Court orders Yatu Lau to pay former Finance Manager over $64,000 for unlawful and unfair termination
The Employment Relations Court in Fiji has ordered Yatu Lau Company Limited to pay Salote Tuifagalele more than $64,000 after finding her employment was unlawfully and unfairly terminated. Justice Anjala Wati handed down the August 11, 2025 judgment.
Key facts
– Tuifagalele served as Finance Manager and Board Secretary under a three-year contract that ended on July 31, 2019. She continued working for four months beyond the end of that term.
– The court found that this continuation created a presumption of a new contract for an indefinite period, and that the company breached both the contract and the Employment Relations Act by failing to give proper notice or payment in lieu of notice.
– The company’s December 10, 2019 letter was deemed not to be a valid notice of termination, and Tuifagalele’s employment was considered to have ceased on November 27, 2019.
– Tuifagalele was not paid her final wages on time and was never issued a certificate of service, constituting breaches of the ERA, including section 30(6).
– The judge also criticized how Tuifagalele was treated while on leave overseas caring for her ill parents, describing the conduct as unfair and humiliating.
Financial award
– 12 months’ salary: 45,800
– Lost Fiji National Provident Fund contributions: 4,580
– Pre-judgment interest: 3,652.55
– Unfair dismissal: 10,000
– Total: 64,032.55
– Legal costs: 5,500 to be paid within a month
Impact and context
Justice Wati’s ruling emphasizes the importance of proper contract termination procedures, timely final wages, and fair treatment of employees, including those on compassionate leave. It aligns with a broader pattern in Fiji’s Employment Relations Court where employees have received substantial compensation for unfair terminations and where employers are reminded to follow due process, ensure clear contract conclusions, and honor wage and contribution obligations.
Summary
This decision reinforces workers’ rights in Fiji by upholding a claim of unlawful and unfair termination, ordering significant compensation for lost pay, unpaid contributions, and damages for unfair dismissal, along with required legal costs. It underscores the need for employers to handle end-of-contract matters with clarity, fairness, and timely payments, including when an employee is temporarily away on important personal or family obligations.
Additional note
Employers across the region may take this as a reminder to review termination practices, ensure proper notice or severance arrangements, and maintain accurate records of final wages and service certificates to avoid similar disputes.
Leave a comment