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Article 13/2022

What are the stages identified when a restructuring exercise has been undertaken in the scenario where employees compete for new positions in such restructured organisation?

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In Pratten v Afrisun KZN (Pty) Ltd (2020) 31 SALLR 159 (LC), the labour court identified the following stages:

stages 1 and 2

  • during these stages, compliance with minimum criteria (e.g. minimum qualifications, applicable minimum experience, etc) are to be established
  • only those employees who comply with such minimum criteria are to be assessed in the assessment process where behavioural competencies are to be determined
  • those employees who do not comply with the said minimum criteria, do not participate in the subsequent stages and fall out of the process, subject to the employer attempting to find alternative employment

stage 3

  • only those employees who comply with the aforesaid minimum criteria are to proceed to stage 3, which stage entails, in essence, the assessment of behavioural competencies of such employees, in a ranking system (by means of psychometric testing)

stage 4

  • the results of stage 3 will determine whether or not employees are placed
  • should an employee fall out on the basis of such results, the employer will attempt to find alternative employment for the employee
  • however, successful candidates will only be placed if they accept the terms and conditions attached to the new restructured positions – if they do not accept such terms and conditions, they fall out of the process, subject to the employer attempting to find alternative employment
July 20, 2026

Precautionary suspensions

In the public sector, the Senior Management Service Handbook (SMS Handbook) directly addresses precautionary suspensions and the 60-day time limit.

Clause 2.7(2)(c) of the SMS Handbook provides that ‘If a member is suspended or transferred as a precautionary measure, the employer must hold a disciplinary hearing within 60 days. The chair of the hearing must then decide on any further postponement.’

Regulation 6 of the Local Government: Disciplinary Regulations Senior Managers, 2010 (Regulations) provides for the precautionary suspension of senior municipal employees and Regulation 6(6)(a) provides: ‘If a senior is suspended, a disciplinary hearing must commence within three months after the date of suspension, failing which the suspension will automatically lapse.’

What are the principles governing a determination of the question as to whether or not a senior municipal employee’s suspension automatically lapses in terms of the aforesaid Regulation 6(6)(a)?

Obviously, the answers to the aforesaid question are very relevant in the private sector where, firstly, a collective agreement regulates a similar process or, alternatively, such contractual rights have been created between the parties, to be enforced in terms of s77(3) of the BCEA.

July 13, 2026

In the previous article, we dealt with the consequences of a plant level collective agreement with a definite beginning and end date. We indicated to you that, in line with s23(2) of the LRA, and an analysis of the relevant case law, that, once such a collective agreement reaches its expiry date, it expires and is no longer of any force or effect. In this article, we deal with the scenario where a plant level collective agreement is concluded for an indefinite period and the employer gave notice to terminate same.

What are the consequences when a party to a plant level collective agreement, concluded for an indefinite time period, gives notice to terminate such collective agreement?

July 6, 2026

In terms of s23(2), a collective agreement binds, for the whole period of the collective agreement, every person so bound in terms of s23(1)(c) (the members of a registered trade union and the employers who are members of a registered employers’ organisation who are a party to the collective agreement, if the collective agreement regulates the terms and conditions of employment, or the conduct of the employers and employees) who was a member at the time it became binding, or who becomes a member after it became binding (irrespective of whether or not that person continues to be a member of such trade union or employers’ organisation for the duration of the collective agreement).

What is the relevant case law development as to a plant level collective agreement that has an expiry date, i e does such collective agreement continue to be of force and effect after such expiry date?