The Labour Courts, fairness and the rule of law

The Labour Courts, fairness and the rule of law

Authors Andre van Niekerk

ISSN: 2413-9874
Affiliations: Judge of the Labour Court
Source: Industrial Law Journal, Volume 36 Issue 4, 2015, p. 2451 – 2459

Abstract

Articles by Judges Wallis and Froneman respectively have generated a debate on the rule of law and its application to labour matters. Judge Wallis has argued that the Labour Relations Act, in its application, has fallen short of the rule of law goals to which it aspired, largely on account of uncertain and unpredictable outcomes. Judge Froneman argues for a substantive rather than a formal conception of the rule of law, one that more concretely seeks to address our historical deficit. This article suggests that both conceptually and in relation to the day-to-day operations of the Labour Courts, a formal conception of the rule of law has its limitations. While a more substantive approach to the rule of law might better serve to define the concept of fairness that underpins the Act and its dispute resolution structures (if only because it demands a more critical approach), it is less easily translated into pragmatic goals. A greater concern is the unravelling of the corporatist premise on which the LRA is based. The continued ability of the statutory dispute resolution structures (including the labour courts) to institutionalise industrial conflict and contain worker discontent is the true challenge facing labour law in South Africa.

Case Note: Setting the record straight on procedurally unfair large-scale retrenchments: Edcon v Steenkamp & others JS648/13 3 March 2015 (LAC)

Case Note: Setting the record straight on procedurally unfair large-scale retrenchments: Edcon v Steenkamp & others JS648/13 3 March 2015 (LAC)

Authors Tamara Cohen

ISSN: 2413-9874
Affiliations: Professor, School of Law, University of KwaZulu Natal
Source: Industrial Law Journal, Volume 36 Issue 3, 2015, p. 1781

Abstract

None

Retrenchments in order to increase profits: The legal and ethical duties of directors

Retrenchments in order to increase profits: The legal and ethical duties of directors

Authors Tobie Wiese

ISSN: 2413-9874
Affiliations: Former senior lecturer, Department of Commercial Law, University of Cape Town
Source: Industrial Law Journal, Volume 36 Issue 3, 2015, p. 1748 – 1765

Abstract

The Labour Relations Act and the decisions of the labour courts interpreting the provisions of the Act limit the managerial prerogatives of directors to retrench workers in order to increase profits by requiring that employers must consider alternatives to dismissals. In addition, the Companies Act requires that directors must act in good faith, for a proper purpose and in the best interests of the company. The best interests of the company include those of all its stakeholders, including the workers. It therefore requires of directors to balance the interests of all stakeholders when making the decision to retrench. The ethical duties of directors include compulsory compliance with legislation but taking into account the corporate social responsibility of the company. The corporate social responsibility of the company is towards all of its stakeholders, not only the shareholders. It is contended that both the legal and ethical duties of directors require that retrenchments in order to increase profits should be allowed only when the long-term sustainability of the company in the interest of all its stakeholders requires it, as opposed to the short-term interests of only the directors or shareholders.

Identifying sexual harassment in the workplace? Do not forget to remember the Code of Good Practice

Identifying sexual harassment in the workplace? Do not forget to remember the Code of Good Practice

Authors Anri Botes

ISSN: 2413-9874
Affiliations: Lecturer in Law, North West University
Source: Industrial Law Journal, Volume 36 Issue 3, 2015, p. 1719 – 1747

Abstract

Sexual harassment is strictly prohibited as a form of unfair sex discrimination in the workplace by the Employment Equity Act 55 of 1998 as amended by the Employment Equity Amendment Act 47 of 2013. To ensure proper adjudication of such cases, presiding officers should consider the Code of Good Practice on the Handling of Sexual Harassment Cases in the Workplace of 2005 in relevant matters. The code provides the key elements that need to be considered when determining whether certain conduct constitutes sexual harassment. Closer scrutiny of South African case law, however, shows that multiple presiding officers fail properly to take the code into account, causing inappropriate conclusions. By not applying the code to cases of alleged sexual harassment, the facts could be misconstrued, leaving the victim with no protection from sex discrimination and their right to privacy and dignity infringed.