Concor Projects (Pty) Ltd t/a Concor Opencast Mining v Commission For Conciliation, Mediation And Arbitration and Others (JA35/2013) [2014] ZALAC 33; [2014] 6 BLLR 534 (LAC); (2014) 35 ILJ 1959 (LAC) (13 February 2014)

Concor Projects (Pty) Ltd t/a Concor Opencast Mining v Commission For Conciliation, Mediation And Arbitration and Others (JA35/2013) [2014] ZALAC 33; [2014] 6 BLLR 534 (LAC); (2014) 35 ILJ 1959 (LAC) (13 February 2014)

The Labour Appeal Court held that the collective agreement negotiated at sectoral level is not binding on non-signatory unions such as AMCU under section 23(1)(d) of the LRA, as AMCU members are not identified in the agreement and the agreement does not expressly bind them. Sectoral determinations are distinct from collective agreements and only set minimum terms and conditions; they do not preclude employees from bargaining for better terms. The settlement agreement was entered into under a common mistake regarding the legal effect of the sectoral determination and is therefore invalid and unenforceable. The costs order made by the Labour Court was a proper exercise of judicial...

Citation
[2014] ZALAC 33
Parties
Appellant: Concor Projects (Pty) Ltd t/a Concor Opencast Mining; Respondent: Commission For Conciliation, Mediation And Arbitration; Respondent: Commissioner Comfort Mokabane NO; Respondent: Association of Mineworkers and Construction Union (AMCU); Respondent: N Titana & Further Respondents
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
13 February 2014
Case Number
JA35/2013
Procedural Posture
Civil Appeal / Appeal From Labour Court Judgment
Outcome
Appeal dismissed with costs, including costs of two counsel.
Judges
Waglay JP, C J Musi, Mokgoatlheng
Legal Topics
Collective Agreements, Sectoral Determination, Refusal to Bargain, Protected Strike, Common Mistake, Costs Award
Labour Law Civil Procedure Collective Agreements Sectoral Determination Refusal to Bargain Protected Strike Common Mistake Costs Award

Case Brief

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Parties

Concor Projects (Pty) Ltd t/a Concor Opencast Mining

Appellant

Commission For Conciliation, Mediation And Arbitration

Respondent

Commissioner Comfort Mokabane NO

Respondent

Association of Mineworkers and Construction Union (AMCU)

Respondent

N Titana & Further Respondents

Respondent

Procedural Posture

Civil Appeal / Appeal From Labour Court Judgment

Legal Issues

  1. 1 Whether a collective agreement is binding on non-signatory trade unions under section 23(1)(d) of the LRA.
  2. 2 Whether a sectoral determination constitutes a collective agreement for purposes of binding non-parties.
  3. 3 Whether the settlement agreement was invalid due to a common mistake regarding the effect of the sectoral determination.

Ratio Decidendi

The Labour Appeal Court held that the collective agreement negotiated at sectoral level is not binding on non-signatory unions such as AMCU under section 23(1)(d) of the LRA, as AMCU members are not identified in the agreement and the agreement does not expressly bind them. Sectoral determinations are distinct from collective agreements and only set minimum terms and conditions; they do not preclude employees from bargaining for better terms. The settlement agreement was entered into under a common mistake regarding the legal effect of the sectoral determination and is therefore invalid and unenforceable. The costs order made by the Labour Court was a proper exercise of judicial...

Court Disposition

Appeal dismissed with costs, including costs of two counsel.

Orders

  • The appeal is dismissed with costs, such costs to include the costs occasioned by the employment of two counsel.
  • The order of the court a quo is amended to confirm only paragraphs 2.2 and 2.3.1 of the rule nisi; the rest of the paragraphs are discharged.