Special
Plea
CHIKOWERO
J:
At
the end of oral argument on 13 February 2019, I upheld the special
plea and dismissed the plaintiff's claim with costs. The background
facts are as follows.
The
plaintiff is a male Zimbabwean adult. So is the first defendant, the
Executive President of the Republic of Zimbabwe until sometime in
November 2017. The second defendant is the latter's spouse. The
third defendant is a company duly incorporated in terms of the laws
of Zimbabwe.
According
to the plaintiff, the third defendant is the first and second
defendants' investment vehicle.
On
or about 1st January 2007 the plaintiff entered into an oral
employment contract with the first and second defendants. In terms
thereof the plaintiff was employed by the two as their General
Manager. Such employment was under the third defendant, the
investment vehicle aforesaid. The material terms of the employment
contract were these.
The
contract, which was without limit of time, entailed the plaintiff
performing, for the third defendant, all such acts as are customarily
carried out by a person in the position of a General Manager.
Further, the plaintiff was also required to and did undertake all
such work as the first and second defendants would require of him
including that which had nothing to do with farming operations.
On
6 October 2015 and in breach of the terms of the employment contract,
the first and second defendants by dint of illegitimate influence,
force and might required the plaintiff to relinquish his position.
However,
he was ordered to continue working for no salary until 6th November
2015.
As
a result of the unlawful termination of the employment contract, the
plaintiff claimed from all three defendants damages for the period
1st October 2015 to 6 November 2015. The amount claimed was
$8,909,14, computed on the basis of the plaintiff's salary. The
plaintiff also claimed $69,492,69 being cash in lieu of leave,
arising from accrued leave days at the rate of 25 days per year. The
total period covered by this claim spans from 1st January 2007 to 6th
November 2015.
Further,
the plaintiff alleged that at the time of the termination of the
employment contract, the plaintiff was entitled to the contractual
benefit of a motor vehicle. Consequently, the plaintiff claimed
payment of the sum of $90,000,00 averring that as the value of the
motor vehicle.
Finally,
the plaintiff alleged that upon the enforced termination of the
employment contract, the first and second defendants employed public
media to denigrate the plaintiff at various gatherings.
To
the plaintiff, this imperilled his future prospects of employment.
The
plaintiff complains that the acts of defendants in interfering with
his employment prospects are wrongful and deliberate, and resulted in
plaintiff losing potential employment. The damages claimed in this
regard are in the sum of US$588,000.00.
To
this suit, the defendants filed a special plea in bar.
In
so far as the defendants are concerned, the High Court has no
jurisdiction to entertain this matter as it is a purely labour
dispute in which the Labour Court is the Court of first instance in
terms of s89(6) of the Labour Act [Chapter 28:01].
The
cause of action involves an allegation of non-payment of post
termination of employment wages and other benefits as set out in s13
of that Act which allegation, if proved, would amount to an unfair
labour practice.
Further,
the defendants averred, the procedure for dealing with allegations of
unfair labour practices is set out in s93 of the Act meaning that the
matter must be dealt with by the Labour Court.
The
High Court has had its jurisdiction ousted by s89(6) of the Labour
Act [Chapter 28:01].
The
defendants averred that the intention of the legislature in enacting
s13(1) of the Labour Act was to enable an employee who alleges he is
owed terminal benefits to use those provisions to enforce payment.
Parliament created the necessary machinery in the Labour Act to deal
with issues of non-payment.
The
defendant further averred that in as much as the High Court has
original jurisdiction to deal with civil matters as set out in
s171(1) of the Constitution of Zimbabwe Amendment (No. 20) Act, 2013,
this does not usurp the power of the Labour Court.
Parliament
has, by virtue of ss172(2) and (3) of the Constitution, circumscribed
matters over which the Labour Court has exclusive jurisdiction to the
exclusion of other courts, the High Court included, so pleaded the
defendants.
Resultantly
I was urged to uphold the special plea and dismiss the entire claim
with costs on the higher scale.
Analysis
This
court has interpreted ss 171(1)(a) and 172(2) of the Constitution to
mean that, although the High Court has original or inherent
jurisdiction in respect of all civil matters in Zimbabwe, in so far
as labour matters are concerned, the intention of the legislature is
that the Labour Court be the court of first instance: Stanley Machote
v Zimbabwe Manpower Development Fund HH813/15; Nyanzara v Mbada
Diamonds (Private) Limited 2016 (1) ZLR 195 (H) and Triangle Limited
and Others v Zimbabwe Sugar Milling Industry Workers Union and others
HH74/16.
I
agree with Advocate Mubaiwa for the defendants that the drafters of
the Constitution deliberately separated civil and labour causes in
ss171(1)(a) and 172(2) of the Constitution.
While
the High Court's original jurisdiction in civil matters was
constitutionally entrenched in the former provision, the Constitution
went on to provide for a specialized Court to deal with labour and
employment disputes, at first instance, in the latter provision.
The
Labour Court is that specialized Court.
The
Constitution recognizes the distinction between labour matters and
civil matters.
My
understanding of the National Employment Council for the Construction
Industry v Zimbabwe Nantong International (Private) Limited SC1/18
judgment is that the Supreme Court left open the question of the
jurisdiction of the Labour Court vis-à-vis the current constitution.
I
am aware that s13 of the High Court Act [Chapter 7:06] reads:
“subject
to this Act and any other law, the High Court shall have full civil
jurisdiction over all persons and over all matters within Zimbabwe.”
My
construction of this provision in conformity with s171(1)(a) and
172(2) of the Constitution is that labour matters are excluded from
the “all matters within Zimbabwe.”
Any
other interpretation would mean the High Court Act, in this regard,
supercedes the Constitution. That cannot be so.
Indeed,
s13 of the High Court Act itself makes that section subject to any
other law.
My
view is that that other law is the current constitution, particularly
ss171(1)(a) and 172(2).
I
also hold the view that even if s13 of the High Court Act were
inconsistent with s89(6) of the Labour Act, the latter would prevail
by virtue of s2A(3) of the Labour Act. It reads:
“2A
Purpose of the Act
(1)…………..
(2)………….
(3)
This Act shall prevail over any other enactment inconsistent with
it.”
With
the foregoing in mind, I now examine each of the Plaintiff's claims
in turn. In doing so, I am mindful of the need to determine, in
respect of each, whether the same is purely civil or
labour/employment related.
The
US$8,909-14 damages claim
I
accept that this is not a claim for arrear salary, despite the fact
that para 2.1 of the declaration states that the computation is based
on the salary Plaintiff was earning as at October 1st 2015. There was
therefore no contract of employment to talk about, for the period
October 1st 2015 to November 6th 2015. But my finding is that this
claim remains a labour matter.
Compelling
someone to work without being employed and without therefore being
entitled to any remuneration, is forced labour. Forced labour is
defined in the interpretation section of the Labour Act to mean:
“any
work or services which a person is required to perform against his or
her will under the threat of some form of punishment.”
When
a person is ordered to continue working for no remuneration, after
the enforced termination of an employment contract, that to me is
forced labour. It certainly is not voluntary work. It also is not
work undertaken in terms of a contract of employment, for no such
contract subsists.
It
is for these reasons that I upheld the special plea in respect of
this particular claim.
Cash
in lieu of leave in the sum of US$69,492.69 for the period 1 January
2007 to 6 November 2015
Despite
alleging that the employment relationship was terminated on 1 October
2015, plaintiff claims cash in lieu of leave up to 6 November 2015.
I
respectfully am unable to associate myself with the ratio decidendi
in Chiweshe & Others v Air Zimbabwe Holding (Pvt) Ltd 2014 (2)
ZLR 837 (H). It was therein held that outstanding salaries and
allowances owed to ex-employees rendered efforts to recover same a
debt collection exercise, rather than a labour issue, because the
employment relationship had ended.
Were
I to follow that reasoning, it would mean that I would also find that
the summons issued by plaintiff to recover the cash in lieu of leave
is also a step in debt collection.
Section
13 of the Labour Act precludes me from making such a finding.
Indeed,
I am unable to see how, merely because the employment relationship
has ended, a claim for cash in lieu of leave mutates from being
founded on the terminated employment contract to being a pure civil
debt. To hold otherwise would be akin to saying a claim founded on
delict ceases to be delictual in nature once the wrong has been
committed.
There
are legion decisions, both by the Labour Court and the Supreme Court,
where judgments have been granted in respect of claims for payment of
cash in lieu of leave, properly treated as labour matters. See, e.g.
First Mutual Life Assurance Ltd v Muzivi 2007 (1) ZLR 325 (S).
I
need only add that the only time that the High Court becomes seized
with such matters is when dealing with applications for registration
of such judgments for purposes of enforcement. Such applications are
purely procedural, not substantive. In disposing of such applications
the High Court is not called upon to delve into the merits of the
matter.
Quite
clearly, I had no option but to uphold the special plea in respect of
this claim.
The
US$90,000.00 being the value of the motor vehicle benefit due to
plaintiff by defendants
The
benefit being ex contractu, what I have said in respect of the claim
for payment of cash in lieu of leave applies in respect of this claim
with equal force. I, accordingly, need not say more.
US$588,000
being delictual damages due from defendants to plaintiff for loss of
employment prospects and/or the impairment of economic prospects
I
do not think the appellation “delictual” vis-a-vis this head of
damages transforms it into a delictual matter. What was important to
me was that the damages suffered were to plaintiff's employment
prospects. The claim therefore remained rooted in labour law.
The
principles applicable in investigating the questions of liability and
quantum of damages are labour law principles. There is a special
platform for that.
It
is the Labour Court.
Such
factors would include the age, health and qualifications of the
plaintiff. The Labour Court, being a court of equity, is statutorily
created and enabled to undertake that exercise. See generally Delta
Beverages (Pvt) Ltd v Kudakwashe Murandu SC38/15.
Costs
As
for the scale of costs, I accept that there has been no pronouncement
by either the Supreme Court or the Constitutional Court on the
jurisdiction of the Labour Court in light of the current
constitutional provisions.
Nyahora
v CFI Holdings (Pvt) Ltd 2014 (2) ZLR 607 (S) did not consider
sections 171(1)(a) and 171(2) of the Constitution vis a vis the
jurisdiction of the Labour Court and the High Court in respect of
labour matters.
Further,
the Chiweshe & Ors v Air Zimbabwe Holdings (Pvt) Ltd case (supra)
is just one of a number of High Court decisions to the effect that
the High Court, being a court of inherent jurisdiction, can entertain
any matter brought before it, labour matters included.
In
light of this unhappy state of the law, and in the exercise of my
discretion, I saw no justification in awarding punitive costs against
plaintiff.
The
law needs to be authoritatively laid out. I am unable to fault
plaintiff for assisting in that endeavour. His submissions, although
not finding favour with me, were invaluable in enabling me to dispose
of the special plea.
Finally,
I wonder why the Labour Court is established and called by that name
if labour matters can continue to be dealt with by the High Court at
first instance.
In
the result, I ordered that;
1.
The special plea is upheld.
2.
The plaintiff's claim is dismissed with costs.
Munangati
and Associates, plaintiff's legal practitioners
Hussein
Ranchod, defendant's legal practitioners