Skip to main content

Article 46/2025

If the cause of action is an alleged breach of an agreement, s77(3), read with s77A(e), of the BCEA is applicable, establishing the concurrent jurisdiction of the labour court and high court to determine the dispute (we have dealt with this scenario in previous articles).

On the other hand, if the cause of action is the alleged non-compliance with the required statutory unfairness so contained in the LRA, then the jurisdiction of the CCMA (and bargaining councils) and the labour court is established in terms of s191 of the LRA (previous articles also dealt with this issue).

But what about if the cause of action is based on a collective agreement?

_____________________________________

It is important to realise that s24 of the LRA is not applicable under all circumstances.

The SCA, in MEC for Economic Development, Environment and Tourism, Limpopo v Leboho (2022) 33 SALLR 281 (SCA); (2022) 43 ILJ 2695 (SCA), adopted the following approach:

  • if the cause of action concerns the interpretation of the collective agreement or, alternatively, entails an application issue of such collective agreement, then s24 of the LRA is applicable See, further, Tshambi v Hospersa (2016) 37 ILJ 1839 (LAC)
  • If, however, on the other hand, the cause of action centres around the enforcement of the collective agreement, or boils down to a compliance issue of the collective agreement, then the civil jurisdiction of the high court comes into play.

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.

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?

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?