,000 as compensation for the applicant's stolen goods. The respondent has not denied that there was such an agreement between it and the applicant. The respondent is under an obligation to make Chat payment of M2,000.
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In terms of section 8(2) of the Order the applicant is entitled to sick leave on full pay for up to twelve days and thereafter to sick leave on half pay for up to twenty-four days in each period of twelve months' continuous service. I notice that according to Annexure "SNR2" to the founding affidavit the applicant was not paid anything for sick leave. That was wrong because sick leave is an accrued right.
In the result the application is granted in terms of prayers (b), (d), (e) and (f). The respondent must also pay sick leave in terms of section 8 (2) of the Order. There will be no order as to costs because the applicant has not applied for costs.
J.L. KHEOLA
JUDGE
3rd August, 1993.
For Applicant - Mr. Malebanye
For Respondent - Mr. Mofolo.