Moore and Others v Telkom SA Limited and Others (C698/01) [2002] ZALC 21; [2002] 8 BLLR 761 (LC); (2002) 23 ILJ 1062 (LC) (1 March 2002)

Moore and Others v Telkom SA Limited and Others (C698/01) [2002] ZALC 21; [2002] 8 BLLR 761 (LC); (2002) 23 ILJ 1062 (LC) (1 March 2002)

The Court held that once the Uvatek division was sold as a going concern, all employment rights and obligations of the applicants vis-à-vis Telkom SA Ltd were transferred to the new employer, Merging Empowerment Group Ltd. The Commissioner was correct to enquire into jurisdiction and determine whether Telkom SA Ltd should remain a respondent. The applicants' claim was for severance pay, not for unfair labour practice, and there was no evidence that the applicants had a valid claim against Telkom SA Ltd after the transfer. The Commissioner acted within his powers and did not exceed his jurisdiction. The application to review and set aside the Commissioner's decision was dismissed.

Citation
[2002] ZALC 21
Parties
Applicant: Clive Moore & 35 Others listed in Annexure "A"; Respondent: Telkom SA Limited; Respondent: Merging Empowerment Group Ltd; Respondent: Dynamic Cables SA (Pty) Ltd; Respondent: Corporation 31 (Pty) Ltd; Respondent: Shawn Christiansen; Respondent: Dynatech (Pty) Limited
Court
Labour Court
Jurisdiction
South Africa
Judgment Date
1 March 2002
Case Number
C698/01
Procedural Posture
Review Application / Judgment
Outcome
Application dismissed.
Judges
Waglay
Legal Topics
Severance Pay, Transfer of Business, Jurisdiction of Ccma, Unfair Labour Practice, Section 197 Transfer, Conciliation Certificate
Labour Law Severance Pay Transfer of Business Jurisdiction of Ccma Unfair Labour Practice Section 197 Transfer Conciliation Certificate

Case Brief

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Parties

Clive Moore & 35 Others listed in Annexure "A"

Applicant

Telkom SA Limited

Respondent

Merging Empowerment Group Ltd

Respondent

Dynamic Cables SA (Pty) Ltd

Respondent

Corporation 31 (Pty) Ltd

Respondent

Shawn Christiansen

Respondent

Dynatech (Pty) Limited

Respondent

Procedural Posture

Review Application / Judgment

Legal Issues

  1. 1 Whether the Commissioner had jurisdiction to exclude Telkom SA Ltd as a respondent in the CCMA dispute.
  2. 2 Whether the applicants had a valid claim for severance pay against Telkom SA Ltd after the transfer of business.
  3. 3 Whether the Commissioner exceeded his powers or acted ultra vires in making the determination.

Ratio Decidendi

The Court held that once the Uvatek division was sold as a going concern, all employment rights and obligations of the applicants vis-à-vis Telkom SA Ltd were transferred to the new employer, Merging Empowerment Group Ltd. The Commissioner was correct to enquire into jurisdiction and determine whether Telkom SA Ltd should remain a respondent. The applicants' claim was for severance pay, not for unfair labour practice, and there was no evidence that the applicants had a valid claim against Telkom SA Ltd after the transfer. The Commissioner acted within his powers and did not exceed his jurisdiction. The application to review and set aside the Commissioner's decision was dismissed.

Court Disposition

Application dismissed.

Orders

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