Shoprite Checkers (Pty) Ltd v Commission for Conciliation, Mediation and Arbitration and Others (2009 (3) SA 493 (SCA); [2009] 7 BLLR 619 (SCA); [2009] 3 All SA 466 (SCA); (2009) 30 ILJ 829 (SCA)) [2009] ZASCA 175; [2009] ZASCA 24 (27 March 2009)

Shoprite Checkers (Pty) Ltd v Commission for Conciliation, Mediation and Arbitration and Others (2009 (3) SA 493 (SCA); [2009] 7 BLLR 619 (SCA); [2009] 3 All SA 466 (SCA); (2009) 30 ILJ 829 (SCA)) [2009] ZASCA 175; [2009] ZASCA 24 (27 March 2009)

The Supreme Court of Appeal held that the Labour Appeal Court erred in substituting its own discretion for that of the arbitrator regarding the remedy of reinstatement. The arbitrator's decision to order reinstatement from the date of the award, rather than retrospectively, was not shown to be capricious,...

Source-derived case information.

Citation
[2009] ZASCA 24
Parties
Appellant: Shoprite Checkers (Pty) Ltd; Respondent: Commission for Conciliation, Mediation and Arbitration; Respondent: Commissioner B Mbha NO; Respondent: Retail and Allied Workers Union; Respondent: J Maake
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Case Number
315/08
Procedural Posture
Civil Appeal / Appeal From Labour Appeal Court; Limited to Remedy of Reinstatement
Outcome
Appeal upheld. Orders of the Labour Appeal Court and Labour Court substituted: both review and counter-review applications dismissed; no order as to costs.
Judges
Navsa, Jafta, Ponnan, Mlambo, Leach
Legal Topics
Unfair Dismissal, Review of Arbitration Award, Reinstatement, Reasonableness Standard, Remedy Discretion
Labour Law Civil Procedure Unfair Dismissal Review of Arbitration Award Reinstatement Reasonableness Standard Remedy Discretion

Source-derived case record

Summary, issues, holding and outcome

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Parties

Shoprite Checkers (Pty) Ltd

Appellant

Commission for Conciliation, Mediation and Arbitration

Respondent

Commissioner B Mbha NO

Respondent

Retail and Allied Workers Union

Respondent

J Maake

Respondent

Procedural Posture

Civil Appeal / Appeal From Labour Appeal Court; Limited to Remedy of Reinstatement

  1. 1 Whether the Labour Appeal Court was correct to substitute the arbitrator's award with retrospective reinstatement for Mr Maake.
  2. 2 Whether the arbitrator's discretion regarding the remedy was exercised capriciously or on a wrong principle.
  3. 3 Whether the delays and systemic failures in the dispute resolution process justify interference with the arbitrator's award.

Ratio Decidendi

The Supreme Court of Appeal held that the Labour Appeal Court erred in substituting its own discretion for that of the arbitrator regarding the remedy of reinstatement. The arbitrator's decision to order reinstatement from the date of the award, rather than retrospectively, was not shown to be capricious, unreasonable, or based on a wrong principle. The statutory scheme under the Labour Relations Act provides the arbitrator with discretion in determining the remedy, and interference is only warranted on limited grounds. The delays and systemic failures in the dispute resolution process, while regrettable, do not justify substituting the arbitrator's discretion. The appeal was upheld, and...

Court Disposition

Appeal upheld. Orders of the Labour Appeal Court and Labour Court substituted: both review and counter-review applications dismissed; no order as to costs.

Orders

  • The appeal is upheld and there is no order as to costs.
  • Both the appeal and the cross-appeal are dismissed and each party is to pay its own costs.