Ukweza Holdings (Pty) Ltd v Nyondo and Others (PA2/19) [2020] ZALAC 7; [2020] 6 BLLR 544 (LAC); (2020) 41 ILJ 1354 (LAC) (4 March 2020)

Ukweza Holdings (Pty) Ltd v Nyondo and Others (PA2/19) [2020] ZALAC 7; [2020] 6 BLLR 544 (LAC); (2020) 41 ILJ 1354 (LAC) (4 March 2020)

The Labour Appeal Court held that the CCMA lacked jurisdiction to arbitrate the dispute because the employment relationship ended by effluxion of time and not by dismissal. The employee was aware that the position was advertised and participated in the selection process, negating any legitimate expectation of renewal or permanent employment. The commissioner erred in finding that the termination constituted a dismissal, and the Labour Court incorrectly deferred to the commissioner’s decision. The compensation award was rendered moot as there was no dismissal. The order of the Labour Court was set aside and replaced with a finding that the CCMA had no jurisdiction in the absence of a...

Citation
[2020] ZALAC 7
Parties
Appellant: Ukweza Holdings (Pty) Ltd; Respondent: Nyondo A NO; Respondent: The Commission for Conciliation, Mediation and Arbitration; Respondent: Oliver Michael David
Court
Labour Appeal Court
Jurisdiction
South Africa
Judgment Date
4 March 2020
Case Number
PA2/19
Procedural Posture
Civil Appeal / Appeal From Labour Court Judgment Dismissing Review of CCMA Award
Outcome
Appeal upheld; Labour Court order set aside; CCMA award reviewed and set aside; CCMA found to have no jurisdiction in absence of dismissal.
Judges
Waglay, Murphy, Savage
Legal Topics
Jurisdiction of Ccma, Fixed Term Contracts, Dismissal Definition, Reasonable Expectation of Renewal, Compensation Quantum

Case Brief

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Parties

Ukweza Holdings (Pty) Ltd

Appellant

Nyondo A NO

Respondent

The Commission for Conciliation, Mediation and Arbitration

Respondent

Oliver Michael David

Respondent

Procedural Posture

Civil Appeal / Appeal From Labour Court Judgment Dismissing Review of CCMA Award

  1. 1 Whether the CCMA had jurisdiction to arbitrate the dispute in the absence of a dismissal.
  2. 2 Whether the termination of the fixed-term contract constituted a dismissal under section 186(1)(a) of the Labour Relations Act.
  3. 3 Whether the employee had a reasonable expectation of renewal or permanent employment.

Ratio Decidendi

The Labour Appeal Court held that the CCMA lacked jurisdiction to arbitrate the dispute because the employment relationship ended by effluxion of time and not by dismissal. The employee was aware that the position was advertised and participated in the selection process, negating any legitimate expectation of renewal or permanent employment. The commissioner erred in finding that the termination constituted a dismissal, and the Labour Court incorrectly deferred to the commissioner’s decision. The compensation award was rendered moot as there was no dismissal. The order of the Labour Court was set aside and replaced with a finding that the CCMA had no jurisdiction in the absence of a...

Court Disposition

Appeal upheld; Labour Court order set aside; CCMA award reviewed and set aside; CCMA found to have no jurisdiction in absence of dismissal.

Orders

  • Condonation for the late filing of the notice of appeal is granted.
  • The appeal is upheld and the order of the Labour Court is substituted to read: 'The award handed down by the CCMA is hereby reviewed and set aside and replaced with the following: The CCMA has no jurisdiction to arbitrate the dispute in the absence of a dismissal.'