Bani and Others v Commission for Conciliation Mediation and Arbitration and Others (PR84/2024) [2025] ZALCPE 9 (10 June 2025)

Bani and Others v Commission for Conciliation Mediation and Arbitration and Others (PR84/2024) [2025] ZALCPE 9 (10 June 2025)

The court found that the arbitrator correctly identified and addressed the preliminary jurisdictional issues, specifically prescription, as raised by the parties. However, the arbitrator erred by pronouncing on the merits after finding he lacked jurisdiction, which constituted misconduct. The Prescription Act does apply to labour disputes, but in this case, the relevant clause in the collective agreement was incorporated into subsequent agreements, including the 2021/2022 NSA, so the claim could not be said to have prescribed. The arbitrator’s finding of prescription was incorrect, and his alternative findings on the merits were irregular. The review application was upheld, the...

Citation
[2025] ZALCPE 9
Parties
Applicant: Mfundo Bani; Respondent: Commission for Conciliation Mediation and Arbitration; Respondent: Commissioner Vuyo Nombewu; Respondent: Pioneer Foods Essential t/a Bakery (Pty) Ltd; Respondent: Food and Allied Workers Union
Court
Labour Court Port Elizabeth
Jurisdiction
South Africa
Judgment Date
10 June 2025
Case Number
PR84/2024
Procedural Posture
Review Application / Judgment on Review of Arbitration Award
Outcome
Review application upheld; arbitration award set aside; matter remitted for rehearing before a different commissioner; no order as to costs.
Judges
M.B. Mahalelo
Legal Topics
Prescription of Labour Claims, Collective Agreements, Arbitration Review, Jurisdiction of Ccma, Binding Effect of Collective Agreements
Labour Law Civil Procedure Prescription of Labour Claims Collective Agreements Arbitration Review Jurisdiction of Ccma Binding Effect of Collective Agreements

Case Brief

Summary, issues, holding and outcome

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Parties

Mfundo Bani

Applicant

Commission for Conciliation Mediation and Arbitration

Respondent

Commissioner Vuyo Nombewu

Respondent

Pioneer Foods Essential t/a Bakery (Pty) Ltd

Respondent

Food and Allied Workers Union

Respondent

Procedural Posture

Review Application / Judgment on Review of Arbitration Award

Legal Issues

  1. 1 Whether the arbitrator had jurisdiction to adjudicate the dispute given the alleged prescription of the claim.
  2. 2 Whether the Prescription Act applies to labour disputes under the Labour Relations Act and Basic Conditions of Employment Act.
  3. 3 Whether the arbitrator committed misconduct by pronouncing on the merits after finding no jurisdiction.

Ratio Decidendi

The court found that the arbitrator correctly identified and addressed the preliminary jurisdictional issues, specifically prescription, as raised by the parties. However, the arbitrator erred by pronouncing on the merits after finding he lacked jurisdiction, which constituted misconduct. The Prescription Act does apply to labour disputes, but in this case, the relevant clause in the collective agreement was incorporated into subsequent agreements, including the 2021/2022 NSA, so the claim could not be said to have prescribed. The arbitrator’s finding of prescription was incorrect, and his alternative findings on the merits were irregular. The review application was upheld, the...

Court Disposition

Review application upheld; arbitration award set aside; matter remitted for rehearing before a different commissioner; no order as to costs.

Orders

  • The arbitration award issued by the second respondent on 9 March 2022 under case number ECPE3465/22 is reviewed and set aside.
  • The matter is remitted back to the first respondent to be heard de novo before a different commissioner.