Capwest Moulding and Components CC v Ely and Others (C39/99) [1999] ZALC 138 (27 August 1999)

Capwest Moulding and Components CC v Ely and Others (C39/99) [1999] ZALC 138 (27 August 1999)

The court found that the arbitrator failed to provide adequate reasons for preferring the second respondent's evidence over that of Meyer and made no credibility findings to justify his conclusion of constructive dismissal. The arbitrator also failed to apply the two-stage approach required in constructive dismissal cases, neglecting to consider whether the dismissal was unfair after finding that a dismissal had occurred. Furthermore, the compensation awarded was not supported by the evidence regarding the remuneration package and was not calculated in accordance with section 194 of the Labour Relations Act. As a result, the arbitration award was unreasonable and reviewable. The matter...

Citation
[1999] ZALC 138
Parties
Applicant: Capwest Mouldings & Components CC; Respondent: John Ely; Respondent: Gerard Rossouw; Respondent: Ismail Dauds; Respondent: Commission for Conciliation, Mediation & Arbitration
Court
Labour Court
Jurisdiction
South Africa
Judgment Date
27 August 1999
Case Number
C39/99
Procedural Posture
Review Application / Judgment on Review of Arbitration Award
Outcome
Arbitration award reviewed and set aside; matter referred back to CCMA for fresh arbitration before a different commissioner; no order as to costs.
Judges
Stelzner
Legal Topics
Constructive Dismissal, Review of Arbitration Award, Compensation Quantum, Onus of Proof, Procedural Fairness
Labour Law Civil Procedure Constructive Dismissal Review of Arbitration Award Compensation Quantum Onus of Proof Procedural Fairness

Case Brief

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Parties

Capwest Mouldings & Components CC

Applicant

John Ely

Respondent

Gerard Rossouw

Respondent

Ismail Dauds

Respondent

Commission for Conciliation, Mediation & Arbitration

Respondent

Procedural Posture

Review Application / Judgment on Review of Arbitration Award

Legal Issues

  1. 1 Whether the arbitrator's finding of constructive dismissal was reasonably justified on the evidence.
  2. 2 Whether the arbitrator correctly applied the two-stage approach to constructive dismissal under the Labour Relations Act.
  3. 3 Whether the compensation awarded was supported by the evidence and in accordance with section 194 of the Labour Relations Act.

Ratio Decidendi

The court found that the arbitrator failed to provide adequate reasons for preferring the second respondent's evidence over that of Meyer and made no credibility findings to justify his conclusion of constructive dismissal. The arbitrator also failed to apply the two-stage approach required in constructive dismissal cases, neglecting to consider whether the dismissal was unfair after finding that a dismissal had occurred. Furthermore, the compensation awarded was not supported by the evidence regarding the remuneration package and was not calculated in accordance with section 194 of the Labour Relations Act. As a result, the arbitration award was unreasonable and reviewable. The matter...

Court Disposition

Arbitration award reviewed and set aside; matter referred back to CCMA for fresh arbitration before a different commissioner; no order as to costs.

Orders

  • The award made by the third respondent in the arbitration under case number WE9899 is reviewed and set aside.
  • The matter is referred back to the CCMA to conduct the arbitration ab initio before a commissioner other than the third respondent.