Over 100 former employees of the Central Bank of Nigeria (CBN) have taken legal action against the bank in the National Industrial Court (NIC), challenging what they describe as their abrupt and unjust termination under a re-organization strategy implemented by the administration of President Bola Tinubu.
The dismissed staff are seeking damages, payment of entitlements, and other compensatory measures.
The sudden dismissal of over 200 CBN staff in May 2024 has been widely interpreted as a strategic move by Cardoso to distance the bank from the policies and personnel of the former governor Godwin Emefiele era. Insiders suggest that the re-organization, which was the official reason given for the mass termination, was a cover for what many perceive as a targeted purge of employees perceived to be loyal to the former CBN Governor.
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This narrative is supported by the timing and scope of the dismissals, which affected a broad swathe of staff, many of whom had years of service remaining. For these employees, the abrupt end to their careers has been both a professional and personal shock, leading them to seek legal redress.
Represented by Senior Advocate of Nigeria (SAN) Ola Olanipekun, the dismissed employees have launched over 100 lawsuits against the CBN at the National Industrial Court (NIC). The legal action centers on claims of unfair dismissal, with the plaintiffs arguing that their termination was not only sudden but also lacked the due process and fairness required by law.
Olanipekun, speaking to journalists in Jos, said that the dismissals have caused significant financial and emotional distress to his clients. The lawsuits demand that the CBN pay all owed salaries, allowances, and other entitlements, as well as compensation for the unlawful termination of their employment.
One of the most high-profile cases involves a former employee who had nine years left before his retirement. According to court documents, this individual would have earned a substantial sum in monthly salaries and is now seeking a total of N178 million in lost earnings, in addition to N100 million in general damages for wrongful termination.
The claimants argue that their termination was not based on performance or organizational needs but was instead a calculated move to clear the decks for the new leadership. This view is bolstered by the nature of the re-organization, which has been described as “sweeping” and “indiscriminate.”
In addition to seeking financial compensation, the lawsuits also demand that the CBN cover the cost of litigation, with a 21 percent post-judgment interest on all sums awarded. The claimants argue that the court should recognize the significant harm done to them, both financially and reputationally, by their sudden and unjust dismissal.
However, financial analysts have noted that the ongoing legal battle could have far-reaching implications for the central bank. They explain that among other things, if the court rules in favor of the claimants, it could lead to a significant financial burden for the bank, as well as potential reputational damage.
The dismissed employees are hoping that the lawsuits, which represent a fight not just for financial compensation, but also for professional vindication, will assuage the pain they have suffered.