South African Broadcasting Corporation v McKenzie (CA8/98) [1998] ZALAC 13 (15 October 1998)

South African Broadcasting Corporation v McKenzie (CA8/98) [1998] ZALAC 13 (15 October 1998)

The Labour Appeal Court held that McKenzie was not an employee of the SABC but an independent contractor. The court found that the freelance contracts, the manner of remuneration, the absence of employee benefits, and McKenzie's own representations to the Receiver of Revenue and the outside world were decisive. The SABC did not exercise the degree of supervision and control characteristic of an employment relationship; McKenzie was not at the beck and call of the SABC, was paid per programme, and could take on other work. The court emphasised that the true nature of the relationship must be determined by the substance of the contract and the conduct of the parties, not by superficial...

Citation
[1998] ZALAC 13
Parties
Appellant: South African Broadcasting Corporation; Respondent: L E McKenzie
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
15 October 1998
Case Number
CA8/98
Procedural Posture
Civil Appeal / Appeal From Industrial Court Determination on Employment Status and Unfair Labour Practice
Outcome
Appeal upheld. Industrial court's orders set aside. Determination that McKenzie was not an employee of the SABC.
Judges
Myburgh JP, Froneman DJP, Cameron JA
Legal Topics
Employment Status, Contract of Service Vs Contract of Work, Unfair Labour Practice, Dominant Impression Test, Termination of Contract, Remuneration and Benefits
Labour Law Civil Procedure Employment Status Contract of Service Vs Contract of Work Unfair Labour Practice Dominant Impression Test Termination of Contract Remuneration and Benefits

Case Brief

Summary, issues, holding and outcome

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Parties

South African Broadcasting Corporation

Appellant

L E McKenzie

Respondent

Procedural Posture

Civil Appeal / Appeal From Industrial Court Determination on Employment Status and Unfair Labour Practice

Legal Issues

  1. 1 Whether McKenzie was an employee of the SABC as defined in the Labour Relations Act, 1956.
  2. 2 Whether the industrial court had jurisdiction to determine the dispute.
  3. 3 Whether the termination of McKenzie's contract constituted an unfair labour practice.

Ratio Decidendi

The Labour Appeal Court held that McKenzie was not an employee of the SABC but an independent contractor. The court found that the freelance contracts, the manner of remuneration, the absence of employee benefits, and McKenzie's own representations to the Receiver of Revenue and the outside world were decisive. The SABC did not exercise the degree of supervision and control characteristic of an employment relationship; McKenzie was not at the beck and call of the SABC, was paid per programme, and could take on other work. The court emphasised that the true nature of the relationship must be determined by the substance of the contract and the conduct of the parties, not by superficial...

Court Disposition

Appeal upheld. Industrial court's orders set aside. Determination that McKenzie was not an employee of the SABC.

Orders

  • The orders of Messrs De Klerk and Maritz in the industrial court are set aside.
  • The preliminary point, namely, whether the applicant was an employee of the respondent, is decided in favour of the respondent.