Ex-CMC Motors manager loses Sh4.4m award from wrongful dismissal

A former CMC Motors Group Regional Manager, Yasser Swaleh, has lost Sh4.4 million awarded to him by the High Court for wrongful dismissal.

The Appellate court set aside the award after finding that he was rightfully terminated for misreporting of profits, pre-reporting, and misadvising the business, leading to a loss of over Sh6 million (USD48,000)

Justices AK Murgor, KI Laibuta, and Ngenye-Macharia noted that Swaleh was to report to the Sales and Marketing Director, and not make autonomous, unilateral decisions at his own behest.

“As concerns the award by the learned Judge of sh.4,400,000 as compensation for unfair termination equivalent to eight months’ salary, having found as we have that the respondent’s termination was lawful and procedural, the award was unjustifiable in the circumstances, and for the avoidance of doubt, we hereby set it aside,” said Justice Murgor.

Swaleh was employed as Ford Brand Manager in April 2018 before being transferred to Mombasa as a Regional Manager with a salary of Sh550,000.

The appellate judges said that all Swaleh had to do was honestly report on the number of motor vehicles sold and consult with the sales team in the event of uncertainty.

“The failure to have the so-called credentials on the grounds that they were held by the previous manager, Ms. Kagwiria, is a mere excuse which did not call for him to misreport or overstate profits or sales for his own benefit. In effect, his actions undermined and were prejudicial to the appellant’s motor vehicle business,” said Justice Murgor.

The judges said that if Swaleh felt he did not suit the job description for the job he was offered by the CMC, he had no business applying for it.

Swaleh had told the court that the lack of proper training to handle the CMC’s system led to the variance in the sales of the motor vehicles.

“It is unfathomable that after holding senior positions whilst working in Dubai, and with globally reputable motor vehicle companies, and at some point even training Managers in Kenya, he was
unable to grasp the workings of CMC within a period of nine months or so,” said Justice Murgor.

In his defence, Swaleh primarily blamed his lack of adequate training on the Ford System as the reason behind the misreporting.

CMC said Swaleh misadvised the business on incentives from Ford on the sale of units, resulting in the overstating of expected income margins amounting to USD 145,100.00 on Ford Sales for 2019, negatively impacting the Company financially.

He was also accused of misreporting the sale of 18 units, which led to being awarded USD 2,160.00 as a result of this fictitious reporting.