SAPPI Forests (Pty) Ltd v Commission for Conciliation Mediation and Arbitration and Others (DA 12/08) [2008] ZALAC 25 (1 January 2008)

SAPPI Forests (Pty) Ltd v Commission for Conciliation Mediation and Arbitration and Others (DA 12/08) [2008] ZALAC 25 (1 January 2008)

The Labour Appeal Court found that the disciplinary code relied upon by the third respondent was not binding, and the applicable code did not entitle him to be paid during suspension pending the disciplinary hearing. The third respondent exercised a choice to postpone the hearing and remain on suspension without pay. The arbitrator misdirected himself by failing to determine which disciplinary code was applicable and by not properly considering the evidence. There is no general rule that suspension without pay is unfair in all circumstances, especially where the employee requests postponement and the employer grants an indulgence. The suspension without pay was substantively and...

Citation
[2008] ZALAC 25
Parties
Appellant: SAPPI Forests (Pty) Ltd; Respondent: Commission for Conciliation Mediation and Arbitration; Respondent: Anashrin Pillay N.O; Respondent: Douglas Alexander Boyd
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
1 January 2008
Case Number
DA 12/08
Procedural Posture
Labour Appeal / Appeal From Labour Court Judgment Dismissing Review of Arbitration Award
Outcome
Appeal upheld. Arbitration award reviewed and set aside. Suspension without pay pending disciplinary hearing found substantively and procedurally fair. No order as to costs.
Judges
Waglay, Tlaletsi, Musi
Legal Topics
Unfair Labour Practice, Suspension Without Pay, Disciplinary Code Interpretation, Arbitration Review, Procedural Fairness
Labour Law Civil Procedure Unfair Labour Practice Suspension Without Pay Disciplinary Code Interpretation Arbitration Review Procedural Fairness

Case Brief

Summary, issues, holding and outcome

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Parties

SAPPI Forests (Pty) Ltd

Appellant

Commission for Conciliation Mediation and Arbitration

Respondent

Anashrin Pillay N.O

Respondent

Douglas Alexander Boyd

Respondent

Procedural Posture

Labour Appeal / Appeal From Labour Court Judgment Dismissing Review of Arbitration Award

Legal Issues

  1. 1 Whether the employer was entitled to suspend the employee without pay pending a disciplinary hearing.
  2. 2 Whether the applicable disciplinary code entitled the employee to be paid during suspension.
  3. 3 Whether the arbitrator committed a reviewable irregularity in finding the suspension without pay unfair.

Ratio Decidendi

The Labour Appeal Court found that the disciplinary code relied upon by the third respondent was not binding, and the applicable code did not entitle him to be paid during suspension pending the disciplinary hearing. The third respondent exercised a choice to postpone the hearing and remain on suspension without pay. The arbitrator misdirected himself by failing to determine which disciplinary code was applicable and by not properly considering the evidence. There is no general rule that suspension without pay is unfair in all circumstances, especially where the employee requests postponement and the employer grants an indulgence. The suspension without pay was substantively and...

Court Disposition

Appeal upheld. Arbitration award reviewed and set aside. Suspension without pay pending disciplinary hearing found substantively and procedurally fair. No order as to costs.

Orders

  • The appeal is upheld.
  • The arbitration award of the second respondent is reviewed and set aside.