Former employees of the Central Bank of Nigeria (CBN) have filed a lawsuit against the apex bank, challenging what they describe as unlawful terminations in a mass layoff earlier in 2024. Represented by Stephen Gana and 32 others, the dismissed workers are accusing the bank of violating Nigerian labour laws, its own internal policies, and their contractual rights.
The terminations, which occurred between March and May 2024 under the guise of “reorganisation” and “human capital restructuring,” affected 218 employees, including 116 executive-level staff, 97 senior-level employees, and five junior-level workers. The retrenched workers argue that the process breached the Constitution and the CBN’s Human Resources Policies and Procedures Manual (HRPPM).
In court documents filed on July 4, 2024, at the National Industrial Court of Nigeria (NICN), the claimants assert that the termination letters, issued on April 5, 2024, were arbitrary, unlawful, and unconstitutional. The letters reportedly gave affected staff only three days to vacate their positions and hand over official property.
The claimants allege that Article 16.4.1 of the HRPPM, which mandates consultation with the Joint Consultative Council before employment decisions are made, was flagrantly ignored. “There is no evidence that the Board approved these dismissals,” said one of the affected employees. “The Bank acted arbitrarily, bypassing due process and leaving us with no option but to seek justice in court.”
The dismissed staff are demanding their reinstatement, payment of salaries and benefits from the date of termination, and a judicial declaration that the layoffs are null and void. They are also seeking N30 billion in general damages for psychological distress and reputational harm, along with an additional N500 million to cover the cost of the lawsuit.
Many of the retrenched workers have been left in dire financial straits. Some reported receiving severance payments as low as N5,000, while others claim their gratuities were entirely absorbed to offset outstanding loans. One former employee, who wished to remain anonymous, described the situation as devastating. “After close to a decade of work, I was left with nothing but debt. By the time they deducted my gratuity, I still owed the Bank over N30 million. How does anyone survive this?”
For employees with longer service, the payouts were similarly inadequate. “Fifteen years of loyalty and hard work, and all I got was N5,000,” lamented another retrenched staff member. “This is not just a breach of trust but an outright disgrace.”
The employees also argue that their status under labour laws, often referred to as “statutory flavour,” requires stricter conditions for dismissal. This status obligates the CBN to follow public service rules and other statutory provisions, which they claim were disregarded.
The NICN presiding judge, Justice O. A. Obaseki Osaghae, has encouraged both parties to explore an amicable resolution under Section 20 of the National Industrial Court Act (NICA) 2006. “It is my view that parties should attempt an amicable resolution of this dispute,” the judge remarked during a hearing on November 20, 2024.
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The matter was adjourned to January 29, 2025, to review progress on settlement discussions or proceed with hearing the preliminary objection filed by the CBN. In its objection, the bank argued that it acted within its rights, citing contractual agreements that allowed for three months’ salary in lieu of notice. The bank described the lawsuit as frivolous and raised jurisdictional objections, claiming the case did not fall within the remit of the NICN.
The CBN has defended its actions, maintaining that the terminations were part of an internal restructuring process. The bank insists that the dismissals were unrelated to any misconduct and were carried out in line with contractual agreements. However, attempts to obtain further clarification from the CBN have been unsuccessful. Calls to the bank’s spokesperson, Hakama Ali, did not connect, and follow-up emails went unanswered.
With over 218 employees affected by the layoffs and many still grappling with severe financial and emotional distress, the stakes in this legal battle remain high. As the court date approaches, all eyes will be on the NICN to determine whether justice will be served for the retrenched workers or if the CBN’s actions will be upheld as lawful.
For now, the dismissed employees are holding on to hope for fairness and restitution. “We are not asking for charity,” said one of the claimants. “We are asking for the bank to respect its own rules and give us what we deserve.”