Western Cape Workers Association v Halgang Properties CC (CCT 44/03) [2003] ZACC 14; 2004 (3) BCLR 237 (CC) (14 November 2003)

Western Cape Workers Association v Halgang Properties CC (CCT 44/03) [2003] ZACC 14; 2004 (3) BCLR 237 (CC) (14 November 2003)

The Constitutional Court held that, following the transfer of the business as a going concern to Wembley Investments, it was no longer possible for Halgang Properties CC to reinstate the workers. Both the Labour Court and Labour Appeal Court correctly found that the business was transferred under section 197 of the Labour Relations Act. The applicant did not challenge this finding. The Court found that if reinstatement against Wembley was sought, Wembley should have been joined as a party to the proceedings. The Labour Appeal Court's decision to uphold the appeal for want of joinder was correct. Given the transfer, reinstatement by the original employer was not reasonably practicable...

Citation
[2003] ZACC 14
Parties
Applicant: Western Cape Workers Association; Respondent: Halgang Properties CC
Court
Constitutional Court
Jurisdiction
South Africa
Judgment Date
14 November 2003
Case Number
CCT 44/03
Procedural Posture
Leave to Appeal / Application for Leave to Appeal to the Constitutional Court Following Dismissal of Appeal by Labour Appeal Court
Outcome
Application for leave to appeal dismissed. No order as to costs.
Judges
Chaskalson, Langa, Ackermann, Madala, Mokgoro, Moseneke, Ngcobo, O'Regan, Sachs, Yacoob
Legal Topics
Section 197 Transfer, Unfair Dismissal, Reinstatement, Joinder of Parties, Fair Labour Practices
Labour Law Constitutional Law Section 197 Transfer Unfair Dismissal Reinstatement Joinder of Parties Fair Labour Practices

Case Brief

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Parties

Western Cape Workers Association

Applicant

Halgang Properties CC

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal to the Constitutional Court Following Dismissal of Appeal by Labour Appeal Court

Legal Issues

  1. 1 Whether leave to appeal should be granted to challenge the Labour Appeal Court's refusal to reinstate workers after transfer of business.
  2. 2 Whether the failure to join the transferee employer (Wembley) precludes reinstatement.
  3. 3 Whether the dismissal of the workers by the original employer was unfair and whether any remedy is available post-transfer.

Ratio Decidendi

The Constitutional Court held that, following the transfer of the business as a going concern to Wembley Investments, it was no longer possible for Halgang Properties CC to reinstate the workers. Both the Labour Court and Labour Appeal Court correctly found that the business was transferred under section 197 of the Labour Relations Act. The applicant did not challenge this finding. The Court found that if reinstatement against Wembley was sought, Wembley should have been joined as a party to the proceedings. The Labour Appeal Court's decision to uphold the appeal for want of joinder was correct. Given the transfer, reinstatement by the original employer was not reasonably practicable...

Court Disposition

Application for leave to appeal dismissed. No order as to costs.

Orders

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