The National Industrial Court of Nigeria sitting in Owerri has awarded ₦10 million in punitive damages against Golden Guinea Breweries Plc for withholding the terminal benefits of a former employee, Mr Chikezie Uwakwe, for more than two decades.
Justice Nelson Ogbuanya, in a judgment in the suit, ordered the company to pay Uwakwe ₦672,535.69 in unpaid end-of-service benefits, ₦10 million in punitive damages and ₦1 million as costs of litigation. The court also ordered the monetary awards to be paid within two months of the company receiving the judgment, failing which they would attract 10% interest per annum.
Uwakwe had approached the court seeking recovery of his terminal benefits, which, according to evidence before the court, had been computed and approved by Golden Guinea Breweries shortly after his retirement in 2002.
He also sought ₦25 million in general, exemplary and aggravated damages over what he described as breach of contract and unfair labour practices arising from the prolonged withholding of his entitlements.
Uwakwe told the court that he was employed by Golden Guinea Breweries in April 1977 and retired in June 2002 after approximately 25 years of service. At the time of his retirement, the company allegedly computed his end-of-service benefits at ₦672,535.69.
According to the evidence before the court, the computation of the benefits was dated July 4, 2002 and had been prepared and approved by the company.
However, despite the computation and repeated demands, the company failed to pay the money.
Uwakwe subsequently instructed solicitors to demand payment. His lawyers wrote to the company on May 11, 2021, seeking the release of the outstanding benefits.
In a reply dated June 1, 2021, the company’s solicitors reportedly attributed the delay to operational challenges. The court noted that the reply did not deny the debt owed to the former employee.
Uwakwe subsequently commenced the action in February 2024.
Although a lawyer announced appearance for Golden Guinea Breweries during the proceedings on June 28, 2024, the company did not subsequently participate in the trial by filing a defence or challenging the claimant’s evidence.
Uwakwe’s counsel described the development as a ploy to delay the proceedings and perpetuate injustice against the retired worker. He urged the court to allow the claimant to file his final written address, noting that the defendant had neither filed a defence nor cross-examined the witness.
In his judgment, Justice Ogbuanya held that Uwakwe had established his entitlement to the unpaid benefits and had proved the amount claimed through his pleadings, testimony and documentary evidence.
The judge noted that the claimant’s evidence was not challenged under cross-examination and was not contradicted by any defence evidence.
Justice Ogbuanya held that unchallenged evidence may be accepted and acted upon by a court where it is credible and admissible.
The court consequently entered judgment for Uwakwe in the sum of ₦672,535.69 as the unpaid end-of-service benefits due to him since his retirement in 2002.
Justice Ogbuanya also found that the prolonged withholding of the benefits amounted to unfair labour practice and awarded ₦10 million in punitive damages.
The court further awarded ₦1 million as costs of litigation, bringing the total monetary award against Golden Guinea Breweries Plc to ₦12.67 million.
The court ordered the company to pay the judgment sums within two months of receiving the judgment, with 10% interest per annum applicable if it fails to comply within the stipulated period.
