Introduction

In the realm of employment relationships, disciplinary actions are sometimes necessary to ensure order, accountability, and productivity within the workplace. One of the tools often considered by employers is suspension without pay. However, in Tanzania, the decision to suspend an employee without remuneration is not straightforward and is subject to strict legal limitations and procedural safeguards.

This article aims to provide employers, managers, business owners, and HR professionals with a comprehensive understanding of the legal provisions, risks, case precedents, and best practices related to suspension without pay. By aligning workplace practices with Tanzanian labour law, employers can safeguard their interests while promoting fairness and due process.

Understanding Suspension in the Employment Context

In employment law, suspension refers to the temporary removal of an employee from active duty. It can occur in two main forms:

1. Precautionary Suspension – typically imposed with pay during investigations of alleged misconduct.
2. Disciplinary Suspension – imposed without pay as a sanction following a disciplinary process.

The legality of suspension, particularly without pay, depends on how and why it is implemented.

Governing Laws and Legal Framework in Tanzania

1. Employment and Labour Relations Act, 2004 (ELRA)
   While the ELRA does not expressly mention suspension without pay, it lays the foundation for fair disciplinary procedures, justified termination, and employee rights. Key provisions include:
   • Section 37: Prohibits unfair termination and mandates that every disciplinary sanction (including dismissal) must be substantively justified and fair.
   • Section 39: Places the burden of proof on the employer to show that a disciplinary measure was fair and lawful.
2. Employment and Labour Relations (Code of Good Practice) GN. No. 42 of 2007
   This Code offers practical guidelines for disciplinary processes:
   • Rule 27(1): Allows for precautionary suspension on full pay where an employee’s presence at work poses a risk to investigation, safety, or operations.
   • Rule 13: Outlines fair disciplinary steps, including notifying the employee, conducting a hearing, and making a decision based on facts and fairness.
     
     Key Legal Position: Under Tanzanian law, precautionary suspension without pay is unlawful unless the employment contract or disciplinary code explicitly allows it. Similarly, suspension without pay as a disciplinary sanction must follow a proper disciplinary process and be proportionate to the misconduct.

Relevant Case Law: Key Judicial Precedents

Paulina Minza vs Junior Construction Co. Ltd (Labour Revision 94 of 2019) [2020] TZHC 907 (14 May 2020) In this decision, the High Court (Labour Division) ruled that the respondents to pay the applicant monthly salaries and other benefits if any from 23/06/2016 to the date of judgment and reinstate the applicant as the applicant was placed on an indefinite suspension without pay, a situation that the employer failed to manage fairly or lawfully. The Honourable Judge emphasised that Indefinite suspension without pay is deemed more inhuman and punitive than an outright termination, as it subjects the employee to double jeopardy, loss of income, and prolonged uncertainty.

Legal Takeaway: Unpaid suspension must not be arbitrary—it must be grounded in written employment terms and preceded by a fair hearing.

When Can an Employer Lawfully Suspend Without Pay?

Suspension without pay may be legally permissible under the following circumstances:

1. Written Provision – The law/Rules, employment contract, collective agreement, or HR policy must specifically state that unpaid suspension may be used.
2. Disciplinary Hearing – The suspension must result from a formal hearing where the employee had a chance to respond.
3. Proportionality – The sanction must be proportional to the misconduct.
4. Record Keeping – A written decision, justification, and hearing records must be maintained.
5. Consistency – The employer must apply the same disciplinary standard across the organisation.

Risks of Non-Compliance

Employers who impose an unpaid suspension without proper legal justification expose themselves to:

• Claims of unfair labour practice or constructive dismissal
• Orders to pay back wages
• Compensation and damages
• Loss of trust and employer reputation
• CMA or High Court -Labour litigations

Best Practices for Employers and HR Professionals

1. Establish Clear Disciplinary Policies – Include suspension (with and without pay) in the company's disciplinary code as per the guidelines of the Code of Good Practice GN. No. 42 of 2007
2. Ensure Contracts Cover Suspension Provisions – Avoid ambiguous language.
3. Always Follow Due Process – Notify, investigate, and conduct a fair hearing.
4. Use Paid Suspension During Investigation – Avoid unpaid precautionary suspension unless contractually/legally permitted.
5. Document Every Step – Allegations, Investigations, Notices, Hearing minutes and decisions.
6. Seek Legal Support – Especially in complex or sensitive cases.

Conclusion

Suspension without pay is a sensitive disciplinary measure that must be handled with legal precision and procedural fairness. Employers in Tanzania must ensure their policies and actions are consistent with national labour laws, contractual terms, and best HR practices.

As a rule of thumb: If it’s not in writing, it’s not enforceable. Employers should never improvise or assume when it comes to employee rights and discipline.

How We Can Help

At Exact Manpower Consulting Ltd, we support Tanzanian employers through:

• HR Policy Design & Review
• Legal Compliance Audits
• Disciplinary Procedure Training
• HR Case Management & Support
• Employment Contract Drafting
• CMA Case Preparation

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For more information or to discuss how we can assist your organisation, don't hesitate to get in touch with us at info@exactmanpower.co.tz or call +255 677 975 251/ +255 715 800 430

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Disclaimer

The information provided in this article is for general guidance only and does not constitute legal advice. For specific HR - legal opinions or advice, please consult Exact Manpower Consulting Ltd directly.

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Stay ahead of the curve with Exact Manpower Consulting Ltd as your trusted partner in navigating Tanzania’s evolving labour laws. Let us help you ensure compliance, protect your business, and foster a positive workplace environment.