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Civil servants arrive at Velanage, which houses many government offices. Dhauru File Photo

Recommendation to set compensation for unlawful sacking

As per the data provided in the audit report, MVR 2.76 million was paid as compensation to 17 civil servants working in nine institutions.

23 April 2023

By Mohamed Muzayyin Nazim

The Auditor General's Office has recommended to the Civil Service Commission (CSC) to fix the maximum amount of compensation that can be paid to civil servants that are dismissed from employment illegally or unlawfully, in the employment agreement itself,  in an attempt to combat the multifold increase in the compensation amounts the state is required to pay in such cases.

The audit office also asked CSC to frame regulations for taking administrative action against employees who have been negligent in discharging their duties keeping in view the amount included in compensation awards.

CSC's audit report for 2021 was released by the audit office last week.

One of the main issues in the report was that the compensation paid by the state to illegally sacked employees was increasing manifold.

As per the data provided in the audit report, MVR 2.76 million was paid as compensation to 17 civil servants who had worked at nine institutions in connection with 2021 dismissal verdicts.

They had to be compensated because they were dismissed without fulfilling certain requirements of the Civil Services Act, its regulations and the Employment Act, the audit report said.

The audit office's recommendations include:

  • To include in the employment agreement the amount agreed upon by the employee to be paid as compensation in the event of a court decision that dismissal was unlawful

  • Such amount shall be included in the agreement in accordance with the laws, regulations and procedures to be taken into consideration

  • It has been suggested that this change be included in the employment agreement of those who are currently in service and new hires as well

  • In the case of dismissal of an employee, the commission's counsel should take note of the matter and obtain legal advice in writing before dismissal

  • The commission should lay down guidelines for taking administrative action against employees who have been negligent in discharging their duties in view of the amount of compensation to be paid to employees who have been laid off without following the due process of law

  • In cases where the high court decides to pay compensation, including the period of non-execution of the sentence, the state has to recover the additional cost from the negligent employee. 

The audit report also revealed details of compensation given to the 17 people who had to be compensated.

  • The biggest compensation among the nine institutions was MVR 1.44 million (the total compensation to all employees) that was paid to nine employees who were laid off in 2020 by the then Maldives Transport Authority

  • One of the biggest compensation that had to be made to an single individual was MVR 457,769 for the former secretary general of Male City Council in 2021

  • The lowest was MVR 17,620 for a person posted as community health officer at Dhandhoo Health Centre

The report shows that five of the nine institutional cases were awarded to them without appealing in the high court when the employment tribunal decided against the commission.

Another two cases that were decided against the commission ended up in appeal in the high court.

MVR 206,991 additional expenditure had to be incurred, the audit report said, for delay in execution of sentence without appealing. 

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