Xaba and Others v I G Tooling & Light Engineering (Pty) Ltd and Others (JR 200/16) [2018] ZALCJHB 395; (2019) 40 ILJ 638 (LC) (28 November 2018)

Xaba and Others v I G Tooling & Light Engineering (Pty) Ltd and Others (JR 200/16) [2018] ZALCJHB 395; (2019) 40 ILJ 638 (LC) (28 November 2018)

The court held that the applicants' review application under section 158(1)(g) of the LRA was misconceived, as the settlement agreement was not an arbitration award or statutory decision but a contractual arrangement between the parties. There were no grounds for review, and the applicants had accepted payment under the agreement, invoking the doctrine of peremption and precluding them from challenging its validity. The claim under section 197 of the LRA failed due to lack of evidence of a transfer of business as a going concern; a mere change in shareholding does not trigger section 197. The application was found to be entirely without merit. Given the persistent pursuit of the...

Citation
[2018] ZALCJHB 395
Parties
Applicant: Sibusiso Xaba; Applicant: Vusumuzi Dlamini; Applicant: 144 Others; Respondent: I G Tooling & Light Engineering (Pty) Ltd; Respondent: NUMSA; Respondent: Solidarity; Respondent: Independent Representative Employee’s Forum; Respondent: M A Automotive Tool & Die (Pty) Ltd; Respondent: CCMA
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
28 November 2018
Case Number
JR 200/16
Procedural Posture
Review Application / Judgment
Outcome
Application dismissed with costs de bonis propriis against the applicants' attorneys.
Judges
Prinsloo
Legal Topics
Settlement Agreement Review, Section 158 Lra, Section 197 Lra, Costs De Bonis Propriis, Retrenchment, Transfer of Business
Labour Law Civil Procedure Settlement Agreement Review Section 158 Lra Section 197 Lra Costs De Bonis Propriis Retrenchment Transfer of Business

Case Brief

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Parties

Sibusiso Xaba

Applicant

Vusumuzi Dlamini

Applicant

144 Others

Applicant

I G Tooling & Light Engineering (Pty) Ltd

Respondent

NUMSA

Respondent

Solidarity

Respondent

Independent Representative Employee’s Forum

Respondent

M A Automotive Tool & Die (Pty) Ltd

Respondent

CCMA

Respondent

Procedural Posture

Review Application / Judgment

Legal Issues

  1. 1 Whether a retrenchment settlement agreement not made an arbitration award can be reviewed under section 158(1)(g) of the LRA.
  2. 2 Whether the applicants are entitled to have the settlement agreement declared void ab initio.
  3. 3 Whether section 197 of the LRA applies to transfer employment to the Fifth Respondent.

Ratio Decidendi

The court held that the applicants' review application under section 158(1)(g) of the LRA was misconceived, as the settlement agreement was not an arbitration award or statutory decision but a contractual arrangement between the parties. There were no grounds for review, and the applicants had accepted payment under the agreement, invoking the doctrine of peremption and precluding them from challenging its validity. The claim under section 197 of the LRA failed due to lack of evidence of a transfer of business as a going concern; a mere change in shareholding does not trigger section 197. The application was found to be entirely without merit. Given the persistent pursuit of the...

Court Disposition

Application dismissed with costs de bonis propriis against the applicants' attorneys.

Orders

  • The application is dismissed.
  • Ehlers Fakude Inc Attorneys are ordered to pay the First and Fifth Respondents' costs de bonis propriis.