Former NatPharm Manager Awarded Nearly $1 Million By The Courts For Unfair Dismissal

The High Court has ruled in favour of Raguel Mthombeni, a former procurement manager at the National Pharmaceutical Company of Zimbabwe (NatPharm), awarding him almost $1 million in compensation for wrongful termination. The court also directed NatPharm to cover Mthombeni’s legal costs associated with the case.

Mthombeni was employed as NatPharm’s procurement manager until his contract was abruptly terminated on July 14, 2020. He disputed the termination and sought a resolution through the labour office, where the matter was assigned to labour officer F.V. Marovanyika for mediation.

After attempts at mediation failed, Marovanyika issued a “certificate of no settlement” on May 19, 2021, followed by a draft ruling on September 8, 2022. Subsequently, on September 14, Marovanyika applied with the Labour Court to confirm this ruling following section 93 (5a) of the Labor Act.

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NatPharm’s Opposition and Initial Labour Court Decision

Natpharm manager $1 million — Former Natpharm manager awarded $1 million after unfair dismissal-Image Source@X

NatPharm contested the application, and the case went to the Labour Court. In January 2023, the court confirmed the draft ruling, instructing NatPharm to compensate Mthombeni ZWL$12,804,277.56. Mthombeni, dissatisfied with this outcome, appealed the ruling, seeking a fairer resolution.

The Supreme Court intervened on March 20, 2023, overturning the Labour Court’s initial decision and sending the matter back to the same judge for a comprehensive review. The Labour Court reexamined the case on May 14 and ruled in NatPharm’s favor by striking the application off the roll due to procedural defects, citing a point in limine raised by NatPharm.

High Court Intervention and Final Judgment

Following the Labour Court’s dismissal, Mthombeni approached the High Court to register the labour officer’s original ruling. NatPharm opposed this move, and the legal arguments intensified. Mthombeni submitted his arguments on July 8, and they were served to NatPharm’s legal team the next day. However, NatPharm failed to respond within the designated period, leading to further complications.

NatPharm’s legal counsel applied for an extension, claiming a delay due to administrative issues. Mthombeni argued that NatPharm’s excuse was misleading, alleging it amounted to an attempt to manipulate court proceedings.

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High Court’s Ruling and Criticism of NatPharm’s Legal Approach

In his judgment, High Court Justice Regis Dembure expressed disapproval of NatPharm’s conduct, noting that the company treated the application for an extension with a lack of seriousness. “There was no reasonable basis to contest the registration of the ruling, and NatPharm’s response appeared to be an attempt to delay the inevitable,” the judge stated.

Justice Dembure further noted that NatPharm’s handling of the case demonstrated an abuse of the judicial process, resulting in a directive for NatPharm to bear punitive costs. “Litigants who misuse the court’s process should face consequences,” he remarked, emphasizing that the court’s resources should not be spent on cases aimed at delaying justice.

The High Court ordered NatPharm to pay Mthombeni a sum of US$935,511.57 as compensation for the unfair termination, along with additional costs.

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