INNSCOR Africa Limited is entangled in a bruising legal battle with its former senior manager in which the Supreme Court has ruled in his favour and ordered him to be reinstated to his former position without loss of salary and benefits.
The company’s former southern region sales and marketing manager Paul Chimboya, won a protracted legal battle in November 2019 in which he was suing the company for firing him for allegedly sabotaging them.
The final court of appeal in the country ordered Baker’s Inn to reinstate or compensate Chimboya and in the event that reinstatement was no longer possible, the latter was to pay damages in lieu of reinstatement.
Subsequently, the company told Chimboya that it no longer wanted him in their ranks and both parties agreed to terminate the contract in December 2019.
Following the development and in a letter from the company dated 29 November 2019 and in possession of B-Metro, Chimboya was asked to submit his claim for damages and to which he submitted a claim of US$91 000.
“I refer to the outcome of the Supreme Court wherein the company was ordered to reinstate you without loss of benefits or alternatively pay you damages for loss of employment. The company has decided to pay damages in lieu of reinstatement. You are therefore hereby requested to submit your claim for damages for negotiation within seven days of receipt of this letter”.
However, Baker’s Inn says it will pay the amount in local currency despite the fact that the damages were supposed to be in US dollars.
Furthermore, the company has dismissed some of Chimboya’s demands such as bonus, motor vehicle allowance, airtime, school fees allowance, pension contributions, among other allowances.
In its notice of opposition to Chimboya’s demands the company said they were “outrageous”.
“It is common cause that the financial landscape in Zimbabwe changed when the monetary policy in the country converted all contracts signed in foreign currency into Zimbabwean dollars at parity (1:1) basis.
“There is therefore, no basis for applicant to continue making reference to American dollars in his computations. The correct amount should accordingly be ZWL$91 000 and not US$91 000 on backpay. Any loss of value will be compensated by an award of interest at prescribed rate of 5% per annum from the date of the salary fell due to the date of full payment,” the notice reads in part.
Among other demands rejected by Innscor Africa as obscene include US$10 500 bonus for the three years, fuel worth US$8 640 and US$15 600 vehicle benefit.
Chimboya is also demanding an Isuzu motor vehicle.