Former executive takes PSMI to court over US$1 m exit package

Fidelis Munyoro

Chief Court Reporter

Former Premier Services Medical Investment (PSMI) top executive Shingayi Mabuto has taken his fight to the High Court, seeking to register a US$1 million deed of exit package settlement with his former employer.

The settlement, concluded on April 24 last year, followed a labour dispute stemming from unpaid salary arrears, contractual benefits, and terminal dues that arose after his employment was terminated.

The dispute, initially referred to arbitration, saw some progress following a roundtable discussion, which resulted in a deed of settlement.

Under this agreement, PSMI committed to paying Mr Mabuto over US$1,1 million for salary arrears and certain benefits, while also acknowledging liability for outstanding pension contributions and life insurance obligations.

However, despite its legal binding nature, Mr Mabuto asserts that the obligations remain unfulfilled.

Unresolved claims, such as club memberships, medical aid, bonuses, and motor vehicle benefits, were referred back to the arbitrator by mutual agreement.

On March 13, 2026, the arbitrator ruled in Mabuto’s favour on these remaining issues, but PSMI appealed the decision—an appeal limited to matters outside the deed of settlement.

Mr Mabuto argues that the deed of settlement operates independently of the arbitration award and remains enforceable.

He emphasised that the settlement’s terms are clear and binding, yet PSMI has failed to honour its obligations.

They have neither paid the agreed amount nor performed the ancillary duties.

Mr Mabuto is now urging the High Court to register the settlement, allowing it to stand alone as enforceable, ensuring PSMI fulfils its commitments and resolves the financial dispute once and for all.

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