National Education Health and Allied Workers Union v Medicor (Pty) Limited t/a Vergelegen (C828/01) [2002] ZALC 15; [2002] 5 BLLR 458 (LC) (26 February 2002)

55 Reportability

Brief Summary

Labour Law — Unfair dismissal — Jurisdiction — NEHAWU referring dispute of unfair dismissal to Labour Court — Medicor contending referral was premature as dismissal date was 31 May 2001 — Court finding dismissal date was 26 April 2001, making referral valid — Points in limine regarding premature referral and internal remedies dismissed with costs.

IN THE LABOUR COURT OF SOUTH AFRICA
(HELD AT CAPE TOWN)
CASE   NO:  
C828/01
14­2­2002
In the matter between:
NATIONAL EDUCATION HEALTH AND ALLIED Applicant
WORKERS UNION
and
MEDICOR (PTY) LIMITED t/a VERGELEGEN Respondent
MEDI CLINIC
_______________________________________________________
JUDGMENT
______________________________________________________
LANDMAN J:   
1. The   National   Education   Health   and   Allied   Workers   Union  
("NEHAWU")   and   Medicor   (Pty)   Ltd   t/a   Vergelegen   Medi   Clinic

accumulated some four disputes connected with the outsourcing of  
the laundry division at the clinic.   Eventually the parties decided to  
consolidate the disputes and to refer the consolidated dispute to the  
Labour Court.  This decision was taken during a conciliation meeting  
at the Commission for Conciliation,  Mediation  and Arbitration  ("the  
CCMA").
2. The   parties   agreed   that   the   director   of   the   CCMA   would   be  
requested to refer the consolidated dispute to this Court.   I need not  
deal with the validity or desirability of this strategy for NEHAWU has  
abandoned   three   of   the   disputes.       NEHAWU   referred   the   fourth  
dispute, the principal dispute, being the alleged unfair dismissal on  
31   May   2001   of   its   individual   members   who   were   employed   by  
Medicor. This Court of course, has jurisdiction to entertain disputes  
relating to the alleged unfair dismissal of employees for operational  
reasons.  It is, however, Medicor's contention that the referral of the  
dispute to this Court was premature.
3. Medicor's principal submissions are the following.   The contracts of  
employment of NEHAWU's members terminated on 31 May and the  
members left the services of Medicor on 31 May 2001.  The date of

dismissal as defined in section 191 of the Labour Relations Act 66 of  
1995 was 31 May 2001. NEHAWU referred this dispute to the CCMA  
on 15 May 2001, this is common cause.  It is submitted that this was  
premature and that the referral to conciliation was therefore invalid.  
As a consequence a jurisdictional fact for this Court to entertain the  
present   application   is   lacking   and   the   application   should   be  
dismissed.
4. Mr   Whyte,   who   appears   for   NEHAWU,   submits   that   the   date   of  
dismissal in terms of section 190(1) of the LRA was about 26 April  
2001.   He   submitted   that   NEHAWU's   members'   services   were  
terminated on 26 April. They received one month's notice which was  
to end on 31 May 2001. In terms of the retrenchment agreement they  
were not required to work this period of notice.  Mr Whyte points out  
that the members had been suspended on 30 March 2001 and had  
not   worked   since   their   first   dismissal   which   took   place   in   August  
2000.   It is submitted that Medicor's reliance on 31 May as the date  
of termination confuses termination of contracts with the termination  
of the services of NEHAWU's members.  It is pointed out that these  
members performed no service after August 2000 and certainly none

after 26 April 2001.
5. Mr Whyte relies on section 190(1) of the LRA which provides that the  
date of dismissal is the earlier of:
(a) the date on which the contract of employment terminated; or
(b) the date on which the employee left the services of the employer.
Mr White is entirely correct in saying it is not entirely clear what the  
legislature   meant   by   the   expression   "left   the   services   of   the  
employer".     It   is   also   submitted   that   on   a   literal   interpretation   of  
section 190(1) the Court should find that the individual members left  
the services of Medicor on the date that they were advised of their  
dismissal, that is 26 April 2001.  He submitted that this is the date on  
which their services were terminated in terms of the common law.
6. Section   190(1)   of   the   LRA   contemplates,   most   peculiarly,   that   the  
date of dismissal could pre­date the date on which the contract of  
service   terminates.       Although   there   may   be   unfortunate  
circumstances and various anomalous situations which could arise,  
on the plain meaning of section 190(1) the date of dismissal of the  
individual applicants in this case was either 26 April 2001 or 15 May

2001.       On   NEHAWU's   version   it   is   possible   that   the   date   of  
dismissal   could   even   have   been   earlier.   However   NEHAWU   are  
prepared to accept 26 April 2001 as the date of dismissal.
7. In most cases the leaving of their service is an incomplete act and  
does not constitute the deemed date of dismissal until the contract of  
employment   is   terminated.       I   leave   aside   of   course   the   situation  
relating   to   employees   as   defined   in   the   LRA   who   do   not   provide  
services in terms of a contract. It follows, in my view, that the referral  
to conciliation which took place on 15 May 2001 was a valid referral  
and  it constitutes  the  jurisdictional fact which entitles  this  Court to  
entertain the present application which is based on the alleged unfair  
dismissal of the individual members for operational requirements.
8. It follows that the point  in limine  relating to the premature referral of  
the dispute falls to be dismissed.
9. This brings me to the next point  in limine , namely that NEHAWU has  
not exhausted its internal remedies before referring the dispute for  
conciliation.       It   is   Medicor's   contention   that   the   union   withdrew  
prematurely from the consultation process.   This may be so, but it

does   not   bar   the   institution   of   this   application.     It   may   damage  
NEHAWU's case but that is a risk which the union runs, assuming of  
course   that   consultation   was   still   ongoing.     I   am   not   required   to  
express any opinion on this and I do not do so.  This point  in limine  
must also fail.
11. Finally something was made of the union's alleged failure to draft the  
statement of case in accordance with Rule 6(1) of the Rules of Court.  
Other than a complaint that Medicor had to search for the essence of  
the union's case, Medicor does not set out the instances in which the  
statement of case fails to comply with the rule.   In the absence of a  
specific complaint and taking into account that Medicor was able to  
plead over, it would be inappropriate for me to rule against the union  
on this issue.
10. In   the   circumstances   the   points   in   limine   referred   to   above   are  
dismissed with costs.

Signed   and   dated   at   BRAAMFONTEIN   this   26 th  day   of   February  
2002.
_______________
AA Landman
Judge of the Labour Court of South Africa