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South Africa Case Law

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Labour Law [2014] ZALAC 22

City Power (Pty) Ltd v Grinpal Energy Management Services (Pty) Ltd and Others (JA55/2012)

City Power (Pty) Ltd v Grinpal Energy Management Services (Pty) Ltd and Others (JA55/2012) [2014] ZALAC 22; [2014] 10 BLLR 945 (LAC); (2014) 35 ILJ 2757 (LAC) (29 May 2014)

Court
Labour Appeal Court
Case number
JA55/2012
Judges
Tlaletsi, Davis, Ndlovu

The court found that the uncontested facts established that the assets and expertise required to operate the prepaid metering project were transferred from the first respondent to the appellant. The business of providing prepaid electrical services to Alexandra residents was handed over to the appellant, and the project continued under its control. The transfer included tangible and intangible assets and the necessary employees. Applying the principles set out by the Constitutional Court in Aviation Union, the court held that a transfer of business as a going concern had occurred, triggering…

Source excerpt

  • Section 197 Transfer
  • Outsourcing Agreements
  • Second Generation Transfer
  • Continuity Of Employment
  • Municipal Service Provision
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Labour Law [2009] ZALAC 12

Aviation Union of South Africa obo Barnes and Others v South African Airways (Pty) Ltd and Others (JA 51/07)

Aviation Union of South Africa obo Barnes and Others v South African Airways (Pty) Ltd and Others (JA 51/07) [2009] ZALAC 12; 2010 (4) SA 604 (LAC) ; [2010] 1 BLLR 14 (LAC); (2009) 30 ILJ 2849 (LAC) (9 October 2009)

Court
Labour Appeal Court
Case number
JA 51/07
Judges
Zondo JP, Davis JA, Leeuw JA

The Labour Appeal Court held that section 197 of the Labour Relations Act is capable of applying to second generation transfers, including situations where, upon termination of an outsourcing agreement, services are transferred back to the original employer or contracted out to another party. The Court rejected a narrow, literal interpretation of section 197(1)(b) that would limit its application only to transfers actively effected by the old employer. Instead, the Court adopted a purposive approach, emphasizing the statutory objectives of protecting employees against job losses and facilitat…

Source excerpt

  • Section 197 Transfer
  • Outsourcing
  • Second Generation Transfer
  • Automatic Substitution
  • Purposive Interpretation
  • Unfair Dismissal
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About this LexChat collection

South Africa decisions are organised by court, judge, legal area and indexed issue so a practitioner can move from a proposition to a citable authority with the surrounding context intact.

Source links and collection timestamps are retained alongside the indexed records.