Seema v General Public Services Sectoral Bargaining Council and Others (JR563/03) [2005] ZALC 88; (2005) 26 ILJ 2037 (LC); [2005] 11 BLLR 1142 (LC) (12 August 2005)

60 Reportability

Brief Summary

Labour Law — Dismissal — Review of arbitration award — Applicant dismissed for misconduct after incarceration — Commissioner finding dismissal procedurally unfair but substantively fair — Court agreeing with Commissioner’s finding of procedural unfairness due to lack of pre-dismissal procedure — Dismissal deemed to have occurred by operation of law under Public Service Act, necessitating adherence to Labour Relations Act procedures.

REPORTABLE
IN THE LABOUR COURT OF SOUTH AFRICA
HELD AT BRAAMFONTEIN
  In the matter between REPORTABLE
Case Number: JR 563/03
LESIBA EPHRAIM SEEMA  APPLICANT
And
GENERAL PUBLIC SERVICES SECTORIAL 1st RESPONDENT
BARGAINING COUNCIL
COMMISSIONER MICHAEL MASHEGO 2nd RESPONDENT
DEPARTMENT OF JUSTICE 3rd RESPONDENT
                                                                                                                                                         
JUDGEMENT
                                                                                                                                                         
LEEUW A.J
INTRODUCTION
(1)   This   is   an   application   in   terms   of   Section   145   of   the   Labour  
Relations Act No 66   of 1995 (The Labour Relations Act) brought  
by the applicant for an order in the following terms:

“ 1. That the arbitration award dated 28 February 2003 under case PSGA 3584 be  
reviewed and set aside and be replaced by the following terms:
 
  1.1   That the dismissal is both substantively and procedurally unfair.
   1.2  That the applicant be re­instated and compensated in terms of section 194(2)  
of the Labour Relations Act No 66 of 1995, as amended.
   1.3   That the costs of this application be paid by the Respondent
 
   1.4   Further and /or alternative relief”.
Background information
(2)   It is common cause that the Applicant was employed by the Third  
Respondent as a Senior Court Interpreter at the Magistrate’s Court  
Mokerong in the Limpopo Province.
(3)    He   was   charged   and   convicted   of   two   (2)   counts   of   theft,   two  
counts   of   obstruction   and/or   defeating   the   ends   of   Justice   and  
Contempt of Court and sentenced to twenty four (24) twenty four  
months,   six   (6)   months   and   ninety   (90)   days   imprisonment  
respectively. He was incarcerated from May 2001 to August 2002  
which is a period of 1(one) year and 3(three) months.
  2

(4)  The   Third   Respondent   terminated   the   applicant’s   services   with  
effect from 26 th   January 2001 per letter dated 9 th July 2002, the  
reason being that he was guilty of misconduct in terms of section  
17(2)(e)   of   the   Public   Service   Act   104   of   1994(“Public   Service  
Act”).
(5)    Subsequent   to   the   abovementioned   letter,   the   third   Respondent  
caused to be written a letter dated 22 nd July 2002 to the Applicant  
wherein cognisance was taken of the reason for dismissal. In this  
letter,   the   Third   Respondent   notified   Applicant   that   he   was  
discharged from public service with effect from the 26 th   January  
2001, the reason being that he was not “gainfully employed”. The  
same section 17(2) (e) of the Public Services Act was repeated in  
this letter.
(6)   The Applicant referred the matter  to the General Public  Service  
Sectoral Bargaining Council (“The Bargaining Council”) where it  
was heard on the 18 th February 2003. The Commissioner made a  
finding  that   the  Applicant’s   dismissal   was   substantively   fair   but  
procedurally unfair and ordered no compensation. 
  3

Submissions
(7)   The   Applicant’s   grounds   for   review   can   be   summarised   as  
follows (as they appear in his founding affidavit): The dismissal  
was procedurally and substantively unfair because
i) He was not given an opportunity to explain his absence from  
work as well as present mitigating factors in his favour;
ii) He has appealed against the conviction and sentence to the High  
Court and therefore ought not to have been dismissed pending  
the finalisation of that appeal. 
iii) The fact  that he was in prison on its own cannot be a ground for  
dismissal, and
    (iv)  that the employer condoned his absence from work in that it   took almost  
one   and   half   years   for   the   employer   to   dismiss   him   despite   his  
incarceration and can therefore not raise same as a ground for dismissal.
(8) These grounds were not pursued by the Applicant’s attorney in  
  4

his written and oral submissions save to state that the only basis  
on   which   Applicant   could   be   dismissed   from   employment,  
would be by virtue of his incapacity, misconduct or employer’s  
operational   requirements.   Furthermore,   that   the   applicant’s  
dismissal was not justifiable in terms of the provisions of section  
188(1) of the Labour Relations Act.
      (9)    On behalf of the Third Respondent, Mr Mogatle in his Answering Affidavit  
alleges that the Third Respondent erroneously referred to section 17(2) (e)  
of the Public Service Act and that the same mistake was repeated in the  
letter   dated   22   July   2002,   which   according   to   him   was   a   typographical  
error; he intimated that the correct section ought to have been section 17(2)  
(c) of the Public Service Act.
(10) It was Mr Mogatle’s testimony at the Arbitration hearing that the  
Applicant was not dismissed because of misconduct but that his  
services   were   terminated   because   he   was   not   “gainfully  
employed”. He further stated that the Applicant was as a result  
thereof in breach of his employment contract.
He   referred   to   the   provisions   of   section   30(a)   of   the   Public  
Service Act which provide that   “every officer and employee  
shall place the whole of his or her time at the disposal of the  
State”.
(11) It   was   Mr   Mogatle’s   evidence   that   it   was   not   necessary   to  
conduct a disciplinary enquiry against the applicant since he was  
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not charged for misconduct. The applicant committed a breach of  
contract   which   was   accepted   by   the   employer.   For   failure   to  
conduct a pre­dismissal enquiry, Third Respondent relies on the  
provisions   of   Schedule   8   under   Section   4(4)   of   the   Labour  
Relations   Act   which   provide:   “that   in   exceptional  
circumstances,  if the employer cannot reasonably be expected  
to   comply   with   the   guidelines,   the   employer   may   dispense 
with pre­dismissal procedure” . It is further submitted that the  
hearing was unnecessary because the Applicant could not have  
been considered for reinstatement or re­employment as a result  
of his incarceration.
    
(12) There is no counter review by the Third Respondent against the  
Second Respondent’s ruling that the Applicant’s dismissal was  
procedurally unfair, but it is  submitted on behalf  of  the  Third  
Respondent   that   the   dismissal   was   both   substantively   and  
procedurally   fair.   I   have   already   alluded   to   the   Third  
Respondent’s submissions in this regard.
The Law:
(13)   The Third Respondent submits that the Applicant was dismissed  
because   he   was   unable   to   render   his   services   as   an   interpreter.  
Section 17(2) (c) of the Public Service Act provides that   “Every 
officer,  other than a member of the services or an educator or a  
member of the Agency or the Service, may be discharged from  
the public service.
  6

(a) ………..
(b) ………..
   (c)    If, for reasons other than his or her own unfitness or incapacity,  his or her  
discharge will promote efficiency or economy in the department or office in  
which he or she is employed, or will otherwise be in the interest of the public  
service;
(14)  Furthermore, the Public Service Act provides in Section 17(5)(a)(i)  
that “An officer, other than ….., who absents himself  or herself  
from his or her official duties without permission of his or her head  
of   department,   office   or   institution   for   a   period   exceeding   one  
calendar month  shall be deemed to have been discharged from the  
Public Service on   account of Misconduct  with effect from the date  
immediately  succeeding his or her last day of attendance at his or  
her place of duty”.
(15) I must here remark that neither the Applicant nor the Second and  
Third Respondent made mention of this provision and no reliance  
was   placed   on   this   section   by   the   Third   Respondent   when   the  
Applicant was discharged from employment. The effect of Section  
17(5) (a) (i) is that the applicant’s employment was terminated by  
operation of law.  
(16)  Our Courts have applied the abovementioned provision and similar  
provisions differently and it will be necessary to refer to but a few:
(a) In the case of  Minister Van Onderwys en Kultuur en Andere  
v Louw 1995(4)SA 838 (A) at 388G­I  the court, in interpreting Section  
72(1) of the then Education Affairs Act (House of Assembly)70 of 1988,  
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a provision similar to Section 17(5)(a)(i) of the Public Service Act, held  
that the coming into operation of the deeming provision is not dependant  
upon any decision, and that the  audi alteram partem  rule is not  
applicable; that an employer merely notifies an employee about his  
discharge which occurred by operation of law. This decision was  
followed and applied amongst others in the cases of  Public Servants  
Association of SA and Another v Premier Gauteng and Others (1999)  
20 ILJ 2106(LC) , Nkopo v Public Health and Welfare Bargaining  
Council & Others (2002) 23 ILJ 520 (LC).
(17)  In   the   latter   case,   Landman   J,   held   that   there   was   no   dismissal  
which could be found to be unfair as contemplated in the Labour  
Relations Act. Neither party in this case, like in the present, had  
taken this point on review. 
The same view was followed in the case   MEC, Public Works,  
Northern Province v CCMA & Others (2003)   10 BLLR 1027  
(LC) where the point was not taken by either party to the dispute as  
well   as   the   Commissioner.   The   matter   was   referred   back   to   the  
CCMA.
(18) Freud A.J   in the   MEC for Public Works Northern Province   v 
CCMA  supra held the view that the decision by the employer in  
exercising his discretion not to reinstate in terms of section 17(5)
(b)(ii)   has   the   effect   that   the   contract   of   employment   remains  
terminated by law and not terminated by the employer. Compare  
also   South   African   Broadcasting   Corporation   v   CCMA   &  
Others  (2001) 4 BLLR 449 (LC) at 454 H , where Sutherland AJ  
held that “… it is not the act of desertion which terminates the  
contract of employment, but the act of the employer who elects to  
  8

exercise his right to terminate the contract in the face of that breach  
(See  Stewart Wrightson (Pty) Limited v Thorpe 1977 (2) SA  
943 (SCA) at 953 E)”.  The court held that the Commissioner was  
correct in ruling that the termination of employment was dismissal.  
This seems to be the submission by Third Respondent’s Counsel in  
this matter.
(19) The   case   of   Minister   van   Onderwys   en   Kultuur   en   Ander   v  
Louw   supra  was   decided   prior   to   the   enactment   of   the   Labour  
Relations   Act although  the  majority of   cases   which applied  this  
case also took the view that dismissal by operation of law is not  
dismissal in accordance with Section 186 of the Labour Relations  
Act. 
See also  Ntabeni v MEC for Education, Eastern Cape (2001)  
ILJ 2619(TK) & Maidi v MEC for Department of Education  
& Others (2003) 24 ILJ 1552(LC).
 
(20) Section 17(1) (a) of the Public Service Act provides that “Subject  
to   the   provisions   of   paragraph   (b),   the   power   to   discharge   an  
officer or employee shall vest in the relevant executing authority  
…. and the said power shall be exercised with due observance of  
the applicable provisions of the Labour Relations Act, 1995(Act  
No 66 of 1995)”. I am of the view that since section 17(5) (a) (i)  
of the Public Service Act, provides that a person who has been  
discharged   by  operation  of  law  shall   be  deemed  to  have   been  
discharged  from Public Service  on account of  misconduct,  the  
  9

employer must apply the procedures provided for in the Labour  
Relations Act in dismissals based on misconduct.
(21)  The   other   view   held   by   our   courts   is   that   Section   17(5)   (a)  
deprives employees of their right to challenge their dismissals.  
Section 17(5)(b),provides that : “If an officer or employee who is  
deemed   to  have  been  discharged,   reports   for   duty  at  any  time  
after   the   expiry   of   the   period   referred   to   in   paragraph   (a)the  
relevant   executing   authority   may,   on   good   cause   shown   and  
notwithstanding anything to the contrary contained in any law,  
approve the reinstatement of that officer in the Public Service in  
his or her former or any other post or position, and in such case  
the period of  his absence or   her absence from official duty shall
     be deemed to be absence on vacation leave without pay or leave on such     
other conditions as the said authority may determine”.
(22)     This   provision   was   interpreted   by   the   Court   as   granting   the  
employee an opportunity to present his case to the employer and  
give reasons as to why he or she should be reinstated after his  
persistent absence from work. See  South African Broadcasting  
Corporation   v   CCMA   &   Others   supra   and   Hospersa   &  
Another   v   MEC   for   Health   (2003)   12   BLLR   1242   (LC) .   I 
agree   with   this   interpretation:   that   though   discharged   from  
employment   by   operation   of   the   deeming   provision,   the  
employee still has the opportunity to present his or her case to the  
employer for the purpose of determining whether he or she can  
be reinstated, on good cause shown. Compare also   Phenithi v  
  10

Minister of Education   & Others (2005) 6 BLLR 614 (O) at  
621 G.
Was the Applicant’s dismissal Substantively and Procedurally  
fair?
(23) In finding  that the Applicant’s dismissal was procedurally unfair,  
the Commissioner found that the Third Respondent did not place  
any   exceptional   circumstances   before   him   that   would   justify  
dispensing   with   the   pre­dismissal   procedure   provided   for   in  
section 17(5)(a)(i) of the Public Service Act read with Schedule 8  
of the Labour Relations Act supra. 
(24) He   held   the   view   that   the   Third   Respondent   was   aware   of   the  
whereabouts   of   the   Applicant   who   was   in   prison   and   could   be  
accessed in order to afford him the opportunity to present his case  
in   a   disciplinary   enquiry.   I   agree   with   the   view   held   by   the  
Commissioner and find that he did not misdirect himself in coming  
to this finding.
(25)  The   Commissioner   held   that   “the   principal   obligation   of   an  
employee   under   the   contract   of   service   is   to   put   their   (sic)  
personal   services   at   the   disposal   of   the   employer…The  
employer cannot be expected to wait for an employee who is  
languishing in a state penitentiary…...
The inquiry is not whether or not he is guilty but whether as a  
result of his incarceration after having been found guilty by a  
  11

competent   court,   he   could   render   services   or   not   ….I   am  
therefore convinced that the Employer had a valid reason to  
terminate the contract of Employment”.
 
(26)    I find nothing wrong in the Ruling by the Commissioner that the  
Applicant’s dismissal was substantively fair because the applicant  
was not available to render services to the employer by virtue of  
the crimes he allegedly committed and for which he was convicted  
and sentenced in a competent Court of Law.   After the expiry of  
the   one   month   period,   the   applicant   was   deemed   to   have   been  
discharged albeit not on account of contravention of Section 17(2)  
(c) but on account of Section 17(2) (e) of the Public Service Act. 
(27)    At  this  stage,  the question  of   breach  of  contract  or   dismissal   in  
accordance with Section17 (2) (c) of the Public Service Act is not  
of relevance because substantively, the discharge or dismissal was  
by operation of law.
(28) The applicant chose to rely on Section 17(2)(c) of the Public Service  
Act   in   dismissing   the   Applicant   from   employment,   instead   of  
relying on the deeming provisions of Section 17(5) (a) (i) of the  
Public   Service   Act.   Mere   absence   from   work   is   not   conclusive  
evidence that the Applicant did not have the intention to return;  
applicant   ought   to   have   been   summoned   from   prison   and  
adequately   informed   about   the   consequence   of   his   continued  
absence   from   work.   See   Phenithi   v   Minister   of   Education   &  
Others supra.
  12

(29) The   deeming   provision   in   Section   17(5)(a)(i)   directs   that   in   the  
circumstances where the applicant was absent for a period of one  
month, he shall be deemed to have been “dismissed on account of  
misconduct”(Section 17(2)(c)).The third Respondent was correct in  
referring  to  Section  17(2)(c)  in  the  dismissal   letter  but  failed  to  
follow   the   procedure   prescribed   by   the   Labour   Relations   Act  
applicable   when   an   employee   is   dismissed   on   account   of  
misconduct (See Schedule 8 Code of Good Conduct – Section 3  
and 4 thereof).
Conclusion
(30) I am of the view that section 17(5) (a) (i) must be read with Section  
17(2) (e) and Section 17 (1) (a) of the Public Service Act. I hold  
the view that the dismissal was substantively fair in view of the  
provisions of Section 17(5) (a) (i) read with Section 17(2) (e) of the  
Public Service Act  because the dismissal was by operation of law.
(31)  With regard to the Procedural aspect of the dismissal I am of the  
view that such dismissal was unfair in view of  Third Respondent’s  
failure to afford the Applicant the opportunity to present his case  
and motivate his reinstatement in accordance with the provisions of  
Section 17(5) (b) read with Section 4 of Schedule 8 of the Labour  
Relations   Act   (Code   of   Good   Practice).   In   this   case,   the   Third  
Respondent   informed   the   Applicant   that   he   was   dismissed   but  
omitted to inform him of the provisions of Section 17(5) (a) (i) and  
  13

(b) of the Public Service Act. This provision is not peremptory and  
it would seem it is upon the Applicant to act in accordance with  
this   section.   Compare   Phenithi   v   Minister   of   Education   &  
Others supra.
(32) The Commissioner decided not to award any compensation in this  
matter, although no reasons have been furnished for such election.  
The   Applicant   seeks   an   order   for   reinstatement   as   well   as  
compensation in terms of Section 194(2) of the Labour Relations  
Act. In view of the legal interpretation alluded to above, I am of the  
view that the Applicant was dismissed by operation of law and thus  
may be entitled to whatever monetary benefit if any, if he succeeds  
after   having   invoked   the   provisions   of   section   17(5)(b)   of   the  
Public Service Act.
(33) In   view   of   the   fact   that   neither   the   Applicant   nor   the   Third  
Respondent   had   taken   the   points   raised   with   regard   to   the  
provisions of section 17(5) of the Public Service Act, and which  
issues   were   pertinent   for   the   appropriate   adjudication   of   this  
matter, I will not make a cost order against either party.
34) The   arbitration   award   dated   28 th  February   2003   is   hereby  
reviewed   and   set   aside   and   the   following   order   is   substituted  
therefor:
(a) The   dispute   is   referred   back   to   the   First   Respondent   for  
arbitration   de   novo   before   a   Commissioner   other   than   the  
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Second Respondent.
(b) There is no order as to costs. 
                                                       
M  M  LEEUW
ACTING JUDGE OF THE LABOUR COURT
Date of Hearing  : 13 MAY 2005
Applicant’s Counsel  :
Instructing Attorneys  : MOHLABA MOSHOANA
Respondent’s Counsel : H. KOOVERSTE
Instructing Attorneys : STATE ATTORNEY
Date of Judgement : 12 August 2005
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