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Labour Law [2022] ZALCJHB 256

AFMS Group v South African Airways (SOC) Ltd and Others (J 998 / 2022)

AFMS Group v South African Airways (SOC) Ltd and Others (J 998 / 2022) [2022] ZALCJHB 256 (7 September 2022)

Court
Labour Court Johannesburg
Case number
J 998 / 2022
Judge
S Snyman

The court found that the termination of the HVAC and EM service agreements between AFMS and SAA constitutes a transfer of a business as a going concern under section 197 of the Labour Relations Act. The historical context demonstrated that the same services and employees had been transferred between service providers over two decades, always subject to section 197. The contractual provisions, especially clause 20.3, explicitly contemplated the application of section 197 upon termination. The employees dedicated to the service agreements were considered assets of the business and were required…

Source excerpt

  • Section 197 Transfer
  • Outsourcing
  • Declaratory Relief
  • Business As Going Concern
  • Employee Transfer
  • Service Agreement Termination
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Labour Law [2015] ZALCJHB 256

Field Force Marketing v Distell Limited and Others (J1089/2015)

Field Force Marketing v Distell Limited and Others (J1089/2015) [2015] ZALCJHB 256 (17 July 2015)

Court
Labour Court Johannesburg
Case number
J1089/2015
Judge
Ralehoko AJ

The court found that the termination of the service agreement between FFM and Distell and the subsequent award of the contract to Imperial did not constitute a transfer of a business as a going concern under section 197 of the LRA. The facts established that nothing was transferred from FFM to Imperial—no assets, employees, or infrastructure. Imperial commenced rendering services parallel to FFM with its own business, workforce, and resources, and did not require anything from FFM. FFM retained its business and could offer its services to other customers. The mere change in service provider,…

Source excerpt

  • Section 197 Transfer
  • Outsourcing
  • Automatic Transfer Of Employment
  • Service Agreement Termination
  • Urgency
  • Contractual Rights
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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.