IDT awards millions to axed dairy board CEO

More than four years after he was fired from the position of chief executive officer (CEO) of the Jamaica Dairy Development Board (JDDB), agriculturalist Hugh Graham has been vindicated by the Industrial Disputes Tribunal (IDT) which ruled yesterday that he be paid $27.2 million and reinstated in his former substantive position, or that he be paid a compensation package of $35.1 million.

The IDT panel, which comprised of Errol Miller, Leslie Hall and Clinton Lewis, heard oral and written submissions during 14 sittings between November 24, 2020 and October 19, 2021, with attorney-at-law Ayana Thomas from the law firm Nunes, Scholefield, Deleon and Company representing Graham and attorney-at-law Nickardo Lawson representing the JDDB.

“The IDT’s decision serves as personal vindication and proof that my termination as CEO of the Dairy Board was unjustified. I look forward to resuming my post and working tirelessly with staff and local farmers to fuel further development of the local dairy industry,” Graham told The Gleaner yesterday.

“It is my understanding that the board of directors was dissolved with the appointment of the new minister of agriculture. I look forward to working with him and the new board.”

The dispute stemmed from the dismissal of Graham in May 2017, after his employment contract was renewed with an improvement in emoluments.

The request for continuity was made by Graham in a letter to then permanent secretary in the agriculture ministry, Donovan Stanberry, on May 4, 2016, which stated:

“Please note that my three-year employment contract expires May 14, 2016. A copy of said contract is attached for ease of reference. I am available to continue serving in the capacity of CEO should you so require.

“Please also note that a new board of directors for the JDDB is not yet in place, and there is a risk that same may not be gazetted before May 14, 2016. There would not be enough time to convene a meeting with the new board of directors before the contract expiration.

“There are no alternative management arrangements in place for the JDDB and I am keen to see the progress being made, especially on dairy farms, continue.

“Your approval is sought.”

By June I, 2016, the then agriculture minister responded favourably, in a letter signed by Senior Director, Human Resource Management and Development, Deidre Latibeaudiere, on behalf of Permanent Secretary Donovan Stanberry. It read:

“Dear Mr Graham,

“I am directed to inform you that the Permanent Secretary has granted approval for you to continue in your employment as Chief Executive Officer, with effect from May 15, 2016 until the Board of Management for Jamaica Dairy Development is in place.”

Graham contended that he subsequently fell out of favour with then chairman of the JDDB, Donald Elvey, following his decision to turn down the application from a private sector company to import milk powder from Colombia.

In the evidence he presented, Graham said that when the application was first made in 2015, he explained that the permit was denied on sound scientific evidence, for the reasons of standard, health and food safety. The decision was appealed and upon review was upheld by Karl Samuda who was the minister of industry, commerce, agriculture and fisheries.

SOURCE OF TENSION

However, the company made a new application in February 2017, and Graham advised that following the usual protocol of consulting with the chief veterinary officer, he was advised that Colombia was still not an approved country from which importation was allowed. As a consequence, he again refused to grant the permit.

The company appealed to the agriculture minister who was advised by Graham that the reason for not granting the permit was based on the advice from its own Veterinary Division. Despite this, Graham testified that he later learnt that the ministry was unhappy with his decision and the issue became a source of tension between himself, the board and the ministry.

By May 5, 2017, he received a letter of dismissal signed by Elvey, advising, among other things, that the board in special meeting two days earlier had decided not to retain his services and so his contract would not be renewed.

“In light of the foregoing, we kindly ask, with immediate effect, that you demit the office of Chief Executive Officer and return all property belonging to the Board,” they wrote him.

When pressed for a comment, Dr Derrick Deslandes, who is the chairman of the board of the JDDB, told The Gleaner last night that he had not seen any correspondence on the outcome of the matter and so chose to reserve comment.

Efforts to contact the current Minister of Agriculture and Fisheries, Pearnel Charles Jr, and his permanent secretary, Derman Spence, were unsuccessful, as the calls to their cell phones went to voice mail and up to press time they had not responded to the messages left.

christopher.serju@gleanerjm.com