Thimphu District Court Orders WWF Bhutan to Compensate Former Employee

The Thimphu District Court has ruled in favor of a former communications manager of the World Wildlife Fund (WWF) Bhutan country office, stating that the organization dismissed the employee without following due process. The court ordered WWF to compensate him along with legal costs. The judgment was delivered last week. So far, no appeal has been filed.

The employee joined WWF as a communications manager in June 2020 on a three-year contract, which was renewed for another three years in June 2023. His annual performance reviews from 2021 to 2023 were positive.

In November 2022, WWF announced a new senior communications and marketing manager position. The employee claimed that this move was intended to remove him from the post. Despite earlier positive reviews, WWF cited the employee’s unsatisfactory performance in 2024.

The employee was asked to resign in March 2024 and again in April 2024. He appealed to both the country office and WWF headquarters in the United States but received no support from the management.

In December 2024, he filed a complaint with the Chief Labour Administrator. The Department of Labour’s investigation concluded that WWF had breached Sections 90 and 91 of the Labour and Employment Act 2007 by not adhering to prescribed redundancy procedures, failing to consult affected employees, and neglecting to notify the Chief Labour Administrator.

The employee challenged his dismissal in court and asked for reinstatement, claiming it was unlawful and caused him financial losses of more than Nu 4 M. The court ruled that the dismissal was based upon economic reasons and ordered WWF to pay a year’s salary to the employee within three months from the date of judgment, along with legal costs amounting to Nu 380,000.

Legal Implications:

• Due Process in Employment Termination: The case underscores the importance of adhering to due process when terminating employment contracts. Employers must follow prescribed procedures to avoid legal repercussions.
• Employee Rights: Employees have the right to challenge dismissals they believe are unlawful, and courts can award compensation if due process is not followed.
• Organizational Accountability: Organizations operating in Bhutan must comply with local labor laws, regardless of their international affiliations.

Impact on Citizens:

• Awareness of Rights: The ruling may increase awareness among employees about their rights and the legal avenues available to challenge unfair dismissals.
• Employer Compliance: Employers may become more diligent in following due process, leading to fairer employment practices.
• Legal Precedent: The case sets a precedent for similar disputes, potentially influencing future court decisions and employer behavior.

Conclusion:

The Thimphu District Court's decision highlights the critical importance of due process in employment terminations. It serves as a reminder to organizations operating in Bhutan to adhere strictly to local labor laws to avoid legal consequences. For employees, it reinforces the availability of legal remedies in cases of unfair dismissal.