Sostenus Wilherm
The High Court has postponed judgment in the Road Fund Administration’s (RFA) appeal against an arbitration award that ordered the reinstatement of two dismissed employees and awarded them more than N$1.47 million in compensation.
Justice Michael Mtambo on Wednesday postponed the matter to 11 September 2026, stating that the judgment was not ready.
The appeal was argued between the Road Fund Administration and former employees Winfred Kabunga and Naomi Mathews, with Immanuel Heita, who acted as the labour arbitrator, cited as the third respondent.
The RFA is seeking to overturn an arbitration award issued by the Office of the Labour Commissioner earlier this year after the arbitrator found that the dismissal of the two employees was substantively unfair.
The dispute stems from the dismissal of Kabunga and Mathews on 31 August 2021 following disciplinary proceedings in which they were accused of dishonesty, misrepresentation and gross negligence.
The allegations centred on the issuing of Confirmations of Payment (COPs) for client accounts, particularly those of extreme customs clearing, despite outstanding balances.
However, Labour Commissioner arbitrator Immanuel Heita found that the RFA had failed to prove the misconduct allegations.
In his arbitration award issued on 26 January 2026, Heita concluded that the evidence did not support findings of dishonesty, misrepresentation or gross negligence against either employee.
The arbitrator found that issuing COPs while client accounts were in arrears was not an isolated or unauthorised practice but formed part of an established operational arrangement introduced by a former manager.
Evidence presented during the arbitration showed that employees had historically issued the confirmations under that arrangement, undermining the employer’s allegation that the practice amounted to misconduct.
Heita also found that duplicate receipt entries, which formed part of the disciplinary charges, resulted from a systemic information technology problem rather than negligence by the employees.
On that basis, the arbitrator concluded that the dismissals were substantively unfair.
He ordered the Road Fund Administration to reinstate both employees to their previous positions, or comparable positions, with effect from 15 February 2026.
In addition, the arbitrator awarded compensation equivalent to 17 months’ remuneration to each employee.
Kabunga was awarded N$937,550.51, while Mathews was awarded N$542,233.19, bringing the total compensation to about N$1.48 million.
The award further directed that all payments be made on or before 28 February 2026.
Unhappy with the outcome, the RFA approached the High Court to challenge the arbitration award.
During Wednesday’s proceedings, Advocate Akweenda appeared for the RFA, while Advocate Gaeb represented Kabunga and Mathews.
Rather than delivering a decision, Justice Mtambo postponed the matter to 11 September, indicating that the court required more time to finalise its judgment.
The forthcoming judgment is expected to determine whether the arbitration award stands or whether the dismissals and compensation orders will be set aside.
