Cadema Industries (Pty) Ltd v Bulbring NO and Others (C237/04) [2005] ZALC 74; (2005) 26 ILJ 1049 (LC); [2005] 8 BLLR 776 (LC) (6 May 2005)

Cadema Industries (Pty) Ltd v Bulbring NO and Others (C237/04) [2005] ZALC 74; (2005) 26 ILJ 1049 (LC); [2005] 8 BLLR 776 (LC) (6 May 2005)

The court found that, under clause 37(4)(a)(i)(ac)(aA) of the Main Collective Agreement, jurisdiction over dismissals based on operational requirements is reserved for the Labour Court. The arbitrator was obliged to determine whether she had jurisdiction once it became apparent that the employer alleged operational...

Source-derived case information.

Citation
[2005] ZALC 74
Parties
Applicant: Cadema Industries (Pty) Ltd; Respondent: U Bulbring NO; Respondent: SACTWU; Respondent: J Heynes; Respondent: National Bargaining Council for the Clothing Manufacturing Industry (Western Cape Sub-Chamber)
Court
Labour Court
Jurisdiction
South Africa
Judgment Date
6 May 2005
Case Number
C237/04
Procedural Posture
Review Application / Judgment on Review of Arbitration Award
Outcome
Application for review succeeded; arbitration award set aside and replaced with a ruling of no jurisdiction.
Judges
Stelzner
Legal Topics
Jurisdiction of Bargaining Council, Unfair Dismissal, Operational Requirements, Review of Arbitration Award, Collective Agreement Interpretation
Labour Law Civil Procedure Jurisdiction of Bargaining Council Unfair Dismissal Operational Requirements Review of Arbitration Award Collective Agreement Interpretation

Source-derived case record

Summary, issues, holding and outcome

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Parties

Cadema Industries (Pty) Ltd

Applicant

U Bulbring NO

Respondent

SACTWU

Respondent

J Heynes

Respondent

National Bargaining Council for the Clothing Manufacturing Industry (Western Cape Sub-Chamber)

Respondent

Procedural Posture

Review Application / Judgment on Review of Arbitration Award

Legal Issues

  1. 1 Whether the Bargaining Council arbitrator had jurisdiction to arbitrate a dismissal dispute where the employer alleged operational requirements as the reason for dismissal.
  2. 2 Whether the arbitration award should be reviewed and set aside due to lack of jurisdiction.
  3. 3 Whether the dispute should be referred to the Labour Court.

Ratio Decidendi

The court found that, under clause 37(4)(a)(i)(ac)(aA) of the Main Collective Agreement, jurisdiction over dismissals based on operational requirements is reserved for the Labour Court. The arbitrator was obliged to determine whether she had jurisdiction once it became apparent that the employer alleged operational requirements as the reason for dismissal. By proceeding to arbitrate and ordering reinstatement, the arbitrator exceeded her powers, constituting a reviewable irregularity. The court substituted the arbitration award with a ruling that the arbitrator lacked jurisdiction and directed the third respondent to refer the dispute to the Labour Court within 14 days. No order as to...

Court Disposition

Application for review succeeded; arbitration award set aside and replaced with a ruling of no jurisdiction.

Orders

  • The arbitration award of the first respondent dated 5 April 2004 is reviewed and set aside.
  • It is substituted with a ruling that the first respondent does not have jurisdiction in respect of the dispute.