Bader (Bop) (Pty) and Another v National Bargaining Council and Others (JR197/2001) [2001] ZALCJHB 11 (22 August 2001)
- Citation
- [2001] ZALCJHB 11
- Status
- Judgment
- Jurisdiction
- South Africa
- Court
- Labour Court Johannesburg
- Panel
- Pillay
- Case number
- JR197/2001
More details
- Court
- Labour Court Johannesburg
- Panel
- Pillay
- Case number
- JR197/2001
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The Bargaining Council was not registered for the area in question at the time the dispute arose and therefore lacked jurisdiction to issue the conciliation certificate on 8 February 2001. The correct procedure would have been to refer the dispute to the CCMA. The certificate issued by the Bargaining Council was ultra vires and invalid. The court set aside the certificate and directed the Bargaining Council to conciliate the dispute based on the fresh referral. The court also dispensed with the need for condonation for the late referral, given the circumstances and the conduct of both parties. Costs were awarded to the applicants for their application, while no costs order was made regarding the counter application.
Court disposition
The certificate issued by the Bargaining Council on 8 February 2001 is set aside as invalid. The Bargaining Council is directed to conciliate the dispute within 30 days based on the fresh referral. Costs are awarded to the applicants for their application; no costs order is made regarding the counter application.
Orders
- The certificate issued by the first respondent on 8 February 2001 is invalid and set aside.
- The Bargaining Council is directed to conciliate the dispute on the basis of the fresh referral for conciliation within 30 days.
- The applicants are awarded costs of their application on an unopposed basis.
- There is no order as to costs in regard to the counter application.
02
Material facts
Parties
Bader (Bop) (Pty) Limited and Another
ApplicantThe National Bargaining Council
RespondentThe National Union of Leather and Allied Workers Union (NULAW)
RespondentJacob Ramathlo & 426 Others
RespondentThe Commission for Conciliation, Mediation and Arbitration
Respondent03
Procedural history
Posture
Review Application / Judgment
04
Questions and positions
Legal issues
- 01
Whether the Bargaining Council had jurisdiction to issue a conciliation certificate on 8 February 2001.
- 02
Whether the certificate issued by the Bargaining Council is valid and enforceable.
- 03
Whether the dispute should have been referred to the CCMA prior to the Bargaining Council's registration.
- 04
Whether condonation for late referral is appropriate under the circumstances.
- 05
What relief should be granted to the parties regarding the conciliation process.
Party arguments
- Applicant
- The applicants argued that the Bargaining Council was not registered for the relevant area at the time of the dispute and therefore lacked jurisdiction to issue the certificate. They contended that the certificate was invalid and should be set aside. The applicants also maintained that their request for a rescheduling of the conciliation was unreasonably refused and that the dispute should have been referred to the CCMA. They sought relief to set aside the certificate and to have the dispute properly conciliated.
- Respondent
- The respondents, particularly the second and third respondents, insisted on the issuance of the certificate on 8 February 2001 and opposed the application to set it aside. They sought a declarator regarding the validity of the referral for conciliation and other relief to address the dispute substantively. They argued that the applicants' actions contributed to the delay and that the Bargaining Council should proceed with conciliation based on the fresh referral.
05
Court’s reasoning
Legal principles
- 01
Labour Relations Act No 66 of 1995
A bargaining council must exercise its discretion fairly, impartially, and independently, and cannot act ultra vires by assuming jurisdiction it does not possess.
- 02
NUMSA v Driveline 2000 (1) (LAC) BLLR 20
Jurisdictional defects in the conciliation process do not necessarily deprive the Labour Court of jurisdiction, as the court retains discretion to hear matters despite such defects.
- 03
Labour Relations Act No 66 of 1995
Section 51(4) of the LRA requires that disputes be referred to the CCMA if the bargaining council lacks jurisdiction at the relevant time.
06
Ratio, limits and disposition
Ratio decidendi
The Bargaining Council was not registered for the area in question at the time the dispute arose and therefore lacked jurisdiction to issue the conciliation certificate on 8 February 2001. The correct procedure would have been to refer the dispute to the CCMA. The certificate issued by the Bargaining Council was ultra vires and invalid. The court set aside the certificate and directed the Bargaining Council to conciliate the dispute based on the fresh referral. The court also dispensed with the need for condonation for the late referral, given the circumstances and the conduct of both parties. Costs were awarded to the applicants for their application, while no costs order was made regarding the counter application.
Obiter and limits
- Parties who genuinely wish to conciliate a dispute should not allow procedural formalities to prevent substantive resolution.
- A bargaining council cannot excuse acting ultra vires by claiming pressure or expediency.
- The court encourages the parties to address the dispute substantively and avoid technicalities that hinder resolution.
Court disposition
The certificate issued by the Bargaining Council on 8 February 2001 is set aside as invalid. The Bargaining Council is directed to conciliate the dispute within 30 days based on the fresh referral. Costs are awarded to the applicants for their application; no costs order is made regarding the counter application.
- The certificate issued by the first respondent on 8 February 2001 is invalid and set aside.
- The Bargaining Council is directed to conciliate the dispute on the basis of the fresh referral for conciliation within 30 days.
- The applicants are awarded costs of their application on an unopposed basis.
- There is no order as to costs in regard to the counter application.
Source and reliance status
Labour Court Johannesburg
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Labour Court Johannesburg
Judgment
REVISED
AND REPORTABLE
IN
THE LABOUR COURT OF SOUTH AFRICA
BRAAMFONTEIN
CASE NO: JR197/2001
Delivered on 2001-07-27
Revised on 2001-08-22
In the matter between
BADER (BOP) (PTY) LIMITED AND ANOTHER Applicant
and
THE
NATIONAL BARGAINING COUNCIL First Respondent
THE
NATIONAL UNION OF LEATHER AND
ALLIED WORKERS UNION (NULAW)
Second Respondent
JACOB RAMATHLO & 426 OTHERS Third and Further Respondents
THE COMMISSION FOR CONCILIATION,
MEDIATION
AND ARBITRATION
Fourth Respondent
J
U D G M E N T
PILLAY, J: The fourth and further respondents were dismissed on 30 January 2001. On 5 February 2001 the second respondent, The National Union of Leather and Allied Workers Union (NULAW), referred their dismissal as a dispute to the first respondent, The National Bargaining Council or The Leather Industry of South Africa. The Bargaining Council notified the parties on 7 February 2001 that the conciliation was scheduled for 8 February 2001.
The applicants informed the Bargaining Council that they were not able to attend the conciliation at such short notice and proposed alternative dates a week later. They also expressed reservations about the jurisdiction of the Bargaining Council to conciliate the dispute. Although none of the parties attended the conciliation on 8 February 2001, the Bargaining Council issued a certificate confirming that the dispute remained unresolved.
This is an application to set aside the certificate issued by the Bargaining Council and certain other relief. There is also a counter application which I will deal with later.
While there is a duty on all parties to process labour disputes expeditiously, an application for time to prepare for a conciliation
involving 408 employees, should not be refused unreasonably. By issuing the certificate the Bargaining Council effectively refused the applicants' request for a rescheduling of the conciliation without further consideration. This was unreasonable.
On its own it is not a basis to set aside a certificate. Parties who seriously desire an opportunity to conciliate a dispute will find the means to do so. They will not allow the formality of a certificate to stand in their way. It may well be that the Bargaining Council was fuctus officio after the certificate was issued. However, nothing prevented the parties from approaching this court for an order by consent to set aside the certificate. If the applicants valued the opportunity to conciliate the dispute, as they would have the court to believe, it is surprising that they did not follow this course of action.
It was submitted that when the Labour Appeal Court in NUMSA v Driveline 2000 (1) (LAC) BLLR 20 at pages 23-24 paragraph 7 to 9, accepted jurisdiction despite the flaws in the conciliation process, it did not cover the situation where a party was willing to attend conciliation. I do not agree for the reason discussed above. Furthermore, the Labour Appeal Court distinguished between a court's jurisdiction and the right of a party to be heard. (Paragraph 8 of the Driveline decision). The Labour Court would not be deprived of jurisdiction as it always retains the discretion to hear matters despite defects in the conciliation process.
However, it was common cause that the Bargaining Council was not registered at the time for the area in which the dispute arose, that is the former Republic of Bophuthatswana. Its registration was extended to that area only on 9 February 2001. That being the case the Bargaining Council had no jurisdiction over the dispute prior to 9 February 2001.
It was common cause that before 9 February 2001 the dispute should have been referred to the Commission for Conciliation Mediation and Arbitration (CCMA). The correct course of action that should have been followed by the Bargaining Council was to refer the dispute to the CCMA in terms of section 51(4) of the Labour Relations Act No 66 of 1995 (the LRA).
Today, the CCMA no longer has jurisdiction to conciliate the dispute as the Bargaining Council has such jurisdiction. By assuming
jurisdiction when it had none over the dispute on 8 February 2001 the Bargaining Council acted ultra vires. The certificate falls to be set aside. But, this is not the end of the matter.
The second and third respondents have lodged a counter application for a declarator as to the validity of the referral for conciliation and certain other relief that might lead to the dispute being addressed substantively. Irrespective of the counter application the court is bound in terms of section 1(d) read with sections 158(1)(a)(iii)(b) and (j) of the LRA to channel the dispute in a way that it avoids a spiralling of the dispute in an abyss of technicalities.
In making the order that I do, and without denying the parties such rights as they may have in law, the court prevails on the parties,
including the Bargaining Council, to address the dispute effectively and substantively. It is common cause that the proper forum to have conciliated the dispute a day later was the Bargaining Council. The Bargaining Council is not entirely blameless in the way it conducted this process. A bargaining council is required to exercise its discretion fairly, impartially and independently. To say that it acted under pressure when issuing the certificate, is no excuse to acting ultra vires.
The second and third respondents made a fresh application for conciliation. Insofar as such application may be late an application for condonation can be and is dispensed with in these proceedings. The reasons for the delay are obviously connected with this application. The Bargaining Council would not have been able to act on the fresh referral until this application was
finalised. Furthermore, for reasons discussed above, the Bargaining Council has been co-responsible for triggering this application.
In considering the costs of both applications the court also takes into account the following. The second and third respondents find themselves in this predicament partly because of their unreasonable insistence on the certificate being issued on 8 February 2001. They also persisted in opposing the application when it was clear that the Bargaining Council had no jurisdiction.
The applicants on the other hand ought to have consented to obtaining an order from this court to set aside the certificate as it would have recreated an opportunity to conciliate the dispute. It is not necessary for me to deal with all the relief claimed by the applicants and second and third respondents in their respective applications in view of the order that I am about to make.
1. The certificate issued by the first respondent on 8 February 2001 purporting to certify that the dispute between the applicant and the second and third respondents had been conciliated and remained unresolved is invalid and of no force and effect and is accordingly set aside.
2. The Bargaining Council is directed to conciliate the dispute on the basis of the fresh referral for conciliation within 30 days.
3. The applicants are awarded costs of their application on an unopposed basis.
4. There is no order as to costs in regard to the counter application.
PILLAY, J
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