The term 'unjust' in employment contracts does not create a separate cause of action for unjust dismissal and does not require an employer to provide reasons for dismissal if contractual notice is given.

JUDGMENT

Lady Simler:

1. Introduction

[1] An individual whose employment is terminated by their employer has two possible causes of action in The Bahamas: wrongful dismissal and unfair dismissal. The first depends on breach of contract. The second is a statutory right available to all employees in The Bahamas to be treated fairly upon dismissal, both as a matter of substance and procedure, pursuant to s 34 of the Employment Act 2001 ("the EA 2001"). Two questions are raised by this appeal. The first is straightforward and concerns the adequacy and correctness of the award of damages made to the appellant for wrongful dismissal without contractual notice or an appropriate contractual payment in lieu. The second is whether there is an additional, third, cause of action available to employees in the appellant's position that depends on being dismissed in breach of an asserted contractual right not to have one's employment terminated "unjustly".

[2] As will become clear from the reasons given below, the Board has concluded that the appeal should be dismissed.

[3] In summary, the Board is satisfied that the trial judge's approach to assessing the award of damages for reasonable notice in this case was wrong in principle and her assessment was one to which no reasonable judge could properly have come. The Court of Appeal was therefore entitled to overturn the award and substitute its own assessment, which has not been shown to be wrong. On the second question, there is no additional third cause of action available to the appellant: the words in his contract, requiring that any dismissal shall not be unjust, have no separate normative force and act simply as a contractual reminder or reassurance to employees that their statutory unfair dismissal rights are not excluded and can be pursued in parallel or combination with a wrongful dismissal claim.

2. Factual And Procedural Background

[4] The facts can be summarised shortly. The respondent is the main statutory provider of electricity in The Bahamas. The appellant was employed by the respondent as a senior manager in credit and collections for about 30 years before his dismissal in 2017. He had an unblemished work record with no history of disciplinary proceedings against him and was a loyal employee.

[5] The terms of the appellant's employment were governed by a standard industrial agreement made between the respondent's predecessor (Bahamas Electricity Corporation) and the Bahamas Electrical Managerial Union dated 13 January 2013 (the "Industrial Agreement") and duly registered in accordance with the Industrial Relations Act 1971. The appellant's contract of employment reflected the terms of the Industrial Agreement.

[6] Article 14(2) of the Industrial Agreement is central to this appeal. It governs termination of employment. It provides so far as material as follows:

"ARTICLE 14 Termination of Employment

1) ...

2) The Corporation may terminate the services of an employee by giving reasonable notice in writing having regard for the following criteria: length of service, age of employee, status, loyalty, education and training, health and chances of alternative employment; except that the Corporation may make payment in lieu of giving notice. The Corporation shall not, however, terminate an employee unjustly. The Corporation must settle all entitlements to the employee within two weeks of the effective date of termination as determined by the Corporation and will be no less favourable to the employee than the entitlements provided for in the Employment Act [2001]."

[Emphasis Added]

[7] Leaving to one side the emphasised words (the "Corporation shall not... terminate an employee unjustly"), art 14(2) is otherwise clear and straightforward in its operation. The respondent can terminate the employee's service by giving notice in writing that is reasonable for that particular employee having regard to the specified criteria. The notice period may be commuted to a payment in lieu of notice. Any paym