A National Industrial Court of Nigeria Lagos Division has awarded N1.6m damages against a health Facility, Dr Physiq Global Health & Wellness Ltd, over its failure to comply with provisions of the Pension Reform Act 2014 by not deducting and remitting the claimant’s pension contributions throughout her employment.
A former staff member of the company, Miss Deborah Obase, had dragged the company before Justice O.A. Obaseki-Osaghae over her unlawful suspension.
She also sought among others the declaration that the company’s failure to deduct pension contributions and remittance of the same (comprising both the employer and employee’s contributions ) not later than seven days from payment of the Claimant’s salary to the prescribed custodian is unlawful and a breach of the Claimant’s contract of employment and the Defendants’ statutory duty.
Delivering the judgment, Justice Obaseki-Osaghae declared the omission unlawful and directed the company to immediately remit both the claimant’s pension contributions and its counterpart contributions covering the period from November 1, 2023, to September 25, 2024, into her Retirement Savings Account.
Justice Obaseki-Osaghae also awarded the claimant N1,100,936 as general damages, representing financial losses arising from the employer’s failure to remit the funds, noting that the claimant was deprived of accrued investment income.
The court also granted N500,000 as litigation costs in favour of the claimant.
However, the court dismissed other claims, including allegations of unlawful suspension, workplace harassment, and unfair labour practices.
The court held that the employer acted within the terms of the employment contract in suspending the claimant without pay after a disciplinary action.