196 dismissed staff to get benefits

Sep 05, 2007

THE Court of Appeal has ordered the Uganda Electricity Generation Company (UEGCL) to pay 196 employees it dismissed two years after taking them on from former Uganda Electricity Board (UEB).<br>A-three-justice-panel declared that all the 196 employees are entitled to gratuity and other retirement

By Hillary Nsambu

THE Court of Appeal has ordered the Uganda Electricity Generation Company (UEGCL) to pay 196 employees it dismissed two years after taking them on from former Uganda Electricity Board (UEB).
A-three-justice-panel declared that all the 196 employees are entitled to gratuity and other retirement benefits.

The High Court had dismissed the case, saying UEGCL was not liable for their claims.

UEGCL dismissed the 196 employees and paid them pension for the two years they had worked for it.

Justice Amos Twinomujuni wrote the lead judgment. The other members of the panel were the Deputy Chief Justice, Laetitia Mukasa-Kikonyogo and Justice Christine Binayiisa Kitumba.
However, the appellate court referred the case’s file back to the High Court, saying that it should deal with how much gratuity, arrears and other retirement benefits the ex-employees are entitled to from the time of their dismissal in 2003.

The court also ordered UEGCL to pay the appellants general damages for breaching the contract.

The gratuity dues should fetch the appellants 25% interest from the time of termination. The general damages should fetch 20% interest of the aggregate sum UEGCL had entered into with them on the day it accepted to inherit them.

UEGCL was also ordered to pay the workers costs of the suit in the Court of Appeal and the High Court.

Earlier, the court had agreed with John Matovu, the workers’ lawyer, that it was not proper for UEGCL to run away from the workers after accepting to employ them on the terms and conditions they enjoyed while serving under UEB.

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