THE UNITED REPUBLIC OF TANZANIA
JUDICIARY
IN THE HIGH COURT OF TANZANIA
SONGEA SUB-REGISTRY
AT SONGEA
LABOUR REVISION NO. 16053 OF 2024
(Originating from Labour Dispute No. CMA/RUV/SON/11/2023/07/2023, Delivered by
Hon. Hilary N.J (Arbitrator) on 24/05/2024)
ARINEITWE MOSES …….…………………….……….………………… 1ST APPLICANT
FRENK NASHON …………………………...………….….……………… 2ND APPLICANT
VERSUS
GOVERNING BOARD OF PIHAS …….………………………………….. RESPONDENT
RULING
28th November, 2024 & 6th February 2025.
KAWISHE, J.:
The applicants herein above named have moved this court under the
provisions of rule 24(1), (2) & (3) of the Labour Court Rules, 2007 (GN. No.
106 of 2007) seeking, among others, the order that this court be pleased
to call for records and examine the proceedings of the Commission for
Mediation and Arbitration at Songea (hereafter referred as CMA)
1
in Labour Dispute No. CMA/RV/SON/11/2023/07/2023, which was decided
in favour of the respondent.
The facts leading to the present application are as follows: The
applicants are medical doctors by profession possessing Diploma in Clinical
Medicine. That from 27/10/2021, the applicants worked as assistant tutors
at the respondent’s education institution known as Peramiho Institute of
Health and Allied Science (PIHAS) located at Peramiho within Songea
District. According to their employment offer, they were given a probation
period of six months, with the condition that they will be given employment
contract after the expiry of the probation period. Their probation period
expired on 27/04/2022. Nothing was done but the applicants continued
working with the respondent and they were paid their allowances until
December, 2022 when their allowances were cut off. They made some
follow ups to the respondent’s management staffs including the
respondent’s bursar without success. It was on 17th January, 2023, when
the applicants wrote a letter to the respondent’s principal asking for
clarifications as to why their December, 2022 salaries were not paid and
the same was replied on 26th January, 2023, while they resigned from their
positions on 23rd January, 2023, on the ground of constructive or forced
2
termination, that the respondent who created an intolerable working
environment which necessitated the applicants to resign from their
positions.
Thereafter, on 27th January, 2023, before being served with the reply
letter from the respondent’s principal, the applicants filed a complaint
before the CMA at Songea. In their complaint they alleged that the
respondent has forced them to resign from their positions and prayed to be
paid a total of TZS 22,271,926.00 being the two months salaries, notice of
termination, severance payment, annual leave and compensation which is
equal to 12 months’ salaries. The applicants also prayed to be given
employment letter and Certificate of Service.
The CMA found that there was no constructive or forced termination.
It was found that, the applicants were only part time tutors and ordered
them to be issued with the Certificate of Service after their resignation.
Dissatisfied with the decision of the CMA the applicants have approached
this court by way of application for revision raising the following issues.
i. Whether the arbitrator was correct to uphold that there was no
constructive termination of employment contract that made the
applicants to resign.
3
ii. Whether the arbitrator was correct in ordering the applicants to be
given only the Certificate of Service on the ground that they were
part time tutors.
The applicants prayed for this court to revise and quash the arbitral
award issued by the CMA and order for the applicants to be paid their
reliefs sought before the CMA. As it was before the CMA, both parties were
represented in this application. While the applicants were represented by
Mr. Edmund Alois Nditi, the respondent was represented by Mr. Frank J.
Ngafumika, learned advocate.
By the parties’ consent, the application was argued through written
submissions. Both parties complied with the scheduled orders and filed
their submissions accordingly.
Arguing in support of the application, Mr. Nditi contended that, the
applicants were fully employed by the respondent on 27/10/2021 and on
the first six months’ probation period they were paid TZS 400,000.00 and
after the expiration of that period they were paid TZS 684,480.00 per
month. That they were paid that amount until December, 2022 when the
payments were cut off despite the fact that they were still working with the
respondent. That following the respondent’s refusal to pay salaries they
4
made some efforts claiming to be paid but all proved failure as a result on
23rd January, 2023, they wrote a resignation letter due to intolerable
environment created by the respondent by refusing to pay remunerations
which was accompanied by vague statement made by the respondent’s
secretary against the applicants.
Mr. Nditi went on submitting that, the respondent’s conducts forced
the applicants to resign from their position, alleging that there was forced
termination. That following that termination they filed labour dispute
before the CMA. On 26th January, 2023, the respondent wrote an
apologizing letter to the applicants on what has happened and asked them
to send their complaints to the respondent’s bursar for the payment of
their claims. He added that, in her letter, the respondent acknowledged
that the applicants were bonafide tutors of the respondent. Since the
applicants had already resigned and referred their dispute before the CMA,
they never heeded to the request made by the respondent and the matter
proceeded before the CMA. At the end the applicants were only awarded
with the Certificate of Service and all other claims were dismissed on the
ground that the applicants were not employees of the respondent but were
part time tutors. Mr. Nditi argued that, the evidence given by the
5
respondent clearly shows that the applicants had employment contract
with the respondent. He also criticized the CMA basing on the fact that, by
considering the guidelines issued by NACTE, the applicants were not
eligible to be employed on the claimed positions since those evidence were
only given by the respondent during final submission which was not a
proper avenue of presenting a new piece of evidence.
On the issue of whether there was a constructive termination, Mr.
Nditi referred to the provisions of section 36(a) of the Employment and
Labour Relations Act (Cap. 366, R.E 2019) and rule 6(4) (a & b) and 7 (1)
of the Employment and Labour Relations (Code of Good Practices) Rules,
2007 and argued that, the evidence given by the respondent proved clearly
that there was constructive termination of employment. To bolster his
argument, he cited the decision of the Court of Appeal made in the case of
Kobil Tanzania Limited vs. Fabrice Ezaovi, Civil Appeal No. 134 of
2017 in which the Court cited with approval the decision of Labour Court of
South Africa in the case of Solid Doors (Pty) Ltd vs. Commissioner
Theron & Others, (2004) ILJ 2337 (LAC). He insisted that, in the present
application, the respondent made the working environment intolerable for
the applicants to continue working with the respondent as a result, they
6
were forced to resign from their positions. He prayed for the decision made
by the CMA to be revised and the applicants be awarded with the prayers
made before the CMA.
In his short and brief reply, Mr. Ngafumika argued that, this
application is misconceived and it is devoid of merits. He submitted that,
for one to allege there was constructive termination, the employee must
establish that he/she terminated an employment contract with the
employer. He added that, in this application there was no proof that there
was an employment contract between the parties and the applicants
cannot be heard to have terminated employment contract. He added that,
the applicants had no employment contract with the respondent after the
expiry of the probation period of six months but they worked as part time
tutors and they were paid allowances and not salaries. He amplified that,
the applicants were paid their allowances after filling special forms and the
two months which were not paid, they failed to fill the relevant forms for
their payment to be effected.
Mr. Ngafumika referred this court to the decision made in the case of
Edward Jonas vs. Tanzania Breweries Ltd, Civil Appeal No. 394 of
7
2020 (unreported) and insisted that, this application is devoid of merit and
prayed for this court to dismiss it.
In a terse rejoinder submission, Mr. Nditi criticized the respondent’s
counsel submission that, the applicants were part time tutors and they
were paid their salaries upon filling the payment forms, something which
was not testified or made known before the CMA. In respect to the parties’
relations in this application, he averred that, the applicants had a full-time
employment contract and not part time as submitted by the respondent’s
learned counsel. He added that, after the expiry of the probation period,
the applicants remained to be full time tutors and they were paid their
salaries except for the last two months before they resigned. Mr. Nditi
insisted that, the applicant’s resignation was forced by the respondent’s act
not paying salaries to the applicants. Lastly, he reiterated his prayer made
in submission in chief.
I have carefully followed the opposed submissions made by the
applicant’s representative and the learned counsel for the respondent,
gone through the prayers made by the applicants in this application and
perused the original records from the CMA, now this court is called to
determine on the merits or otherwise of this application.
8
At the outset, I hasten to state that, the submission made by both
parties and the available records speak for themselves that the applicants
used to work with the respondent since 27th October, 2021 to the date
when they resigned that is on 23rd January, 2023. What is in dispute is
whether the applicants were employed in a full time or part time
employment contract. In respect to the circumstances of the matter at
hand and having considered the prayers made by the parties, the issue of
whether the applicants had a full time or part time employment contract
needs to be looked at. In my view, the issues which this court is asked to
address are only two. The First is whether there was constructive
termination of employment contract and the second is what are the
available reliefs.
Starting with the first issue, the term constructive termination is
provided under rule 7 (1) of the Employment and Labour Relations (Code
of Good Practice) Rules (supra) provides as follows:
“7 (1) Where employer makes an employment intolerable which may
result to the resignation of the employee, that resignation amounts
to forced resignation or constructive termination.”
In the instant application, the applicants have the view that, their
resignation in their posts was due to the respondent’s refusal to pay
9
salaries which made the working environment intolerable. On that respect,
my starting point will be on section 36 (a) (ii) of the Employment and
Labour Relations Act (supra). The provision reads as follows
“For purposes of this Sub-Part-
(a) “termination of employment” includes-
(ii) a termination by an employee because the employer made
continued employment intolerable for the employee;”.
Now, the issue is whether the respondent caused the applicants to
resign? To address this question, I have to make a clear scrutiny of the
relevant law. Rule 7 (2) (i) & (ii) of the Employment and Labour Relations
(Code of Good Practice) Rules (supra) provides as follows:
“Subject to sub-rule (1), the following circumstances may be
considered as a sufficient reason to justify a forced resignation or
constructive termination.
i. Sexual harassment or the failure to protect the employee
from sexual harassment; and
ii. If an employee has been unfairly dealt with, provided that
the employee has utilized the available mechanism to deal
with grievances unless there are good reasons for not doing
so.”
Having gone through the cited provisions, to have a clear
understanding, I have been compelled to seek interpretation guidelines
from court decision in our jurisdiction and outside our jurisdiction. To be in
a position to make a rational decision, I wish to borrow the reasoning
10
made in Katavi Resort vs. Munirah J. Rashid [2013] LCCD 161, where
five criteria to be considered in deciding on whether there is constructive
termination were articulated. Those criteria were approved by the Court of
Appeal in the case of Kobil Tanzania Limited vs. Fabrice Ezaovi
(supra). Those criteria are: One, did the employee intend to bring the
employment relationship to an end? Two, had the working relationship
became so unbearable objectively speaking that the employee could not
fulfill his obligations to work? Three, did the employer create an
intolerable situation? Four, Was the intolerable situation likely to continue
for a period that justified termination of the relationship by the employee?
Five, was the termination of the employment contract the only reasonable
option open to the employee?
By analogy, taking into consideration the circumstances of the
present application, I find the first criteria is answered in the affirmative. It
is clear from the records that, the applicants really wrote letters informing
the respondent that they are resigning from their positions within twenty-
four (24) hours. Reading their letters, I have no doubt that they had
intention of bringing their employment contract with respondent to an end.
11
Turning to the second criterion whether the working relationship
between the applicants and the respondent became so unbearable, that
the applicants could not fulfill their obligations, the applicants’ reason for
their resignation is said to be the respondent’s refusal to pay salary to the
applicants and the use of vague words by the respondent’s secretary
against them that they were no longer employees of the respondent. I
have made a critical scrutiny to the available evidence and found that, in
several occasions before their termination the applicants used to request
for the payment of unpaid salaries from the respondent. The claims were
for more than one month and they still worked with the respondent. Also,
it is in the records of the CMA that, apart from the salaries which the
applicants were paid, they were given residential houses whereas, water
and electricity bills were paid by the respondent. The applicants also
admitted to have received a letter written by the respondent’s principal
giving directions on how they can be paid their claims. This indicates that,
there were ongoing mechanisms and the respondent was ready to pay the
applicants’ claims. From all those facts, I find it is difficult to rule that, the
working environment was unbearable. Therefore, the second criterion is
answered in the negative.
12
Banking on the second criterion in determining this application, the
answer to the same showed that, the working environment was not
intolerable. As a result, the third and fourth questions do not arise.
Testing the fifth criterion in determining on whether there was
constructive termination the provisions of rule 7 (2) (i) & (ii) of the
Employment and Labour Relations (Code of Good Practice) Rules (supra)
are relevant. The rule sets the condition that, in order for constructive
termination to exist, the employee’s act to resign must be one of last
resort. It must be taken when there is no any other means of resolving the
dispute at the work place. Failure to exhaust the available procedures may
lead the adjudicating body to reject the claim of constructive termination.
Borrowing leaf from other jurisdictions, in the case of Foschini Group vs.
Commissioner for Conciliation, Mediation and Arbitration & Others
(2008) 29 ILJ 1515 (LC), the Labour Court of South Africa had this to state
in respect to constructive termination:
“Where an employee resigns and claims a constructive dismissal
under circumstances where he did not avail himself of an available
grievances’ procedure or the mechanisms for dispute resolution
provided for in the Labour Relations Act, he will have to show very
compelling reasons why he failed or refused to follow the procedures
available to him prior to resignation”.
13
Guided by the excerpt quoted while looking at the application at
hand, it is in the applicants’ testimonies that, they orally communicated
with the respondent’s bursar and secretary without success and finally they
wrote a letter to the respondent’s principal who replied them that they
were recognized as employees of the respondent and they must send their
claims to the bursar for the payment. Instead of following the procedures
given by the respondent’s principal, the applicants filed a complaint before
the CMA demanding that there was constructive termination. Their reason
as to why they failed to follow what was directed by the respondent’s
principal is the fact that, they had already filed labour dispute before the
CMA when they were served with the letter from the respondent’s
principal. In my view, filing a labour dispute before the CMA cannot be a
good reason making the applicants unable to follow the directives to settle
the complaint. Under such circumstance, I do not hesitate to state that,
their resignations were without a good reason. They resigned while there
was still a room for solving their dispute without resignation. Thus, this
court finds there is no cogent reason to fault the decision made by the
CMA that, constructive termination was not proved and the first issue is
answered in the negative.
14
The second issue is on the remedies available in this application.
From what has been stated herein above, there is no dispute that, the
applicants were employees of the respondent regardless of the form of
employment. Also, it is clear that, they were paid monthly allowances of
TZS 684,480.00 and the applicants were not paid two months allowances
before they resigned. As depicted above, their resignation was voluntarily
made and did not abide to the statutory requirements provided under the
law. Bearing in mind that, the applicants claim for constructive termination
failed, the only remedy is for the unpaid allowances.
Given the finding reached, what is the way forward? According to
section 41 of the Employment and Labour Relations Act (supra), the
applicants were required to give notice notifying the respondent that they
were terminating their employment stating the reasons and date of the
notice. It is a settled law that in leu of one-month notice, the party
terminating the employment has to pay a one-month salary. Analyzing the
procedures opted by the applicants, it is crystal clear that they did not
abide to the statutory requirements. This can be observed in their tendered
exhibits P6 and P5 which show that the applicants issued the notification of
forced resignation on 23rd January, 2023. The applicants’ notifications are
15
replica of each other. For the sake of clarity, I wish to quote exhibit P6
which states:
“That following that Notification, I give your Office Three days to pay
my Terminal dues that will be attached with this letter hereunder as
the Termination has been constructively made by your Office.”
The available records show that the respondent replied to their
claims on 26th January, 2023. This is shown under exhibit P7 tendered
before the CMA. The respondent’s letter requested applicants on two
issues, I wish to quote:
“Gather all the relevant documents for your claims of salary and submit to the
bursar’s office for further processing your due payments. Lastly, collect all
your relevant documents to support your employment claims and submit them to
the office of the Interim Care Taker, who on behalf of the governing body (the
employer) is entrusted with all major decisions pertaining employment issues.”
[Emphasis added].
After having carefully observed the applicants’ notification and the
response from the respondent, I am of the view that, the respondent’s
requests were to be followed by the applicants in order to know their fate.
I have failed to apprehend the intention of the applicants opting for
litigation in place of following the instructions of the respondent. For a
reasonable man’s logic, litigation would have been preferred after the
outcome of the respondent’s request has been followed and proved to be
16
unsuccessful. The records available show that, the applicants did not
honour the respondent’s request. The CMA’s judgment at page 19 show
that the applicants received the respondent’s letter on 26th January, 2023
and filed their claim on 27th January, 2023.
Just considering the matter deeply, it can be implied that, since the
applicants’ notifications demanded action within three days, and the
respondent replied after ten days, their patience left for vacation. In my
view, the ten days taken to respond, was reasonable time given that an
institution has procedures to respond to claims like the one at hand, this is
in line with the explanation given in the respondent’s letter. Also, it is a
considered view that, if there was an unreasonable delay in replying to
their claim, it was wise to write a reminder to the respondent.
Although, there was an option to settle the matter within the
mandate of the respondent, the applicants preferred the hard way. It is
well known that, remedies available in settling a dispute have to be
exhausted before opting for adjudication. This was well stated by the Court
of Appeal in the case of Kobil Tanzania Limited vs. Fabrice Ezaovi
(Civil Appeal 134 of 2017) [2021] TZCA 477 (16 September 2021), where
the Court stated:
17
“To recap, we find that the respondent's act of resignation was not
one of last resort. He did not prove any condition that made the
employment unbearable. He did not exhaust the dispute resolution
mechanism at his disposal. His resignation was out of the blue, so to
speak, and did not disclose the reason for taking that course. His
employer, through Mr. Segman, was ready to discuss the matter
with the respondent but the latter did not give the former the
opportunity to remedy the situation. His resignation was thus
tendered while there was still room for solving the problem without
resignation. Constructive dismissal was not proved.”
This authority cited has similar circumstance as the application at hand.
The position set by the Court of Appeal is binding on this application. The
applicants had a room to discuss the matter with the respondent instead of
resigning and institute the claim as they did. Given the approach preferred
to by the applicants, it is unfortunate that, it has proven to be futile. The
applicants claimed that they became permanent employees upon the
expiration of the probation period. A fact which was disputed by the
respondent that they were not permanent employees and were being paid
allowances upon filling in prescribed forms. That, they should fill the forms
and be paid their allowances. In my view, the respondent is not disputing
their allowances to be paid, provided that they fulfill the requirements
stated. Taking from their allegation that they were permanent employees
then, the applicants were required to follow the statutory requirement of
18
giving notice as prescribed by the law before resignation. Instead, the
applicants issued a three days’ notice to the respondent. Consequently,
they did not abide to the principle that the notice was to be for one-month
before resigning. Failure of which, they were to give to their employer one-
month salary in lieu of the statutory notice. Accordingly, if it is agreed that
they were permanent employees they should have given one-month salary
to their employer in lieu of the one-month notice. Thus, since they are
claiming a two months’ salary, one-month salary should be deducted from
the unpaid salary and each applicant is entitled to be paid only one-month
salary. However, the records available do not show that they were
permanent employees as they were being paid as per assignment. The
records show that, they had to fill in forms in claiming their payments.
At this juncture, I find it imperative to define the term employee,
section 4 of the Employment and Labour Relations Act (supra) states that:
“employee” means an individual who -
a) has entered into a contract of employment; or
(b) has entered into any other contract under
which—
(i) the individual undertakes to work personally for the other party to
the contract; and
(ii) the other party is not a client or customer of any profession,
business, or undertaking carried on by the individual; or … “
19
From the provisions of the Act, for a person to be recognized as an
employee should have a contract with the employer. Apart from the
respondent’s repudiation that the applicants were not permanent
employees, I think, a permanent employee should prove the following:
(1) Appointment letter.
(2) Confirmation of the employment.
(3) Contract for employment.
(4) Salary deducted for contribution to social security fund.
(5) Employer’s contribution to the social security fund.
(6) Monthly salary.
(7) Pay as you earn – tax.
The applicants tendered only the appointment letter which informed them
of their appointment with a condition that upon satisfaction at the end of
the probation period, they would be offered with a contract for permanent
employment. Both the applicants and the respondent submitted that the
contract was not issued neither signed between the applicants and the
respondent. So far, no proof to show that they signed the contract, no
confirmation letter, no evidence that contributions were submitted to the
social security fund neither proof of monthly salary paid to them. That
20
being the case, I see no cogent reason to disturb the order given by the
CMA of awarding the applicants with Certificates of Service as they did not
prove that they were permanent employees and that their resignation was
a constructive one.
The records available show that, all parties agree that there are two
months allowances due to the applicants however, the respondent under
paragraph 4 of his counter affidavit and the reply to the applicants’
submission contended that, the applicants should have proved the work
they did so that they could be paid their allowances. In contradiction, the
respondent’s letter dated 26th January, 2023 admitted and marked as
exhibit P7 replying to the applicants’ claim for payment admitted and
marked as exhibit P12 required the applicants to gather relevant
documents on their claim for salaries and submit to the bursar’s office. The
wording of the respondent’s letter shows clearly that, the applicants’ claim
was recognized. If not so, the respondent could have not requested them
to submit documents to the bursar’s office for payment processing.
Instead, as the principal of the respondent/institution should told them the
reasons for paying them their allowances.
21
In the event, from what I have endeavored to discuss herein above, I
find the application is partly allowed to the extent that, the applicants are
entitled to two months’ allowances and the certificates of service. This
being an employment dispute, I make no order as to costs.
It is so ordered.
DATED and DELIVERED at SONGEA this 6th day of February,
2025.
E. L. KAWISHE
JUDGE
COURT: Ruling delivered in the presence of Mr. Edson Mbogoro
advocate holding brief for Mr. Frank Ngafumika, advocate and in the
presence of Mr. Edmund Alois Nditi, applicants’ representative.
Right of appeal explained.
E. L. KAWISHE
JUDGE
06/02/2025
22