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South Africa Ruling

South Gauteng High Court, Johannesburg

Mahlake v General Public Service Sectoral Bargaining Council and Others (JR1656/12) [2014] ZAGPJHC 44 (24 February 2014)

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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 commissioner had properly considered all relevant factors in upholding the applicant's dismissal for financial mismanagement, including the applicant's lack of remorse and her continued belief that she had done no wrong. The arguments regarding consistency and being a scapegoat were reasonably rejected, as the applicant was responsible for the budget overrun and the conduct of other employees did not exculpate her. The applicant's understanding of regulatory exemptions and allegations of political conspiracy were not sufficient to demonstrate that the commissioner failed in his duties. There were no reasonable prospects that another court would reach a different conclusion, and leave to appeal was refused.

Court disposition

Leave to appeal is refused.

Orders

  • Leave to appeal is refused.

02

Material facts

Parties

P A Mahlake

Applicant Counsel: A Cook

General Public Service Sectoral Bargaining Council

Respondent

AC Maande

Respondent

Department of Sports, Arts & Culture Limpopo Province

Respondent Counsel: N Cassim SC

Amounts and remedies

  • Budget Exceeded: ZAR 2,700,000

03

Procedural history

  1. Posture

    Leave to Appeal / Application for Leave to Appeal After Judgment Dismissing Review Application

04

Questions and positions

Legal issues

Party arguments

Applicant
The applicant contended that the sanction of dismissal was too severe, arguing that other employees guilty of similar misconduct were not dismissed, and that she was made a scapegoat for the actions of others. She further submitted that her understanding of an exemption regarding certain payments should have relieved her of obligations under the regulatory thresholds, and alleged that she was the victim of a political conspiracy.
Respondent
The respondents maintained that the commissioner had properly considered all relevant factors, including the applicant's lack of remorse and her responsibility for exceeding the budget by R2.7 million. They argued that the commissioner reasonably rejected the applicant's consistency and scapegoat arguments, and that the applicant's belief regarding exemptions did not absolve her from regulatory obligations.

05

Court’s reasoning

  1. 01

    Section 17(1) of the Superior Courts Act

    Leave to appeal is granted only if there are reasonable prospects that another court may reach a different conclusion.

  2. 02

    Sidumo v Rustenburg Platinum Mines Ltd [2007] 12 BLLR 1097 (CC)

    The test for review of arbitration awards is whether the decision is so unreasonable that no reasonable decision-maker could have reached it.

  3. 03

    Herholdt v Nedbank Ltd [2013] 11 BLLR 1074 (SCA); Goldfields Mining SA (Pty) Ltd v CCMA [2014] 1 BLLR 20 (LAC)

    The basis for interfering with a commissioner's finding on sanction is narrow; the decision must fall outside the band of reasonable decisions.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the commissioner had properly considered all relevant factors in upholding the applicant's dismissal for financial mismanagement, including the applicant's lack of remorse and her continued belief that she had done no wrong. The arguments regarding consistency and being a scapegoat were reasonably rejected, as the applicant was responsible for the budget overrun and the conduct of other employees did not exculpate her. The applicant's understanding of regulatory exemptions and allegations of political conspiracy were not sufficient to demonstrate that the commissioner failed in his duties. There were no reasonable prospects that another court would reach a different conclusion, and leave to appeal was refused.

Obiter and limits

  • Commissioners are permitted to be wrong, provided they afford parties a fair hearing, understand the nature of the dispute, and deal with the substantive merits.
  • The fact that other employees resigned or were transferred does not exculpate the applicant from responsibility for financial mismanagement.

Court disposition

Leave to appeal is refused.

  • Leave to appeal is refused.

Source and reliance status

South Gauteng High Court, Johannesburg

This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.

Judgment reading view

Judgment text

The complete available source text.

Source document

South Gauteng High Court, Johannesburg

Ruling

[2014] ZAGPJHC 44

REPUBLIC

OF SOUTH AFRICA

THE LABOUR COURT OF SOUTH AFRICA, JOHANNESBURG

JUDGMENT

Not reportable

Case no JR 1656/12

In the matter between:

P

A MAHLAKE

APPLICANT

and

GENERAL

PUBLIC SERVICE SECTORAL

BARGAINING COUNCIL 1ST

RESPONDENT

AC MAANDE 2ND

RESPONDENT

DEPARTMENT OF SPORTS, ARTS & CULTURE

LIMPOPO PROVINCE 3RD

RESPONDENT

Application heard: 21 February 2014

Ruling issued: 24 February 2014

RULING:

APPLICATION OF LEAVE TO APPEAL

VAN

NIEKERK J

[1] This is an application for leave to appeal against the whole of the judgment delivered by this court on 17 January 2014. In its judgment, the court dismissed, with no order as to costs, an application to review and set aside an arbitration ward made by the second respondent. In his award, the second respondent (the commissioner) had upheld the fairness of the dismissal of the applicant by the third respondent.

[2] The reasons for judgment are recorded in the written judgment delivered by the court, and I do not intend to repeat them

here. At the hearing of the present application, Adv. Cook, who appeared for the applicant, emphasized four submissions. These relate to the severity of the sanction of dismissal, the consistency argument (it having been contended that at least two other employees were guilty of the same misconduct but not dismissed), the related contention that the applicant was the scapegoat for misconduct committed by others and they submission concerning the applicant’s understanding of an exemption in relation to certain payments and the requirement that an approval and/or tender process be invoked.

[3] Leave to appeal is ordinarily granted if there are reasonable prospects that another court, in this case the Labour Appeal Court,

may come to a different conclusion.

[4] in relation to sanction, it is pointed out in the judgment that the consequence of the approach adopted in the Sidumo judgment and its subsequent refinement by the Supreme Court of Appeal in Herholdt and by the Labour Appeal Court in Goldfields is to narrow considerably the basis on which this court is entitled to interfere with a commissioner’s finding on a fair sanction for misconduct. The effect of the test, which requires a commissioner’s decision that dismissal is appropriate to be so unreasonable that it falls outside of the band of decisions to which reasonable people could come on the available material, is that this court will not often be entitled to interfere. In the present instance, the commissioner in paragraph 50 of the award clearly takes into account the relevant factors and concludes that the absence of any remorse and the fact that the applicant, despite the evidence, simply continue to believe that she had done no wrong warranted the upholding of the applicant’s dismissal. As I indicated in the judgment, there is no reason to call into question the commissioner’s conclusion that the acts of financial mismanagement committed by the applicant warranted the sanction of dismissal. Nothing that has been presented in the present application persuades me that another court might reasonably think differently.

[5] Similarly, in regard to the consistency and scapegoat arguments, the commissioner was alive to the applicant’s averments that other employees were equally guilty of financial mismanagement. The commissioner rejected these arguments as a basis on which the applicant should be exculpatory it and relying on the evidence of Knevitt in particular, concluded that whatever the conduct of others, the applicant was responsible for the budget being exceeded by some R 2.7 million. The fact that one either employee implicated by the forensic reported resigned and another been transferred could not serve to exculpate the applicant, and other commissioner quite reasonably rejected this proposition.

[6] The applicant also submits in the present application that her state of mind and in particular, her belief that the exemption obtained in respect of services for goods exceeding R 30 000 was sufficient to relieve her of any obligations in respect of the regulatory thresholds of R 100 000 and R1 million respectively, is an issue that the commissioner failed properly to take into account, as the commissioner failed properly to have regard to her contention that she was the victim of a political conspiracy. Again, it is the function of this court to determine whether or not the commissioner was correct. Commissioners are allowed to be wrong. As I’ve indicated in the judgment, provided the commissioner provides the parties a fair hearing, understands the nature of the dispute and deals with the substantive merits of that dispute, there is no basis for this court to intervene. Having read the applicants are submits in the present application persuades me that another court might reasonably conclude that the commissioner failed to discharge the above obligation.

For these reasons I make the following order:

1. Leave to appeal is refused.

ANDRE

VAN NIEKERK

JUDGE

OF THE LABOUR COURT

APPEARANCES

For the applicant: Adv A Cook, instructed by Koikanyang Inc

For the third respondent: Adv N Cassim SC, instructed by the sate attorney.

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Authorities

Authorities used by the court

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

Sidumo v Rustenburg Platinum Mines Ltd [2007] 12 BLLR 1097 (CC)

Case cited

Herholdt v Nedbank Ltd [2013] 11 BLLR 1074 (SCA)

Case cited

Goldfields Mining SA (Pty) Ltd v CCMA [2014] 1 BLLR 20 (LAC)

Case cited

Superior Courts Act

Legislation

Legislation referenced in the available case record.

Labour Relations Act

Legislation

Legislation referenced in the available case record.

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