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Article 37/2022

What are the principles governing compensation when a dismissal is only procedurally unfair?

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In Zeda Car Leasing (Pty) Ltd t/a Avis Fleet v Van Dyk (2020) 31 SALLR 151 (LAC), the following principles were identified:

  • compensation is the appropriate remedy in terms of s193(2)(d) of the LRA
  • such compensation must be just and equitable in all circumstances (s194(1) of the LRA)

In Johnson & Johnson v CWIU (1999) 20 ILJ 89 (LAC), the following was stated in this regard:

  • actual loss or patrimonial (pecuniary) loss is irrelevant
  • the award is actually for a solatium as redress
  • various factors are to be taken into account to determine the extent of the award:
  • the extent of the deviation from a fair procedure
  • the employee’s conduct
  • the employee’s length of service
  • anxiety and hurt that the employee suffered

(See, further, Alpha Plant v Simmonds [2001] 3 BLLR 361 (LAC); Lorentzen v Sanachem (Pty) Ltd [1998] 8 BLLR 814 (LC))

The appeal court can only interfere with an irregularity misdirection in respect of the awarding of compensation if:

  • the court a quo ignored relevant factors or
  • the decision was based on inadequate facts

Road Accident Fund v Guedes 2006 (5) SA 583 (SCA)

Section 41(2) of the BCEA regulates the entitlement of an employee, dismissed for reasons based on the employer’s operational requirements, to severance pay.

In terms of s41(4) of the BCEA, an employee, who unreasonably refused to accept the employer’s offer of alternative employment with that employer or any other employer, is not entitled to severance pay ito s41(2).

How does the assistance provided by the retrenching employer to a retrenched employee affect such employee’s entitlement to severance pay?

What is the short test to be applied to determine whether there is compliance with the reasonable decision-maker test?

When determining whether or not the arbitrator of the CCMA or bargaining council behaved like a reasonable decision-maker, what are the ‘questions to be asked’?

What is the test recently applied to determine whether an arbitration award should be set aside on review?

In the scenario where a group of employees, participating in a demonstration, picket, strike, etc, are participating in unlawful conduct, but a number of other employees, who are also participating in such demonstration, picket, strike, etc, are not participating in such unlawful conduct, will the employer be entitled to obtain an interdict against both groups of such employees?