Labour Group and Others v SA Dopper (Pty) Ltd (J 1251/13) [2013] ZALCJHB 263; (2014) 35 ILJ 1011 (LC) (14 October 2013)

Labour Group and Others v SA Dopper (Pty) Ltd (J 1251/13) [2013] ZALCJHB 263; (2014) 35 ILJ 1011 (LC) (14 October 2013)

The Labour Court does not have jurisdiction to entertain a dispute arising solely from the cancellation of a labour broking contract between the applicant and respondent, as the contract is a commercial agreement and not an employment contract. The applicant failed to plead jurisdiction in its founding affidavit, and the employees were not properly before the Court. Section 198 of the LRA governs the employment relationship between the labour broker and its employees, but does not extend Labour Court jurisdiction to commercial disputes between brokers and clients. The authorities cited confirm that the Labour Court may intervene only where the dispute concerns employment or labour...

Citation
[2013] ZALCJHB 263
Parties
Applicant: The Labour Group; Applicant: The persons listed on Annexure “A”; Respondent: SA Dopper (Pty) Ltd
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
14 October 2013
Case Number
J 1251/13
Procedural Posture
Urgent Application / Jurisdictional Challenge and Merits
Outcome
Application dismissed for lack of jurisdiction. Costs awarded against the applicant.
Judges
Molahlehi
Legal Topics
Labour Broking, Jurisdiction of Labour Court, Section 198 Lra, Breach of Commercial Contract
Labour Law Commercial and Corporate Labour Broking Jurisdiction of Labour Court Section 198 Lra Breach of Commercial Contract

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Parties

The Labour Group

Applicant

The persons listed on Annexure “A”

Applicant

SA Dopper (Pty) Ltd

Respondent

Procedural Posture

Urgent Application / Jurisdictional Challenge and Merits

Legal Issues

  1. 1 Does the Labour Court have jurisdiction over a dispute arising from the cancellation of a labour broker contract between the applicant and respondent?
  2. 2 Is the dispute in question a commercial matter or an employment/labour relations matter under section 198 of the LRA?
  3. 3 Are the employees properly before the Court as parties to the application?

Ratio Decidendi

The Labour Court does not have jurisdiction to entertain a dispute arising solely from the cancellation of a labour broking contract between the applicant and respondent, as the contract is a commercial agreement and not an employment contract. The applicant failed to plead jurisdiction in its founding affidavit, and the employees were not properly before the Court. Section 198 of the LRA governs the employment relationship between the labour broker and its employees, but does not extend Labour Court jurisdiction to commercial disputes between brokers and clients. The authorities cited confirm that the Labour Court may intervene only where the dispute concerns employment or labour...

Court Disposition

Application dismissed for lack of jurisdiction. Costs awarded against the applicant.

Orders

  • The application by the first applicant is dismissed with costs.