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Court Awards Damages Against Works Minister, AGF Over RSDT Workers N423. 7m Unpaid Salaries -Paul Sanusi 

Justice Sinmisola O. Adeniyi of the Abuja division of the National Industrial Court (NICN) ihas ordered the Federal Government to pay 23 former members of the Road Sector Development Team (RSDT) a total of N423, 729, 829.77 million, in outstanding salaries, holding that the workers were unlawfully denied their wages after rendering services between October 2022 and May 2024.

Justice Adeniyi made the order in a judgment in the suit marked NICN/ABJ/414/2024, filed against the Minister of Works and Attorney General of the Federation (AGF) by the deprived workers.

In making the order, Justice Adeniyi ruled that the claimants successfully proved that they continued working on critical federal road projects under the supervision of the Federal Ministry of Works despite the expiration of foreign funding for the programme.

The claimants in the suit are: Oprite Malvan Iyalla; Joseph Olugbenga Olumolawa; Hamisu Musa Aliyu; Rufai Abdul-Azeez; Madaki Yakubu Sani; Adedapo Ademola; Site Ikechukwu Onyejekwe; Ashikeni Vivian; Adebayo Adebola Olufisayo; Jimoh Yakubu; Amajirionwu Cornelius Iheanyi; Jude N. Ofili; Adedeji Rasak Adewunmi; Emmanuel Oko; Aminat Zakariyawu; and  Funmilayo H. Obalugemoh

Others are: Ibrahim Dindi; Ehichoya Ofure; Ogunnubi Omotoyosi; Yakubu Hafsat Adenike; Oke Funmilayo Joy; Onamade Sunday; Victor Nwabunwa; Haruna Mohammed Baba; Ayo Lawson; Solomon Seidu and Ibrahim Mohammed Kani.

During the hearing of the matter, the claimants have contended that the dissolution of the RSDT through a letter dated May 14, 2024, without settling their outstanding salaries, was unlawful. 

They therefore asked the court for a declarations affirming their entitlement to the unpaid salaries, payment of N423.7 million, general damages, interest, and litigation costs.

Buth the two defendants had however, argued that the RSDT was a semi-autonomous body funded by the World Bank and the African Development Bank (AfDB). While insisting that the ministry was not their employer, and could not be held liable for their salary obligations. It also contended that the RSDT should have been joined as a necessary party in the suit.

In deciding the suit, Justice Adeniyi rejected the defence put up by the defendants, holding that the evidence before the court established that the RSDT was created, supervised and ultimately dissolved by the Federal Ministry of Works. 

The Judge found that the ministry failed to prove that the RSDT possessed a separate legal personality capable of suing or being sued independently.

The judge further held that the government could not continue to benefit from the services of the workers on ongoing road projects after the cessation of donor funding and later refuse to pay them. Relying on the doctrine of estoppel by conduct, the court ruled that the defendants were prevented from denying liability after allowing the claimants to continue working without notifying them that funding had ceased.

Justice Adeniyi also noted that the defendants did not dispute the amount claimed as outstanding salaries or deny that the claimants rendered services during the period in question.

Consequently, the judge declared the workers entitled to their unpaid salaries, while ordered defendants to pay N423,729,829.77, million as claimants’ unpaid salaries.

Justice Adeniyi also awarded the sum of N5 million as general damages, N500,000 as costs, and directed that the judgment sums be paid within 30 days, failing which they would attract 10 percent annual interest until fully liquidated.