Accra, July 4, GNA- A Tema High Court has ordered Afko Imex, dealers in electrical appliances, to comply with the ruling of the National Labour Commission (NLC) to pay fair compensation in line with the Company's collective bargaining agreement to a former employee, Mr Samuel Quarm, who was made redundant in June 2005.
A statement signed by Mohammed Affum, Public Relations Officer of NLC, said the Court presided over by Mrs Justice Mariama Owusu, gave the order following an application by the NLC for an order to compel the Company, which had failed to comply with its ruling made in respect of a petition lodged by the employee.
The Court also awarded one million cedis cost against the Company. In an affidavit accompanying the application, the NLC said in settling a dispute between the Management of Afko Imex, and Mr Quarm, whose employment was terminated on grounds of general restructuring, it directed the Company to comply with Section 65 of the Labour Act on redundancy and to pay appropriate compensation in line with Section 20 of the Company's Collective Bargaining Agreement. It said the sections provided for a three months salary for each year of service, a month's salary in lieu of redundancy or termination and proportionate leave.
The statement explained that the restructuring exercise that resulted in the termination of Mr Quarm's appointment, amounted to redundancy, and therefore, the employee was entitled to redundancy pay as stated in Section 65 of the Labour Act. The Commission said in view of the failure of Afko Imex to implement the decision, it applied to the Court, in line Section 172 of the labour Act, for an order to compel the company to comply as well as pay interest on the compensation and costs. "Meanwhile, the Commission is instituting legal action to compel a number of companies and organisations to comply with its rulings. They include M and J Company; Action Aid Ghana; Ghana Breweries Limited and Architect Co-Partners", the statement said. 4 July 06
