General Industries Workers Union of South Africa (GIWUSA) and Others v African Explosives Limited (JS440/14) [2021] ZALCJHB 445 (7 November 2021)

General Industries Workers Union of South Africa (GIWUSA) and Others v African Explosives Limited (JS440/14) [2021] ZALCJHB 445 (7 November 2021)

The court found that the respondent's selection criteria for retrenchment, combining LIFO with retention of skills and minimum qualifications per plant, was fair, objective, and rationally connected to the operational requirements of modernising its business. The respondent provided a comparative schedule justifying...

Source-derived case information.

Citation
[2021] ZALCJHB 445
Parties
Applicant: General Industries Workers Union of South Africa (GIWUSA); Applicant: The persons listed in Annexure “A”; Respondent: African Explosives Limited
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Case Number
JS440/14
Procedural Posture
Trial Civil / Judgment After Opposed Motion on Affidavits
Outcome
The dismissal of the second to further applicants, except for Messrs Vongani Maynard Risimate, Madumetsa Peter Mabapa, and Ms Bonisile B Sithebe, was found to be fair. The three named applicants were entitled to compensation for unfair dismissal. No order as to costs was made.
Judges
Tlhotlhalemaje
Legal Topics
Retrenchment, Selection Criteria, Last in First Out, Operational Requirements, Compensation for Unfair Dismissal
Labour Law Civil Procedure Retrenchment Selection Criteria Last in First Out Operational Requirements Compensation for Unfair Dismissal

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Parties

General Industries Workers Union of South Africa (GIWUSA)

Applicant

The persons listed in Annexure “A”

Applicant

African Explosives Limited

Respondent

Procedural Posture

Trial Civil / Judgment After Opposed Motion on Affidavits

  1. 1 Was the selection criteria for retrenchment fair and objective?
  2. 2 Was the selection criteria consistently applied to all affected employees?
  3. 3 Are any of the individual applicants entitled to compensation for unfair dismissal?

Ratio Decidendi

The court found that the respondent's selection criteria for retrenchment, combining LIFO with retention of skills and minimum qualifications per plant, was fair, objective, and rationally connected to the operational requirements of modernising its business. The respondent provided a comparative schedule justifying the differentiation among employees, and the court accepted its accuracy except for three cases where the respondent conceded unfairness. The court held that GIWUSA's argument for applying LIFO alone was unsuited to the respondent's needs and that the multi-skilling policy did not guarantee equal proficiency for redeployment. The selection criteria were consistently applied,...

Court Disposition

The dismissal of the second to further applicants, except for Messrs Vongani Maynard Risimate, Madumetsa Peter Mabapa, and Ms Bonisile B Sithebe, was found to be fair. The three named applicants were entitled to compensation for unfair dismissal. No order as to costs was made.

Orders

  • The dismissal of the Second to Further Applicants, other than Messrs Vongani Maynard Risimate, Madumetsa Peter Mabapa, and Ms Bonisile B Sithebe, was fair.
  • The Respondent is ordered to pay to Messrs Vongani Maynard Risimate, Madumetsa Peter Mabapa, and Ms Bonisile B Sithebe, compensation equal to twelve (12) months’ salary calculated at the rate of their pay as at the date of their dismissal.