[2000]DLCA109 • March 2, 2000 • Court of Appeal
AKUFO AND OTHERS vs VOLTA ALUMINIUM CO LTD
The appellants were employees of Volta Aluminium Co Ltd (Valco) who were declared redundant on 16 May 1994 and paid two months' salary in lieu of notice. They claimed that their terminal benefits should have been calculated based on the remuneration that would have accrued to them by 15 July 1994, reflecting a wage increase of 71.25% effective from 1 July 1994, which occurred during the notice period. The appellants contended that the payment based on May 1994 salary diminished their entitlements unfairly.
read moreJUDGEMENT Brobbey JA. The respondent company employed the appellants until 16 May 1994 when they were declared redundant. They were paid two months’ salary in lieu of notice and their employment terminated. Dissatisfied with the two months’ salary, they issued a writ of summons at the High Court, Tema claiming: “(i) A declaration that the calculation of their terminal benefits should be based on the amount of remuneration which would have accrued to them by 15 July 1994. (ii) An order directing the defendants to pay plaintiffs the balance of their terminal benefits on (i) above. (iii) Interest on the balance from the day it became due to the date of payment.” After the trial at the High Court, Tema judgment was given in favour of the respondent company. Dissatisfied with the judgment, the appellants appealed to this court on the main grounds that: “(a) The learned trial judge erred in law when he held that the calculation of the plaintiffs’ end-of-serv...