South Africa Case Law

Ngobeni v Bidvest Protea Coin (JS439/22)

Ngobeni v Bidvest Protea Coin (JS439/22) [2025] ZALCJHB 203 (27 March 2025)

Court

Labour Court Johannesburg

Case number

JS439/22

Judge

Daniels

The court found that the automatic termination clause in the applicant's employment contract was designed to limit the applicant's right to challenge the fairness of his termination and to avoid the operational requirements consultation process mandated by the Labour Relations Act. The clause allowed a third party, not privy to the employment relationship, to trigger termination, which is not a true fixed term event but an operational risk. The respondent failed to discharge the burden of proving that the clause did not impermissibly limit the right against unfair dismissal. Consequently, the…

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• Automatic Termination Clause
• Unfair Dismissal
• Fixed Term Contract
• Jurisdiction
• Section 187 Lra

November v Kele Mining Solutions and Others (JR217/23)

November v Kele Mining Solutions and Others (JR217/23) [2024] ZALCJHB 281 (31 July 2024)

Court

Labour Court Johannesburg

Case number

JR 217/23

Judge

Fourie, AJ

The Labour Court found that the CCMA commissioner committed a gross irregularity by refusing to allow the parties to present oral evidence and determining the existence of a dismissal solely on the papers, absent a stated case or agreed facts. The automatic termination clause in the applicant's contract could not, without more, lawfully deprive the applicant of the right to challenge the fairness of the termination. The court held that a multi-faceted inquiry is required to determine whether a dismissal occurred, considering the wording of the contract, the nature of the trigger event, and wh…

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• Automatic Termination Clause
• Unfair Dismissal
• Fixed Term Contract
• Jurisdictional Ruling
• Condonation
• Arbitration Review

Fidelity Security (Pty) Ltd v Skhosana and Others (JR 1425/2020)

Fidelity Security (Pty) Ltd v Skhosana and Others (JR 1425/2020) [2023] ZALCJHB 268 (2 March 2023)

Court

Labour Court Johannesburg

Case number

JR 1425/2020

Judge

M Baloyi

The Labour Court upheld a finding that removing a security officer from site constituted a dismissal and that the employer’s review application failed.

• Automatic Termination Clause
• Unfair Dismissal
• Jurisdiction Of Ccma
• Procedural Fairness
• Substantive Fairness
• Automatic-termination-clause

Dube and Others v University of Zululand and Others (D956/17)

Dube and Others v University of Zululand and Others (D956/17) [2018] ZALCD 22; [2019] 3 BLLR 285 (LC) (8 November 2018)

Court

Labour Court Durban

Case number

D956/17

Judge

Nkutha-Nkontwana

The court held that the applicants failed to establish a reasonable expectation that their fixed term contracts would be renewed. The University’s operational requirements, specifically the reduction in demand for dining hall services due to changes in the NASFAS funding model, justified its decision not to renew the contracts. The automatic termination clause in the employment contracts was clear and valid, and the commissioner’s reliance on documentary evidence regarding operational losses was proper. The review test is one of correctness, and the commissioner’s finding that no dismissal oc…

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• Fixed Term Contracts
• Reasonable Expectation
• Automatic Termination Clause
• Unfair Dismissal
• Section 186 1 B
• Review Of Arbitration Award

Morapedi and Others v Enforce Security Services (JS370/15)

Morapedi and Others v Enforce Security Services (JS370/15) [2018] ZALCJHB 180 (11 May 2018)

Court

Labour Court Johannesburg

Case number

JS370/15

Judge

GN Moshoana

The court found that the respondent's dismissal of the applicants was substantively fair, as the uncontested evidence showed that the respondent lost its client contract and had no alternative work for the applicants. However, the respondent failed to comply with the procedural requirements of section 189 of the Labour Relations Act, as no consultation or fair process was followed prior to dismissal. The applicants were not dismissed for incapacity or misconduct, but for operational requirements, making procedural compliance mandatory. The applicants suffered no financial loss, as they obtain…

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• Unfair Dismissal
• Operational Requirements
• Procedural Fairness
• Compensation
• Automatic Termination Clause

Nogcantsi v Mnquma Local Municipality and Others (PA07/15)

Nogcantsi v Mnquma Local Municipality and Others (PA07/15) [2016] ZALAC 54; (2017) 38 ILJ 595 (LAC); [2017] 4 BLLR 358 (LAC) (22 November 2016)

Court

Labour Appeal Court

Case number

PA07/15

Judges

Coppin, Landman, Phatshoane

The court held that the appellant's employment was terminated by operation of the automatic termination clause in his contract, which was triggered by an objectively negative vetting outcome provided by the SAPS. This termination was not the result of any deliberate act or decision by the employer aimed at ending the employment relationship, but rather the fulfilment of a contractual condition to which the appellant had freely agreed. The clause did not deprive the appellant of rights under the LRA, nor did it constitute an impermissible attempt to contract out of statutory protections agains…

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• Automatic Termination Clause
• Dismissal Definition
• Vetting And Screening
• Section 192 Lra
• Contractual Conditions
• Unfair Dismissal

Pecton Outsourcing Solutions CC v Pillemer NO and Others (D1256/13)

Pecton Outsourcing Solutions CC v Pillemer NO and Others (D1256/13) [2015] ZALCD 66; [2016] 2 BLLR 186 (LC); (2016) 37 ILJ 693 (LC) (12 November 2015)

Court

Labour Court Durban

Case number

D1256/13

Judge

Whitcher

The court found that the automatic termination clause in the respondents' fixed-term contracts was unenforceable as it impermissibly contracted out of their rights under the LRA, specifically the right not to be unfairly dismissed. The termination of employment was for operational requirements, triggered by the loss of the applicant's sole client, Unilever. This reason is typically associated with dismissal, and the clause deprived employees of statutory protections such as severance pay and procedural fairness. The CCMA lacked jurisdiction to determine the fairness of mass dismissals for ope…

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• Automatic Termination Clause
• Unfair Dismissal
• Operational Requirements
• Ccma Jurisdiction
• Section 5 Lra
• Fixed Term Contracts

National Union of Metalworkers of South Africa and Others v Abancedisi Labour Services (857/12)

National Union of Metalworkers of South Africa and Others v Abancedisi Labour Services (857/12) [2013] ZASCA 143; (2013) 34 ILJ 3075 (SCA); [2014] 2 All SA 43 (SCA); [2013] 12 BLLR 1185 (SCA) (30 September 2013)

Court

Supreme Court of Appeal

Case number

857/12

Judges

Maya, Malan, Shongwe, Pillay, Saldulker

The Supreme Court of Appeal found that the employment contract between Abancedisi and the employees was specific to the Kitsanker assignment and contained no guarantee of further work. When Kitsanker excluded the employees and replaced them, Abancedisi failed to reassign them or pay wages, effectively repudiating and breaching the employment contract. The court held that the employment relationship ended when Kitsanker no longer required the employees’ services, and Abancedisi’s conduct amounted to dismissal. The referral to the bargaining council was not premature, as it was made within the…

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• Temporary Employment Service
• Unfair Dismissal
• Compensation For Unfair Dismissal
• Automatic Termination Clause
• Repudiation Of Employment Contract