Court Awards Brian Banda MK100 Million in Employment Dispute
Based on the evidence and legal submissions, the court awarded the applicant a total sum of MK103,316,418.00 as compensation for unfair dismissal, severance allowance, and related claims.
BLANTYRE, Malawi— The industrial relations court awarded Brian Banda, who served as the State House Press Secretary, MK103,316,418.00 in damages after ruling his dismissal in 2021 constituted unfair labor practices, writes Winston Mwale.
The Deputy Chairperson of the IRC , Peter Kandulu, delivered the ruling on 22nd day of December 2023 in Blantyre.
According to the ruling, the case, with matter number IRC 1001 of 2022, was filed by Banda on September 28, 2022.
The respondent, the Attorney General (State Residences), was served with the IRC Form 1 on October 26, 2022, and acknowledged the service with an official stamp.
However, the respondent failed to file a reply within the prescribed period, leading to a default judgment in favor of Banda on November 7, 2022.
A notice of assessment of compensation was then issued and served on the respondent.
In an attempt to set aside the default judgment, the respondent filed a motion that was scheduled to be heard on June 20, 2023.
However, neither the respondent nor their legal representative appeared in court on the scheduled date, and no reason was provided for their absence.
As a result, the motion was dismissed.
Following this, the court issued a notice for the assessment of compensation trial, which was served on the respondent on August 11, 2023.
The Attorney General's Chambers then filed an ex parte motion for a stay of proceedings, which was set to be heard on August 25, 2023.
However, once again, the respondent or their representative failed to appear in court when the motion was called.
In contrast, Banda's counsel was present and argued that this was the third time the respondent had been served or initiated court proceedings without attending or providing reasons for their absence.
The court, satisfied that the respondent had been served and acknowledged the receipt of service, ordered the assessment of damages proceedings to proceed.
Banda took the stand as the witness and presented his evidence, including the contract with the respondent and details of his entitlements.
As the respondent did not cross-examine the witness, the court considered Banda's evidence as uncontroverted and the true version of the contract agreement.
The court expressed gratitude to Banda's counsel, Mauya Msuku, for the well-written final submission on the assessment of compensation.
In its ruling, the court emphasized the importance of respecting court services and orders, urging the officers in the Attorney General's office to address the tendency of non-compliance.
The judgment highlighted the burden of proof on the applicant and the standard of proof required in civil cases, emphasizing the responsibility of the party asserting the affirmative.
Banda told the court that his reassignment to a "non-existing post" amounted to constructive dismissal, prompting his resignation.
He told the court that he was entitled to K10.6 million annually under Article VIII (1) of the contract, subject to yearly raises.
He was also entitled use of a Toyota Fortuner, exhibiting evidence showing a daily rate of K25,000 for the vehicle.
Banda further testified he averaged 10 to 15 monthly off-site assignments with compensation of K50,000 for domestic trips and $450 daily overseas.
The state covered trip expenses separately, he said.
Banda estimated an even split between domestic and foreign assignments.
He also showed a contract clause entitling him 15% of total salary as gratuity upon completion of his term, per Section XI (2).
The court thoroughly reviewed the evidence presented by the applicant, which included contractual details, salary entitlements, allowances, and benefits.
As the respondent did not contest the evidence or attend court proceedings, the court regarded the applicant's evidence as uncontroverted and deemed it as the true representation of the contract between the parties.
Based on the evidence and legal submissions, the court awarded the applicant a total sum of MK103,316,418.00 as compensation for unfair dismissal, severance allowance, and related claims.
The court urged timely payment of the awarded sum within 30 days from the date of the judgment.
Malawi President Lazarus Chakwera's press secretary, Banda, left his post after one year to attend a four-month scholarship program at Peking University in China.
The then presidential spokesman assumed the role in 2020 following Chakwera's election victory over ex-leader Peter Mutharika.
Banda rapidly became the public face of the new administration through daily press briefings.
*Download the ruling below:
