Skip to main content

Article 19/2021

Labour Edge

The scenario is as follows: an employer and employee conclude a retention bonus agreement.  The employer is in non-compliance with certain material aspects of such agreement.  The employee has not accepted such breaches.  Until when is the employer entitled to retract its position?


Traditionally it is said that repudiation is only ‘completed’ or rendered ‘absolute’ or ‘definite’ by its acceptance by the innocent party. Until there has been such acceptance the repudiation may be nullified or undone by the unilateral act of the innocent party (rejection of the repudiation) or the repudiator him-or herself (retraction of the repudiation). A repudiation is also said to lapse if it is not acted upon by the innocent party within a reasonable time.

 

The previous article dealt with the distinction between misconduct constituting desertion and misconduct constituting abscondment – see, further, in this regard, Okhahlamba Local Municipality v Mabuya (2021) 32 SALLR 12 (LC).

In this article, what we attempt to do is provide some clarity as to a very different misconduct, namely, the misconduct of deeming desertion.

What is the difference between desertion and abscondment?

We think that everyone understands that an employer is vicariously liable for the wrong committed (an act or omission) by its employee during the course/scope/sphere of employment/engagement in any activity reasonably incidental to it.

But, what is the extent of an employer’s vicarious liability where the employee commits a wrong on his or her own volition?