South African Fibre Yarn Rugs Limited v Commission for Conciliation Mediation and Arbitration and Others (D577/2003) [2005] ZALC 66; (2005) 26 ILJ 921 (LC); [2005] 6 BLLR 608 (LC) (20 April 2005)

55 Reportability

Brief Summary

Labour Law — Review of arbitration award — Section 145 of the Labour Relations Act — Applicant seeking review of CCMA award finding dismissal of employee substantively unfair — Employee absenting himself without permission during shift — Commissioner awarding reinstatement and compensation — Court finding commissioner failed to properly consider evidence regarding seriousness of misconduct and appropriateness of sanction — Award set aside and matter remitted for fresh consideration.

IN THE LABOUR COURT OF SOUTH AFRICA
HELD AT DURBAN
CASE NO:  D577/2003
In the matter between:
SOUTH AFRICAN FIBRE YARN RUGS LIMITED           Applicant
and
COMMISSION FOR CONCILIATION, MEDIATION 
AND ARBITRATION    First Respondent
COMMISSIONER M M GOVENDER    Second Respondent
PHILEMON JABULANI SHEZI    Third Respondent
JUDGMENT 
MURPHY, AJ
1. The Applicant has made application in terms of section 145 of the Labour  
Relations Act to review the arbitration award handed down by the second  
respondent   (“the   commissioner”)   acting   under   the   auspices   of   the   first  
respondent (“the CCMA”) in terms of which the commissioner found that  
the dismissal of the third respondent (“the employee”) was substantively  
unfair. The Commissioner awarded compensation to the employee in the  
amount   of   R7000.00   (seven   thousand   rand)   and   re­instated   him   in   his  
employment with the applicant.  The relevant factual background is largely  
common cause, the only issue being the conclusions which follow and the  
appropriate relief to be granted.

2. The  employee  was  employed   by   the  applicant   in  the   position   of  a  shift  
manager with responsibility for the supervision of all production at the plant  
during the course of a shift, including the supervision and maintenance of  
safety for the entire plant during a shift. Normally, he would be the most  
senior person on site for the duration of a particular shift. 
3. Routinely the shift manager has responsibility for the “hand over process”  
immediately prior to the termination of a shift. This involved meeting the  
incoming   shift   managers   to   discuss   production   issues,   machinery  
performance and any general information that the outgoing shift manager  
found   necessary   to   pass   onto   the   incoming   shift   manager.   Production  
sheets and other necessary information must be handed over to ensure  
the efficient continuation of production. 
4. At   approximately   03H00   on   the   morning   of   30   June   2003   and   without  
obtaining   permission   or   advising   any   of   the   applicant’s   supervisors,   the  
third   respondent   absented   himself   from   the   workplace.   On   that   day   his  
shift cycle terminated at 07H00. However, production had ceased at 00h30  
and   the   machines   had   been   switched   off.   Although   it   was   possible   to  
contact   the  manager   of   his  department,   Mr.   Issoor,   to   make   alternative  
arrangements for the supervision of staff and the safety of the plant in his  
absence,   and   despite   senior   operators   being   available,   the   employee  
failed to hand over his responsibilities and simply absented himself without  
advising anyone. Consequently, after he left there was no one at the plant  
to take over his responsibilities and the employee was aware of this fact. 
5. Management   became   aware   of   the   employee’s   conduct   almost  
immediately   at   the   commencement   of   the   next   shift.   It   accordingly

immediately   at   the   commencement   of   the   next   shift.   It   accordingly  
convened   a   disciplinary   enquiry,   which   ultimately   led   to   the   employee’s  
dismissal. At the disciplinary enquiry, the employee justified his absence  
on the grounds that he had experienced problems with his motorcar that  
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was not roadworthy and was afraid to drive it home in daylight in case he  
was apprehended by the police.
6. The   employee   referred   his   dismissal   to   the   CCMA   for   conciliation   and  
arbitration.   During   the   arbitration   proceedings   on   12   August   2003,   his  
explanation   for   his   absence   changed   somewhat.   On   this   occasion   he  
presented   the   justification   that   he   had   received   a   call   from   his   wife   at  
approximately 03H20 advising him of the fact that his child was sick and  
needed to dash home to attend to his child. 
7. It is of particular importance to note that at both the disciplinary enquiry  
and the arbitration the employee admitted his guilt to the charge of leaving  
his workplace before time without permission. Accordingly I agree with Mr.  
Buthelezi,   who   appeared   on   behalf   of   the   employee   at   the   review  
proceedings, that since the employee had pleaded guilty to the charge in  
question, albeit with an explanation, the real issue for determination by the  
commissioner   was   whether   the   sanction   of   dismissal   was   fair   in   the  
circumstances.
8. The commissioner made the following findings in his award. Regarding the  
employee’s   explanations   for   his   desertion,   he   felt   these   were   not  
convincing, especially in the light of the two different explanations offered  
at different times. He found reasonably that it was difficult to understand  
why   the   employee   would   not   have   explained   the   matter   of   his   child’s  
illness to management in the first instance if that information were true.  
Hence,   he   concluded   that   it   was   more   likely   that   the   employee   had  
manufactured   the   second   reason   when   he   realized   that   he   needed   to  
produce a better reason for leaving than the one he had provided at the  
disciplinary enquiry. If indeed his child had been unwell, he could simply

disciplinary enquiry. If indeed his child had been unwell, he could simply  
have contacted Issoor who would then have delegated his responsibilities  
to another employee. 
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9. At both the disciplinary hearing and at the arbitration the applicant made  
much of the fact that the nature of its production processes were such that  
the   potential   for   fire   represents   a   real   threat,   by   virtue   of   the   fact   that  
certain material used in the manufacturing process is a natural fibre which  
is   flammable   and   capable   of   ignition   by   mere   friction   or   spark.   The  
composition   of   the   natural   fibre   is   such   that   it   is   not   necessary   for   the  
production machinery to be functional in order to create a hazard in that  
fluff arising from the process is around the machines at all times and an  
electrical spark generated from the positive power supply could ignite the  
product. The applicant was particularly concerned about fire by reason of  
the fact that it had recently suffered an incidence of fire. In the light of this  
submission   by   the   applicant,   the   commissioner   accepted   that   the  
employee’s misconduct as a senior employee was serious. 
10. The   commissioner,   however,   contradicted   himself   on   the   extent   of   the  
danger   created   by   the   employee’s   actions.   Firstly   he   found   that   the  
employee’s   suggestion   that   the   risk   of   danger   was   mitigated   or   even  
eliminated because the machines were off was not very convincing. He  
accepted the respondent’s evidence that the fluff of the jute was capable  
of   igniting   even   when   the   machines   were   off,   but   more   importantly  
because   an   unsupervised   employee   could   also   have   restarted   the  
machines. Later in the award he contradicts this by finding that the danger  
created by the employer’s absence “was minimal at best”. During the shift  
in   question   there   had   been   only   one   machine   in   operation   at   the  
commencement   of   the   shift   due   to   the   lack   of   orders.   As   stated,   the

commencement   of   the   shift   due   to   the   lack   of   orders.   As   stated,   the  
machine   was   switched   at   about   00H30   and   the   production   area   was  
thereafter cleaned up. In other words there was no production after that  
time for the remainder of the shift.
11.   Despite having received in evidence some indication that the employee  
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had on two prior occasions absented himself without leave, without a full  
discussion   of   the   justifiability   or   otherwise   of   such   absences,   the  
commissioner   found   that   the   misconduct   of   the   employee   was   a   first  
offence   and   by   virtue   of   that   fact   concluded   that   dismissal   was   not   an  
appropriate   sanction.   He   accordingly   re­instated   the   employee   and  
ordered the payment of back pay in the amount of R7000. 
12. As I have already mentioned, since the employee had pleaded guilty to the  
charge of unjustifiable absence, the real issue that the commissioner was  
required to decide was whether the sanction of dismissal was fair in the  
circumstances. In order to decide that issue it was necessary for him to  
invite and hear evidence on the issues relevant to that determination. In  
particular   he   needed   to   consider:   the   personal   circumstance   of   the  
employee;   his   length   of   service;   the   seriousness   of   the   alleged  
misconduct, in particular the exact nature and extent of the risks to which  
the applicant was allegedly exposed as a result of the employee’s conduct;  
whether the employee had received any particular instruction, training or  
guidance regarding the necessity of securing the workplace from specified  
risks at the workplace; whether the employee had any previous record of  
misconduct,   the   exact   nature   of   that   misconduct   and   the   disciplinary  
sanction   applied   in  respect   of   it;   and   any   other   evidence,   including   the  
disciplinary code and the sanctions stipulated in it. All these factors were  
relevant for the determination of the fairness or otherwise of the sanction  
imposed in the circumstances.
13. It is clear from both the record and the award that the commissioner failed  
to   apply   himself   to   these   issues   with   the   requisite   degree   of  
professionalism and care.

professionalism and care. 
14. Moreover   from   the   record   shows   that   the   commissioner   committed   an  
irregularity   by   depriving   the   parties   an   opportunity   to   submit   closing  
arguments on the question of sanction, despite a request to be allowed to  
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do so. On this ground alone his award cannot stand.
15. Mr. Erasmus, who appeared on behalf of the applicant, made other valid  
submissions   in   support   of   the   applicant’s   claim   that   the   award   is   not  
justifiable. However, seeing that Mr. Buthelezi is also of the view that the  
award deserves to be set side by virtue of the failure of the commissioner  
to properly address himself to the question of sanction, it is unnecessary to  
canvass them. In the result the only issue is whether I should remit the  
matter back to the CCMA for fresh consideration or substitute my decision  
for that of the commissioner.
16. There   is   no   evidence   at   all   on   record   with   regard   to   the   personal  
circumstances of the employee or his length of service. Nor is there any  
evidence about his level of training or awareness of the safety issues at  
hand,   although   in   this   latter   regard   one   could   safely   assume   a   certain  
degree of knowledge. Conceding this, Mr. Erasmus prevailed upon me to  
have regard simply to the seriousness of the misconduct and in the light of  
that to rank it more importantly than the other factors that normally would  
come into play. Put in another way, he submitted that irrespective of the  
lack   of   evidence   concerning   the   employee’s   length   of   service   and   his  
personal   circumstances,   the   gravity   of   the   offence,   in   the   light   of   his  
previous   misconduct,   outweighs   all   other   considerations,   which   in   any  
event would have been of little or no relevance or significance had there  
been evidence regarding them. 
17.  I am inclined to agree rather with Mr. Buthelezi. He correctly, in my view,  
submitted that there is also insufficient evidence as to the seriousness of  
the   alleged   offence   and   few   details   of   the   previous   incidence   of   fire:  
whether it was small or big or how frequently fires occur at the applicant’s

whether it was small or big or how frequently fires occur at the applicant’s  
premises. I also do not know whether the fire in question occurred during  
production. 
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18. Moreover,   the   applicant’s   suggestion   that   the   employee   has   evinced   a  
tendency   towards   dishonesty   (adding   to   the   seriousness   of   the   alleged  
misconduct)   is   also   not   borne   out   by   the   evidence.   The   two   versions  
advanced   in   justification   of   his   actions   are   not   mutually   destructive  
versions, of themselves necessarily justifying an inference of dishonesty.  
Neither   explanation   is   clearly   elaborated   on   the   record,   both   being  
mentioned almost in passing. Moreover, some significance must be given  
to   the   fact   that   the   employee   actually   signed   off   before   leaving   the  
premises.   A   dishonest   employee   would   not   sign   off.   Moreover,   the  
employee   alleged   at   the   arbitration   that   he   had   not   been   given   an  
adequate chance to tender a full explanation. This was not countered by  
the   applicant   at   the   hearing,   nor   did   the   commissioner   attach   any  
significance to it.
19. In   addition   the   record   shows   that   the   employee   tendered   certain  
explanations for his previous absences. It is not clear from the record or  
the award whether these explanations were taken into account and hence  
whether the previous discipline was indeed justified or not. 
20. Section   145   of   the   LRA   obliges   this   court   to   scrutinize   the   legality   and  
regularity of CCMA arbitration awards on review, and not to substitute a  
decision by the Labour Court in place of the CCMA commissioner. The  
section   grants   a   power   of   review   not   appeal.   As   a   general   principle,  
therefore, this court should be reluctant to substitute its own decision for  
that   of   the   CCMA.   However,   in   exceptional   circumstances   and   in   the  
interests   of   the   speedy   resolution   of   disputes,   this   principle   may   be  
departed from. The court has a discretion, to be exercised judicially upon a

departed from. The court has a discretion, to be exercised judicially upon a  
consideration of the facts of each case. Although a matter will normally be  
sent back if there is no reason for not doing so, it is in essence a question  
of fairness to both sides ­  Livestock and Meat Industries Control Board v  
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Garda 1961 (1) SA 342 (A) @ 349. In this regard the court will have regard  
to: whether a fresh consideration would lead to a result which is a forgone  
conclusion;   the   importance   of   time   considerations;   the   willingness   and  
likelihood of the body being able to re­apply its mind to the issues at stake;  
any   indications   of   bias   or   incompetence   that   cannot   be   remedied;   and  
whether the court is in as good a position as the functionary under review  
to make the decision itself. In the present case it is this latter consideration  
which to my mind is most important. 
21.   As   I   have   said,   the   evidence   on   record   regarding   the   personal  
circumstances, length of service, previous misconduct and responsibilities  
of the employee is simply not sufficient. More importantly, for the reasons  
advanced  by  Mr.  Buthelezi,  I  cannot   make  a clear determination  of the  
seriousness of the alleged misconduct, both because the evidence about  
the risk of fire at the time when the machines are shut down is incomplete  
and the evidence regarding prior misconduct is lacking in cogency. Hence,  
even were I persuaded by Mr. Erasmus that the seriousness of the offence  
would   justify   less   weight   being   attached   to   the   employee’s   length   of  
service and personal circumstances, I would still not be in a position to  
determine   the   fairness   of   sanction.   Generally,   it   is   not   appropriate   to  
dismiss an employee for a first offence, except if the misconduct is serious  
and   of   such   gravity   that   it   makes   a   continued   employment   relationship  
intolerable. The Code of Good Practice in Schedule 8 to the LRA makes it  
clear that when deciding whether or not to impose the penalty of dismissal,  
the employer should   in addition   to the gravity of the misconduct consider  
factors such as the employee’s circumstances (including length of service,

factors such as the employee’s circumstances (including length of service,  
previous disciplinary record and personal circumstances), the nature of the  
job   and   the   circumstances   of   the   infringement   itself.   To   re­cap   there   is  
absolutely no evidence at all on the employee’s length of service or his  
personal circumstances. And the evidence on both previous misconduct  
and the circumstances in which the infringement occurred was less than  
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satisfactory.   I   am   accordingly   unable   to   substitute   my   decision   for   the  
arbitrator’s.
20. In the premises, I make the following orders:
20.1The award of the second respondent under case KN14551/03 dated  
21 August 2003 is hereby reviewed and set aside.
20.2The   matter   is   remitted   back   to   the   first   respondent   for   fresh  
consideration   by   a   Senior   Commissioner   other   than   the   second  
respondent within six (6) weeks of the date of this order.
20.3There is no order as to costs.
MURPHY, AJ
Date of hearing: 17 March 2005
Date of Judgment: 20 April 2005
For the Applicant: Mr. R.J. Erasmus
                                  Deneys Reitz Attorneys
For the Respondent:  Mr. Z.E. Buthelezi
                                        Buthelezi Inc.
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