Industrial Court Orders Shoprite to Pay ₦10M for Wrongful Dismissal of Employee
The National Industrial Court in Ibadan has ruled against Retail Supermarkets Nigeria Limited, popularly known as Shoprite, over the wrongful termination of one of its employees, Atinuke. In a landmark judgment, the Presiding Judge, Hon. Justice Dele Peters, described the termination as an act of unfair labour practice, citing violations of company policy, employment contract terms, and international labour standards.
According to the court, Shoprite failed to follow due process and denied Atinuke the right to a fair hearing before her dismissal. The judge declared that the dismissal process did not comply with international best practices and contravened provisions of ILO Convention 158.
As part of the ruling, the court ordered Shoprite to pay:
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₦190,000 as salary in lieu of notice,
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₦10 million as damages for wrongful termination, and
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₦500,000 as cost of legal action.
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Atinuke had argued that her termination was not only unjust but carried a stigma that damaged her reputation and hindered future employment opportunities. She claimed she was abruptly dismissed without the chance to defend herself and was barred from returning to work the next day, making it impossible to respond to any allegations.
In its defence, Shoprite insisted that Atinuke was not owed any additional payments and that her dismissal followed proper procedures. The company further argued she failed to prove any wrongful conduct in her termination.
However, Justice Peters disagreed, noting multiple procedural inconsistencies. He stated that Atinuke’s dismissal was effective the same day it was issued, with no evidence of prior notice or payment in lieu. He added that the allegations leading to her suspension were inconsistent and procedurally flawed.
“The reasons for the termination carried a damaging stigma,” Justice Peters said, emphasizing that this justified substantial compensation beyond standard notice pay.
He concluded that Shoprite’s actions violated its internal policies and Nigeria’s obligations under international labour law, especially the ILO Convention, which protects workers from unfair dismissals.
This ruling sets a strong precedent for employee rights and employer accountability in Nigeria’s labour system.
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