Sacked CBN Staff Drag Bank to Court, Demand ₦30bn in Damages

By Akonasu Gbedozin  Former employees of the Central Bank of Nigeria (CBN), who were dismissed during a mass layoff in 2024, have filed a la...

By Akonasu Gbedozin 

Former employees of the Central Bank of Nigeria (CBN), who were dismissed during a mass layoff in 2024, have filed a lawsuit against the apex bank at the National Industrial Court in Abuja.  

The aggrieved staff, represented in a class action by counsel Okwudili Abanum, are seeking ₦30 billion in general damages for alleged psychological distress, hardship, and reputational harm caused by their termination. They are also requesting an additional ₦500 million for the cost of the suit.  

The plaintiffs, numbering over 30, allege that their dismissals, issued under the guise of “Reorganisational and Human Capital Restructuring” on April 5, 2024, breached the bank’s internal policies, Nigerian labour laws, and their constitutional rights. The claimants argue that the termination process violated: section 36 of the Nigerian Constitution, which guarantees the right to a fair hearing.  

Article 16.4.1 of the CBN's Human Resources Policies and Procedures Manual (HRPPM), which mandates prior consultation with the joint consultative council before employment actions.  

The claimants further allege they were given only three days to vacate their positions and hand over official property, a timeline they describe as abrupt and unlawful.  

The former employees are seeking:  a declaration that their dismissal was illegal, unconstitutional, and null and void; immediate reinstatement to their positions; payment of all outstanding salaries and benefits from the date of termination; restraining order preventing the CBN from further termination of employment without due process.  

While the CBN cited restructuring as the basis for the mass layoffs, affected staff allege discrepancies in severance payments, with some claiming they received as little as ₦5,000, while others reported that their gratuities were withheld to offset outstanding loans.  

During the suit’s first mention on November 20, 2024, Justice O.A. Osaghae encouraged both parties to explore an amicable resolution in line with Section 20 of the National Industrial Court Act 2006. However, the CBN’s legal team, led by Senior Advocate of Nigeria Inam Wilson, filed a preliminary objection to the claims.  

Justice Osaghae adjourned the matter to January 29, 2025, for the hearing of the objection.  

In 2024, the CBN terminated the employment of over 1,000 staff in four batches between March and May. While the bank described the exercise as voluntary and part of a reorganisation plan, the affected employees argue it was conducted without board approval, as required by the CBN Act.  

As the case unfolds, all eyes remain on the court to determine whether the dismissals were in line with established laws and policies or if the claimants will succeed in their bid for redress.