Labour Law Blog

RETRENCHMENT/RETIREMENT TAX BENEFITS

Those facing retrenchment or retirement can look forward to better tax breaks from this year, with retrenchment or retirement tax-free payments increasing from R30, 000.00 in a lifetime to R315, 000.00, effective from the 2012 tax year. In other words, all retrenchment payments, plus retirement payments, plus lump sum payments from a pension or retirement fund on retirement or death are tax-free until the combined total of such payments reaches […]

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DERIVATIVE MISCONDUCT

An employee’s failure to disclose information that would assist the employer’s investigation amounted to derivative misconduct. In cases where derivative misconduct is alleged, an employer must show that the employee knew or could have acquired knowledge of the misconduct and that the employee unreasonably failed to disclose this knowledge to the employer. An employee’s reticence in disclosing helpful information may lead to the interference that the employee has something to […]

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Hostile or Adverse Witnesses

More on: Hostile or Adverse Witnesses A party to an arbitration hearing may experience a “hostile/adverse witness” dilemma. A hostile witness is a witness who acts towards the party for whom they are testifying, in a manner which is inconsistent with their earlier preparatory preparation. A hostile witness may also be a witness who is antagonistic towards the party for whom they are testifying. When faced with a hostile witness […]

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CCMA has been in Existence for 15 years

The Commission for Conciliation, Mediation and Arbitration (CCMA) marked 15 years of existence. The primary role is to settle labour disputes amicably which contribute toward labour peace. The CCMA has an admirable record that reflects the reality that the demand and need for CCMA services is increasing steadily. This is unlikely to change, given the latest dismal projections about economic growth and job creation prospects. CONTACT CAPE LABOUR. For more […]

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NON-RENEWAL OF FIXED-TERM CONTRACT

The notion of a reasonable expectation calls for an objective inquiry to determine whether the facts proved would lead a reasonable employee to expect renewal. Facts relevant to that inquiry include the terms of the contract, the past practice of renewals, the nature of the work, the reason for fixed-term, any assurance that the contract would be renewed and failure to give reasonable notice of non-renewal of the contract. The […]

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INCAPACITY AND POOR WORK PERFORMANCE

Applicant dismissed for failing to reach targets without being given reasonable opportunity to improve – dismissal unfair. A sales consultant was dismissed for consistently failing to reach his sales target. He claimed that the target was unreasonable, that he had not been given sufficient time to close sales and that the downturn in the economy had made selling the respondent’s products more difficult. The respondent maintained that the applicant had […]

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WHEN A SECOND ENQUIRY IS FAIR

Second Enquiries: The double jeopardy rule means that an employee cannot be subjected to a second disciplinary enquiry after he has been acquitted after the first enquiry. But this rule is not absolute – fairness may justify the employer’s holding a second enquiry and indeed then finding the employee guilty and dismissing the employee. But whether a second enquiry would be fair depends on the circumstances. For further information on […]

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Foreign Nationals without Valid Permits

Must be treated as employees, and are entitled to protection under the South African labour legislation. Whatever the reason for a suspension, employers remain liable to pay suspended employees. Suspension of foreigners without valid work permits fall within the scope of the CCMA’s unfair labour practise jurisdiction. CONTACT CAPE LABOUR. For more information on labour law advice or services. Please feel free to contact us at Cape Labour Consultants and […]

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Disciplinary Sanction Selection

Disciplinary Sanction Selection (or penalty) is a critical final step in disciplinary hearings when an employee has been found guilty. It is possible that an employer proves an employee’s guilt yet a subsequent dismissal is held to be unfair on grounds that the sanction of dismissal is too harsh. It is not uncommon for the CCMA, or a bargaining council, to hold that the punishment does not fit the crime. […]

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THE MEDDLING COMMISSIONER

CCMA commissioners and bargaining council arbitrators are expected to be impartial when hearing arbitrations. Parties have the right to be treated consistently and evenly, and if a commissioner treats one party differently, there may be justifiable grounds for concluding that the commissioners had forsaken his impartial role and climbed into the arena to support one of the parties. The Labour Relations Act empowers commissioners to take a much more interventionists, […]

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