The Labour Court of Zimbabwe has ordered Fidelity Life Assurance and its sister company, Fidelity Funeral Assurance, to pay former employee Nickson Busu a staggering US$271,727.81 in back pay and damages, ending a protracted labour dispute that has spanned more than a decade.
Handing down judgment on 31 July 2025, Justice Makamure ruled that Busu, who was dismissed from employment in July 2013, is entitled to 107 months of unpaid salary, fuel allowances, and 12 months' salary as damages in lieu of reinstatement.
"What this means is that the applicant is entitled to his back pay and benefits.
"These will therefore be granted as prayed.
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"The applicant is said to be in his sixties. This appears not to have been disputed by the respondent.
"The chances of him securing alternative employment continue to diminish.
"Respondent, on the other hand, simply indicted that the applicant should not get more than 6 months' worth of damages. Respondent did not suggest at what rate such damages should be calculated. After assessing the record, including the submissions, it is my considered view that the applicant is entitled to 12 months' salary as damages in lieu of reinstatement.
"The applicant is therefore entitled to the following according to his claim," ruled the judge.
Busu, represented by labour lawyer Caleb Mucheche, claimed US$294,396.85 based on a gross monthly salary of US$1,192.00 as reflected in his April 2013 payslip.
Fidelity Life had offered damages equivalent to just six months' salary, but the court rejected this.
The case was remitted to the Labour Court for quantification of damages by the Supreme Court under SC597/24, which had earlier confirmed Busu's unlawful dismissal and ordered compensation in line with the Labour Act.
Busu argued that he had made reasonable but unsuccessful efforts to secure alternative employment due to age and poor health.
While he did not provide specific medical details, the court acknowledged that, at over 60 years old, his chances of re-employment were "continuing to diminish."
Justice Makamure cited precedent from Ambali v Bata Shoe Co Ltd 1999(1) ZLR 417 (S), emphasising that although dismissed employees have a duty to mitigate losses by seeking alternative work, employers cannot use that obligation to evade fair compensation.
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"The principle that it is the duty of the employer to prove that an employee made efforts to look for employment should not stop a dismissed employee from ensuring that they mitigate their loss," said the judge.
The breakdown of the court award includes 107 months' salary of US$233,348.81, fuel allowance (150 litres/month for 107 months): US$24,075.00 and 12 months' salary in lieu of reinstatement: US$14,304.00
The court ordered Fidelity Life Assurance and Fidelity Funeral Assurance to pay the amount or its equivalent in Zimbabwean dollars using the prevailing official exchange rate on the date of payment.
