Du Plessis and Others v South African Local Government Bargaining Council and Others (JA 18/12) [2013] ZALAC 22 (4 October 2013)

Du Plessis and Others v South African Local Government Bargaining Council and Others (JA 18/12) [2013] ZALAC 22 (4 October 2013)

The Labour Appeal Court held that the arbitrator exceeded his jurisdiction by determining the grading of the municipality for remuneration purposes, as this was an administrative act governed by municipal resolutions and not regulated by the Wage Agreement or any collective agreement. The Wage Agreement of 2003 did not contain an implied term requiring grading based on custom and practice, and the parties had agreed to negotiate categorisation in the future, thereby abandoning previous practices. The arbitrator's reliance on custom and equity was not supported by the evidence or the language of the agreement. The Labour Court was correct in reviewing and setting aside the arbitration...

Citation
[2013] ZALAC 22
Parties
Appellant: AJ Du Plessis and 2210 Others; Respondent: South African Local Government Bargaining Council; Respondent: Professor K Govender N.O.; Respondent: Ekurhuleni Metropolitan Municipality
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
4 October 2013
Case Number
JA 18/12
Procedural Posture
Civil Appeal / Appeal From Labour Court Judgment Reviewing and Setting Aside Arbitration Award
Outcome
Appeal dismissed with no order as to costs.
Judges
Waglay, Tlaletsi, Davis
Legal Topics
Collective Agreement Interpretation, Arbitration Review, Municipal Grading, Custom and Trade Usage, Jurisdiction of Arbitrator
Labour Law Civil Procedure Collective Agreement Interpretation Arbitration Review Municipal Grading Custom and Trade Usage Jurisdiction of Arbitrator

Case Brief

Summary, issues, holding and outcome

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Parties

AJ Du Plessis and 2210 Others

Appellant

South African Local Government Bargaining Council

Respondent

Professor K Govender N.O.

Respondent

Ekurhuleni Metropolitan Municipality

Respondent

Procedural Posture

Civil Appeal / Appeal From Labour Court Judgment Reviewing and Setting Aside Arbitration Award

Legal Issues

  1. 1 Whether the arbitrator had jurisdiction to determine the grading of the municipality for remuneration purposes.
  2. 2 Whether a trade custom or usage existed obliging the municipality to grade itself in a particular way for employee remuneration.
  3. 3 Whether the Wage Agreement of 2003 contained an implied term regarding grading based on custom and practice.

Ratio Decidendi

The Labour Appeal Court held that the arbitrator exceeded his jurisdiction by determining the grading of the municipality for remuneration purposes, as this was an administrative act governed by municipal resolutions and not regulated by the Wage Agreement or any collective agreement. The Wage Agreement of 2003 did not contain an implied term requiring grading based on custom and practice, and the parties had agreed to negotiate categorisation in the future, thereby abandoning previous practices. The arbitrator's reliance on custom and equity was not supported by the evidence or the language of the agreement. The Labour Court was correct in reviewing and setting aside the arbitration...

Court Disposition

Appeal dismissed with no order as to costs.

Orders

  • The appeal is dismissed.
  • No order as to costs.