Mvulo v Amathole District Municipality (P16/22) [2022] ZALCPE 34 (7 November 2022)
- Citation
- [2022] ZALCPE 34
- Status
- Judgment
- Jurisdiction
- South Africa
- Court
- Labour Court Port Elizabeth
- Panel
- Lallie
- Case number
- P16/22
More details
- Court
- Labour Court Port Elizabeth
- Panel
- Lallie
- Case number
- P16/22
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The court found that the respondents failed to comply with the order of 24 November 2020, which confirmed the applicants' contractual right to travel allowances. The respondents' justification based on financial constraints and the right to change the travel allowance scheme did not absolve them of their obligation to comply. The respondents acted wilfully and mala fide in defying the order, and their submissions did not establish any error in the previous judgment. The costs order was correctly granted under section 162 of the Labour Relations Act, as the respondents did not demonstrate a misinterpretation of the legislative provision. The respondents have no prospects of success on appeal.
Court disposition
Leave to appeal is dismissed with costs.
Orders
- The application for leave to appeal is dismissed with costs.
02
Material facts
Parties
Bongani Mvulo
Applicant Counsel: Wesley Pretorius & Associates IncApplicants listed in Annexure "A" to the Notice of Motion
Applicant Counsel: Wesley Pretorius & Associates IncAmathole District Municipality
Respondent Counsel: Wikus Van Rensburg AttorneysThandekile Mnyimba
Respondent Counsel: Wikus Van Rensburg Attorneys03
Procedural history
Posture
Leave to Appeal / Application for Leave to Appeal Following Contempt Judgment
04
Questions and positions
Legal issues
- 01
Whether the respondents have prospects of success on appeal against the contempt of court finding and enforcement order.
- 02
Whether the respondents' conduct was wilful and mala fide in failing to comply with the court order.
- 03
Whether the punitive costs order was correctly granted under section 162 of the Labour Relations Act.
Party arguments
- Applicant
- The applicants argued that the respondents failed to comply with the court order of 24 November 2020, which confirmed their contractual right to travel allowances. They submitted that the respondents' justification based on financial constraints and the alleged right to change the travel allowance scheme did not relieve them of their obligation to comply. The applicants maintained that the respondents acted wilfully and mala fide, and that the costs order was correctly granted under section 162 of the Labour Relations Act.
- Respondent
- The respondents contended that the court erred in finding non-compliance with the order of 24 November 2020. They argued that the travel allowances were not due to the applicants, citing the first respondent's poor financial state and its right to alter the travel allowance scheme. The respondents further submitted that their conduct was not wilful or mala fide, as the second respondent acted bona fide on legal advice. They challenged the punitive costs order as a misinterpretation of section 162 of the Labour Relations Act.
05
Court’s reasoning
Legal principles
- 01
Fakie NO v CCII Systems (Pty) Ltd 2006 (4) SA 326 (SCA)
Contempt proceedings serve to enforce court orders and ensure compliance.
- 02
Labour Relations Act 66 of 1995
Costs orders in the Labour Court are governed by section 162, which requires consideration of law and fairness.
06
Ratio, limits and disposition
Ratio decidendi
The court found that the respondents failed to comply with the order of 24 November 2020, which confirmed the applicants' contractual right to travel allowances. The respondents' justification based on financial constraints and the right to change the travel allowance scheme did not absolve them of their obligation to comply. The respondents acted wilfully and mala fide in defying the order, and their submissions did not establish any error in the previous judgment. The costs order was correctly granted under section 162 of the Labour Relations Act, as the respondents did not demonstrate a misinterpretation of the legislative provision. The respondents have no prospects of success on appeal.
Obiter and limits
- The law and fairness require that applicants should not be left out of pocket for defending their rights in terms of a judgment in their favour.
- The judgment confirming the applicants' contractual right to travel allowances was not challenged and therefore stands.
Court disposition
Leave to appeal is dismissed with costs.
- The application for leave to appeal is dismissed with costs.
Source and reliance status
Labour Court Port Elizabeth
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Labour Court Port Elizabeth
Judgment
IN THE LABOUR COURT OF SOUTH AFRICA, GQEBERHA
Not Reportable
Case no:P16/22
In the matter between
BONGANI
MVULO
First Applicant
APPLICANTS LISTED IN ANNEXURE "A" TO THE
NOTICE
OF
MOTION
Second To Twelfth
Applicants
And
AMATHOLE
DISTRICT MUNICIPALITY
First Respondent
THANDEKILE
MNYIMBA Second Respondent
Delivered: This judgment was handed down electronically by circulation to the Applicants' and the Respondents' legal representatives by email, publication on the Labour Court website and release to SAFLII. The date and time for handing - down is deemed to be 12h00 on 07 November 2022.
JUDGMENT:
LEAVE TO APPEAL
LALLIE, J
[1] This is an application for leave to appeal against the whole of the judgment handed on 17 June 2022, in which the respondents were found guilty of contempt of court and compelled to comply with paragraphs 3 and 4 a order issued by this court on 24 November 2020. A punitive costs order was granted against the first respondent. The application is opposed by the applicants.
[2] The respondents' application is based on a number of grounds in which they submitted that in reaching the decision they seek leave to appeal against, I made a number of errors including the finding that they failed to comply with the order of 24 November 2020.The respondents alleged that I further erred in finding that I further their conduct was wilful and mala fide in law, compelling them to comply with the order of 24 June 2020 and granting a punitive costs order against the first respondents.
[3] Most of the issues the respondents raised have been dealt with fully in the judgment they seek leave to appeal against. I stand by the findings made in the judgment. In denying having failed to comply with the order of 24 June 2020, the respondents attempted to justify their non-compliance. It was argued on their behalf that the travel allowances were not due to the applicants. The respondents relied on the first respondents' poor financial state and its right to change its travel allowance scheme.
[4] In preferring the applicants' version that the respondents failed to comply with the order of 24 November 2020, I accepted that the judgment confirming the applicants' contractual right to the travel allowances was not challenged. It therefore stands. The arguments advanced on behalf of the respondents did not refute the correctness of the legal position that an employer may not unilaterally change employees' terms and conditions of employment.
The justification the respondents sought to rely on did not relieve them of the obligation to comply with the order. They therefore failed to comply with the order.
[5] The respondents denied having defied the order wilfully. I have considered the submissions to the effect that the second respondent
acted bona fide, on legal advice and not wilfully and mala fide in not complying with the order. In the judgment whose finding I stand by, I have given full reasons for finding that the respondents acted wilfully and mala fide. I will not repeat them save to state that the respondents did not prove their allegation that I erred in making the finding.
[6] The argument that I erred in directing the first respondent to comply with the order of 24 November 2020 cannot stand. The order is valid and has not been challenged. I accept the submissions on behalf of the applicants and the authorities they relied on to the effect that one of the objects of contempt proceedings is the enforcement of court orders. The respondents did not establish an impediment to being compelled to comply with the order.
[7] The costs order was made in terms of Section 162 of the Labour Relations Act 66 of 1995 as amended and the respondents’ submission do not reveal a misinterpretation of that legislative provision. I therefore accept the applicants' submissions that the costs order was granted correctly. For these reasons, the respondents have no prospect of success on appeal.
[8] Both the law and fairness require that the applicants should not be left out of pockets for opposing this application defending their rights in terms of a judgment in their favour
[9] In the premises, the following order is made:
Order:
1. The application for leave to appeal is dismissed with costs.
Z. Lallie
Judge of the Labour Court of South Afric
PARTIES:
For the Applicant:
Wesley Pretorius & Associates Inc
For the Respondent: Wikus Van Rensburg Attorneys
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