Industrial Court backs Sanyu FM: Why the Station was right to sack Ex-COO Betsy Mugamba After a five-year legal battle, the Industrial Court has ruled that Sanyu FM lawfully dismissed its former Chief Operations Officer, Betsy Mugamba, following the 2020 staff strike over COVID-19 pay cuts. The court found the process fair and the reasons valid, affirming the station’s right to act in defense of its operations and brand integrity.

The Industrial Court of Uganda has ruled that the dismissal of former Sanyu FM Chief Operations Officer, Betsy Mugamba, in 2020 was both lawful and justified, bringing to an end a protracted five-year legal battle that stemmed from a controversial staff strike over COVID-19-related salary cuts. In a detailed judgment delivered by Justice Anthony Wabwire Musana, the court found that Sanyu FM followed due process in terminating Mugamba’s employment, both procedurally and substantively, and that the dismissal was based on valid and reasonable grounds.

Mugamba, who had been with Sanyu FM since December 1993, rising from Marketing Executive to Chief Operations Officer by 2005, was at the center of a labor dispute during the pandemic. When the station, like many businesses, implemented a 25% pay cut to stay financially viable amid falling revenues, a group of 27 employees led by Mugamba reportedly rejected the cuts and went on strike. The strike disrupted broadcasts and, according to management, damaged the company’s reputation. Sanyu FM later accused Mugamba of inciting and participating in the illegal strike, which she denied.

Following an internal investigation led by media consultant Dr. Joel Isabirye, Sanyu FM suspended Mugamba on August 19, 2020, and convened three disciplinary hearings between August and September of the same year. After reviewing the evidence and hearing from both sides, the management summarily dismissed her on September 25, 2020. Mugamba then sued the company for unfair and unlawful termination, seeking over Shs 792 millionin damages for lost income and emotional distress. Through her lawyer, Anthony Bazira of Byenkya, Kihika & Co. Advocates, she argued that she was unfairly targeted and that her participation was limited to signing a staff letter protesting the salary reductions “in solidarity” with her colleagues. She claimed that she never stopped working and that the disciplinary process was biased and flawed.

Sanyu FM, represented by Elias Matovu and Shafic Mutesasira of Mugisa, Namutale & Advocates, defended its decision, asserting that Mugamba’s conduct amounted to gross misconduct. As a senior manager, they argued, she had a higher responsibility to maintain operations and could not be seen to side with staff in an unlawful strike. They told the court that she had been accorded adequate time and a fair hearing, including the opportunity to cross-examine witnesses and respond to charges. The company insisted that all procedures under Section 65 of the Employment Act had been followed.

In his ruling, Justice Musana agreed with Sanyu FM, concluding that the disciplinary process had been fair and transparent. The court determined that Mugamba had been duly notified of the charges against her, given adequate time to prepare her defense, and provided an opportunity to be heard. The judges also found that the strike she supported was unlawful because the employees failed to notify the Labour Officer, a requirement under the Labour Disputes (Arbitration and Settlement) Act. Since Sanyu FM was considered an essential service provider during the pandemic lockdown, the absence of such notice rendered the strike illegal.

Justice Musana emphasized that Mugamba’s role as Chief Operations Officer came with a duty of trust and loyalty to her employer. By signing a letter endorsing an unlawful strike, even under the guise of solidarity, she breached that trust. “As a manager who is the eyes and ears of management, she was expected to represent her employer’s interests. By endorsing an unlawful strike, she breached the duty of trust and confidence owed to her employer,” the judge wrote. The court concluded that Sanyu FM had genuine and reasonable grounds to dismiss Mugamba and that her claims for compensation were unfounded. However, in the spirit of fairness, the court ruled that each party should bear its own costs.

This ruling reinforces the importance of adhering to procedural fairness and legal compliance in employer-employee relations, particularly in essential service sectors such as broadcasting. It also underlines the heightened duty of care expected from senior managers, especially during crises that threaten business continuity. For Sanyu FM, the decision marks vindication after years of legal scrutiny, confirming that its handling of the 2020 labour dispute was consistent with Uganda’s employment laws.