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South Africa Judgment

Labour Court

Northern Province Development Corp v CCMA and Others (J2076/00) [2001] ZALC 113 (31 July 2001)

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Professional case brief

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Source document

01

Holding and result

The court held that the complaint regarding job grading does not fall within the statutory definition of a residual unfair labour practice under the Labour Relations Act. The issue raised by the respondents is a matter of mutual interest and not an unfair labour practice as contemplated by the Act. Consequently, the commissioner acted outside his powers in granting the relief, and the award must be reviewed and set aside.

Court disposition

The award of the commissioner is reviewed and set aside with costs.

Orders

  • The award delivered by the commissioner is reviewed and set aside.
  • The applicant is awarded costs.

02

Material facts

Parties

Northern Province Development Corp

Applicant

CCMA & Others

Respondent

03

Procedural history

  1. Posture

    Review Application / Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant argued that the complaint regarding job grading does not fall within the definition of a residual unfair labour practice as set out in Schedule 7 of the Labour Relations Act, 66 of 1995. The applicant contended that the issue is a matter of mutual interest and not an unfair labour practice, and therefore the commissioner lacked jurisdiction to make the award.
Respondent
The respondents maintained that the company's failure to subject all grades to an independent consultant, or to accept the grades of the internal job evaluation committee, constituted inconsistency and amounted to an unfair labour practice. They sought relief based on this alleged unfair conduct.

05

Court’s reasoning

  1. 01

    Labour Relations Act, 66 of 1995, Schedule 7, Item 2

    A residual unfair labour practice is defined as any unfair act or omission between an employer and employee involving unfair conduct relating to promotion, demotion, training, provision of benefits, unfair suspension, disciplinary action short of dismissal, or failure to reinstate or re-employ a former employee in terms of an agreement.

06

Ratio, limits and disposition

Ratio decidendi

The court held that the complaint regarding job grading does not fall within the statutory definition of a residual unfair labour practice under the Labour Relations Act. The issue raised by the respondents is a matter of mutual interest and not an unfair labour practice as contemplated by the Act. Consequently, the commissioner acted outside his powers in granting the relief, and the award must be reviewed and set aside.

Obiter and limits

  • The court emphasized that not every workplace grievance qualifies as an unfair labour practice under the Labour Relations Act; matters of mutual interest must be distinguished from statutory unfair labour practices.

Court disposition

The award of the commissioner is reviewed and set aside with costs.

  • The award delivered by the commissioner is reviewed and set aside.
  • The applicant is awarded costs.

Source and reliance status

Labour Court

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Judgment reading view

Judgment text

The complete available source text.

Source document

Labour Court

Judgment

[2001] ZALC 113

JUDGMENT

1 J2076/00-PJ

Sneller Verbatim/PJ

IN THE

LABOUR COURT OF SOUTH AFRICA

BRAAMFONTEIN CASE NO: J2076/00

2001-07-31

In the matter between

NORTHERN PROVINCE DEVELOPMENT CORP Applicant

and

CCMA & OTHERS Respondent

_______________

J U D G M E

N T

LANDMAN, J: The Northern Province Development Corporation brings an application to review and set aside an award delivered by a commissioner in regard to the Development Corporation and the Allied Workers Union and eight others.

The commissioner considered the evidence which had been presented before him and concluded by saying:

"I therefore find that failure to subject all grades to an independent consultant or alternatively failure to accept the grades of the internal job evaluation committee, and only subject in the human Resource Officers thereto amounts to inconsistency on behalf of the company. I further find that this conduct amounts to unfair labour practice" He then makes an award awarding certain relief. An unfair labour practice is a concept which is set out in schedule 7 of the Labour Relations Act, 66 of 1995. It is referred to in item 2 as a residual unfair labour practice. It is stated that for purposes of this item an unfair labour practice means any unfair act or omission that arises between an employer and employee involving - [b] the unfair conduct of the employer relating to the promotion, demotion or training of an employee or relating to the provision of benefits to an employee; [c] the unfair suspension of an employee or any other disciplinary action short of dismissal in respect of an employee; [d] the failure or refusal of an employer to reinstate or re-employ the former employee in terms of an agreement. By no stretch of imagination can the complaint which the individual respondents had in regard to their grading fall within the concept of residual unfair labour practice. Indeed it amounts to a matter of mutual interest. It follows that the commissioner had no power to make the order which he did. It is consequently reviewed and set aside with costs. ____ Judge A A Landman Judge of the Labour Court of South Africa ××××0ØØØØ

"I therefore find that failure to subject all grades to an independent consultant or alternatively failure to accept the grades of the internal job evaluation committee, and only subject in the human Resource Officers thereto amounts to inconsistency on behalf of the company. I further find that this conduct amounts to unfair labour practice"

He then makes an award awarding certain relief.

An unfair labour practice is a concept which is set out in schedule 7 of the Labour Relations Act, 66 of 1995. It is referred to in item 2 as a residual unfair labour practice. It is stated that for purposes of this item an unfair labour practice means any unfair act or omission that arises between an employer and employee involving -

[b] the unfair conduct of the employer relating to the promotion, demotion or training of an employee or relating to the provision of benefits to an employee;

[c] the unfair suspension of an employee or any other disciplinary action short of dismissal in respect of an employee;

[d] the failure or refusal of an employer to reinstate or re-employ the former employee in terms of an agreement.

By no stretch of imagination can the complaint which the individual respondents had in regard to their grading fall within the concept of residual unfair labour practice. Indeed it amounts to a matter of mutual interest. It follows that the commissioner had no power to make the order which he did. It is consequently reviewed and set aside with costs.

____

Judge A A Landman

Judge of the Labour Court of South Africa

××××0ØØØØ

1

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Labour Relations Act, 66 of 1995

Legislation

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