LABOUR LAW ā Termination ā Master May Dismiss Servant for Any Reason or No Reason; Wrongful Dismissal Not Void
Principle Statement
Ordinarily a master is entitled to dismiss his servant for good or bad reasons or for no reason at all. Termination of a contract of service even if unlawful brings to an end the relationship of master and servant. This rule is based on the principle of confidential relationship which cannot continue in the absence of mutuality.
Ratio Decidendi (Source)
Per Oguntade, JSC, in Garuba v. Kwara Investment Company Ltd. & Ors (2005) NLC-2602000(SC) at pp. 11ā12; Paras EāC.
"It is a well established principle of the common law, and of Nigerian law, that ordinarily a master is entitled to dismiss his servant from his employment for good or for bad reasons or for no reason at all. ā¦ In the ordinary case and following the common law principle, termination of a contract of service even if unlawful brings to an end the relationship of master and servant, employer and employee. This rule is based on the principle of the confidential relationship between master and servant which cannot continue in the absence of mutuality."
Explanation / Scope
In private employment, a master may dismiss for any reason or no reason. Wrongful dismissal ends the relationship but entitles the employee to damages, not reinstatement. The principle applies to labour law (non-statutory employment). The rule reflects the confidential nature of employment. Courts will not compel continued employment without mutual consent. The only remedy for wrongful dismissal is damages.
