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South Africa Judgment

Labour Court Johannesburg

Solidarity obo Members v Sahara African Living (Pty) Ltd - Application For Leave to Appeal (JS829/21) [2024] ZALCJHB 245 (24 June 2024)

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Professional case brief

Research organized from the available case record

Source document

01

Holding and result

The court found that the respondent had conceded to unilaterally changing the terms and conditions of employment for Steyn and Clark, which was fatal to its case. There were no conflicting judgments on the issue, and the respondent's grounds for appeal lacked merit. The respondent's case regarding the unfair retrenchment dispute was found to be hopeless both on the facts and applicable legal principles. The claim for notice pay was similarly without merit. The court concluded that there were no reasonable prospects of success on appeal and no compelling reason for the appeal to be heard. Accordingly, the application for leave to appeal was dismissed.

Court disposition

Application for leave to appeal dismissed.

Orders

  • The application for leave to appeal is dismissed.
  • There is no order as to costs.

02

Material facts

Parties

Solidarity obo Members

Applicant

Sahara African Living (Pty) Ltd

Respondent

03

Procedural history

  1. Posture

    Leave to Appeal / Application for Leave to Appeal Following Judgment on Breach of Contract and Unfair Dismissal Claims

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant opposed the leave to appeal, arguing that the respondent had conceded to unilaterally changing the terms and conditions of employment, which was fatal to its case. The applicant maintained that the facts and legal principles applied by the court were correct and that there were no conflicting judgments or compelling reasons for the appeal to be heard. The applicant further submitted that the respondent's case on the unfair retrenchment dispute and notice pay was hopeless and without merit.
Respondent
The respondent sought leave to appeal against the judgment and order relating to the breach of contract claims of Steyn and Clark, the unfair dismissal or retrenchment dispute, and the claim for notice pay. The respondent accepted the findings regarding Burton but disputed those relating to Clark and Steyn. The respondent referred to a previous judgment (Solidarity I) where leave to appeal was granted in a similar breach of contract matter, suggesting a different legal approach might be warranted.

05

Court’s reasoning

  1. 01

    Section 17(1) of the Superior Courts Act

    Leave to appeal will only be granted if there is a reasonable prospect of success or some other compelling reason, such as conflicting judgments.

  2. 02

    Section 37(1) of the Basic Conditions of Employment Act

    Notice pay is regulated by statute and must be paid where dismissal is found to be unfair or procedurally defective.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the respondent had conceded to unilaterally changing the terms and conditions of employment for Steyn and Clark, which was fatal to its case. There were no conflicting judgments on the issue, and the respondent's grounds for appeal lacked merit. The respondent's case regarding the unfair retrenchment dispute was found to be hopeless both on the facts and applicable legal principles. The claim for notice pay was similarly without merit. The court concluded that there were no reasonable prospects of success on appeal and no compelling reason for the appeal to be heard. Accordingly, the application for leave to appeal was dismissed.

Obiter and limits

  • The reference to Solidarity I does not create a conflict in judgments, as the legal approach and facts were distinct in that matter.
  • The respondent's concession regarding the unilateral change to employment terms was decisive and undermined its prospects on appeal.

Court disposition

Application for leave to appeal dismissed.

  • The application for leave to appeal is dismissed.
  • There is no order as to costs.

Source and reliance status

Labour Court Johannesburg

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Judgment reading view

Judgment text

The complete available source text.

Source document

Labour Court Johannesburg

Judgment

[2024] ZALCJHB 245

THE LABOUR COURT OF SOUTH AFRICA, JOHANNESBURG

Not Reportable

Case No: JS829/21

In the matter between:

SOLIDARITY obo

MEMBERS

Applicant

and

SAHARA AFRICAN LIVING (PTY)

LTD

Respondent

Heard: In Chambers

Delivered: 24 June 2024

This judgment was handed down electronically by circulation to the parties’ legal representatives by email. The date for hand-down

is deemed to be 24 June 2024.

JUDGMENT:

APPLICATION

FOR LEAVE TO APPEAL

MAKHURA, J

[1] The respondent applies for leave to appeal against the substantial part of the judgment and order of this Court issued on 17 April 2024. The matter relates to two primary claims lodged by the applicant relating to (1) a claim for breach of contract lodged in terms of section 77(3) read with sections 73A(3) and 77A(e) of the Basic Conditions of Employment Act (BCEA)[1] and (2) an unfair dismissal claim in terms of section 191(5)(b)(ii) of the Labour Relations Act (LRA)[2]. Related to the latter claim, the applicant also claimed notice pay, which is regulated in terms of section 37(1) of the BCEA.

[2] The test for applications for leave to appeal is set out under section 17(1) of the Superior Court Act. An application for leave to appeal would succeed if the appeal would have a reasonable prospect of success or if there is some other compelling reason why the appeal should be heard, including conflicting judgments on the matter under consideration.

[3] The respondent’s application is opposed by the applicant. I have considered the grounds upon which leave to appeal is sought and the parties’ respective written submissions. I note that the respondent does not seek leave to appeal the judgment and order insofar as they relate to Burton’s breach of contract claim and the payment of shortfall of March 2020 salaries. The leave to appeal application is therefore limited to the judgment and order relating to the breach of contract claims of Steyn and Clark, the unfair dismissal or retrenchment dispute and the claim for notice pay.

[4] The respondent accepts the Court’s findings insofar as they relate to Burton but not Clark and Steyn. The parties referred me to the judgment in Solidarity obo members v Sahara African Aviation Operation (Pty) Ltd[3] (Solidarity I), where this Court, dealing with a claim for breach of contract, granted leave to appeal. The Court in Solidarity I dealt with that matter on its facts and clearly adopted a different legal approach to the one adopted in this matter. These two matters do not in my view give rise to conflicting judgments on this issue. In casu, the respondent conceded, correctly so, that it unilaterally changed the terms and conditions of the employees’ contracts of employment. This was fatal. The respondent’s appeal would have no prospects of success and stands to be refused.

[5] With regard to the application for leave to appeal against the judgment and order in respect of the unfair retrenchment dispute, the respondent’s case was woeful and hopeless. On the facts and the applicable legal principles, the appeal in this regard would have no prospects of succeeding and there are no compelling reasons to burden the appeal court with this issue. Equally, the application for leave to appeal against the findings and order that the respondent must pay the employees their notice pay has no merit and stands to fail.

[6] In the premises, the following order is made:

Order

1. The application for leave to appeal is dismissed.

2. There is no order as to costs.

M. Makhura

Judge of the Labour Court of South Africa

[1] Act 75 of 1997.

[2] Act 66 of 1995, as amended.

[3] (2024) 45 ILJ 1084 (LC).

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Authorities

Authorities used by the court

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

Solidarity obo members v Sahara African Aviation Operation (Pty) Ltd (2024) 45 ILJ 1084 (LC)

Case cited

Basic Conditions of Employment Act 75 of 1997

Legislation

Legislation referenced in the available case record.

Labour Relations Act 66 of 1995, as amended

Legislation

Legislation referenced in the available case record.

Superior Courts Act

Legislation

Legislation referenced in the available case record.

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