Henred Fruehauf (Pty) Ltd and Another v Marcus NO and Others (JR2977/07) [2014] ZALCJHB 77; (2014) 35 ILJ 3147 (LC) (18 March 2014)

Henred Fruehauf (Pty) Ltd and Another v Marcus NO and Others (JR2977/07) [2014] ZALCJHB 77; (2014) 35 ILJ 3147 (LC) (18 March 2014)

The court held that the arbitrator's interpretation of the relevant industry definitions and his resultant demarcation was reasonable and not open to review. The distinction between large and small trailers is expressly contained in the registration certificates of both MEIBC and MIBCO, and the manufacture of trailers over 20 tons and axles falls under MEIBC. The arbitrator properly applied the Sidumo test and relevant legal principles, considering the dimensions of the axle factory and its activities. The applicants failed to show that the arbitrator's decision was so unreasonable that no other arbitrator could have reached it.

Citation
[2014] ZALCJHB 77
Parties
Applicant: Henred Fruehauf (Pty) Ltd; Applicant: House of Trucks (Pty) Ltd; Respondent: Marcus N.O.; Respondent: CCMA; Respondent: NUMSA; Respondent: MEIBC; Respondent: Motor Industry Bargaining Council
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
18 March 2014
Case Number
JR2977/07
Procedural Posture
Review Application / Judgment on Review of Demarcation Award
Outcome
The review application is dismissed.
Judges
Steenkamp
Legal Topics
Demarcation Dispute, Labour Relations Act, Bargaining Council Jurisdiction, Review of Arbitration Award, Scope of Industry, Sidumo Test
Labour Law Civil Procedure Demarcation Dispute Labour Relations Act Bargaining Council Jurisdiction Review of Arbitration Award Scope of Industry Sidumo Test

Case Brief

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Parties

Henred Fruehauf (Pty) Ltd

Applicant

House of Trucks (Pty) Ltd

Applicant

Marcus N.O.

Respondent

CCMA

Respondent

NUMSA

Respondent

MEIBC

Respondent

Motor Industry Bargaining Council

Respondent

Procedural Posture

Review Application / Judgment on Review of Demarcation Award

Legal Issues

  1. 1 Whether the manufacture of trailers weighing more than 20 tons falls under the jurisdiction of the Metal and Engineering Industries Bargaining Council (MEIBC) or the Motor Industry Bargaining Council (MIBCO).
  2. 2 Whether the manufacture of axles by the applicants is ancillary to trailer manufacturing and should be demarcated under MIBCO or MEIBC.
  3. 3 Whether the arbitrator's demarcation award is reviewable under the Sidumo test.

Ratio Decidendi

The court held that the arbitrator's interpretation of the relevant industry definitions and his resultant demarcation was reasonable and not open to review. The distinction between large and small trailers is expressly contained in the registration certificates of both MEIBC and MIBCO, and the manufacture of trailers over 20 tons and axles falls under MEIBC. The arbitrator properly applied the Sidumo test and relevant legal principles, considering the dimensions of the axle factory and its activities. The applicants failed to show that the arbitrator's decision was so unreasonable that no other arbitrator could have reached it.

Court Disposition

The review application is dismissed.

Orders

  • The review application is dismissed.
  • No order as to costs.