Afrox Limited v National Bargaining Council for the Chemical Industry and Others (JR2404/03) [2005] ZALC 96; (2006) 27 ILJ 1111 (LC) (24 October 2005)

62 Reportability

Brief Summary

Labour Law — Unfair dismissal — Review of arbitration award — Employee dismissed for misconduct involving indecent exposure — Arbitrator finding dismissal procedurally and substantively unfair due to irregularities in the disciplinary hearing — Employee reinstated with a final warning and compensation ordered, but compensation part of award found to be incorrect as it contravened the Labour Relations Act — Court upholding the arbitrator's decision to reinstate but correcting the compensation aspect.

IN THE LABOUR COURT OF SOUTH AFRICA
HELD AT BRAAMFONTEIN
                                                                              
                                                                                  Case NO:  JR 2404/03
2005­10­24
In the matter between 
AFROX LIMITED Applicant
and
NATIONAL BARGAINING COUNCIL FOR THE
CHEMICAL INDUSTRY           1st Respondent
ASHMINI SINGH 2nd Respondent
PETRUS JACOBUS VILJOEN 4th Respondent
_________________________________________________________
JUDGMENT
_________________________________________________________
REVELAS, J  
[1] This is an application for the review of an award by the second  
respondent (Ashmini Singh NO) made in favour of the fourth  
respondent (Petrus Jacobus Viljoen).
[2] The second respondent ("the arbitrator") held that the dismissal  
of the  fourth respondent ("Viljoen")  by the applicant ("Afrox  
Limited")   was   procedurally   and   substantively   unfair.     The  
arbitration hearing was conducted under the auspices of the first  
respondent ("The National Bargaining Council for the Chemical  
Industry").

[3] The facts which gave rise to this matter were the following.  On  
13   February   2003   the   fourth   respondent   ("Viljoen")   was  
involved in an altercation with two employees of Gas and Lube,  
one of the applicant's larger clients.   During the course of the  
altercation Viljoen exposed his buttocks to two of the employees  
of   Gas   &   Lube.     As   a   result   of   this   escapade,   disciplinary  
proceedings were instituted against Viljoen and a hearing was  
held on 26 February 2003.  
[4] At the hearing Viljoen did not dispute that he exposed himself to  
the employees from Gas and Lube and claimed that he had been  
provoked to such a degree, that he did not think about what he  
was   doing.     It   was   the   undisputed   evidence   before   the  
chairperson of the disciplinary inquiry, that the applicant had, on  
the day before, reported the two employees of Gas and Lube in  
question, for breaching safety regulations.  In what appeared to  
have been a revenge attack, they approached Viljoen and swore  
at   him   and   an   argument   followed.     Apparently   the   whole  
incident, during which he subsequently dropped his trousers and  
exposed his buttocks to them, was no more than five minutes in  
duration.  The chairperson of the hearing found Viljoen guilty of  
misconduct and dismissed him.
[5] Viljoen then referred a dispute about an unfair dismissal to the  
National   Bargaining   Council   for   the   Chemical   Industry   ("the  
Council") and subsequently the arbitrator arbitrated the dispute.

[6] In   her   award,   the   arbitrator   found   that   there   were   several  
procedural irregularities in the disciplinary hearing.  She firstly  
found that the inquiry was fatally flawed because, although the  
chairperson   commenced   the   inquiry   in   an   objective   and  
impartial   manner,   he   later   began   interrogating   the   applicant  
about the implications of his actions.  Secondly, she found that  
the chairperson appeared to have arrived at a decision prior to  
having heard the summation or closing arguments of the parties.  
She   also   based   the   conclusion   upon   reading   some   of   the  
questions posed by the chairperson.   (A transcript of the entire  
proceedings   was   available   to   the   arbitrator   at   the   arbitration  
hearing.)     Thirdly,   the   arbitrator   found   that   after   having  
delivered a guilty finding, the chairperson further failed to ask  
the   applicant   and   Viljoen   as   to   what   sanction   they   would  
recommend.   Thus, she found that Viljoen was not given the  
opportunity to plead for a lesser sanction than dismissal.   She  
held that whilst the aforesaid might be minor infringements, the  
most   striking   problem   with   the   inquiry   was   the   fact   that   the  
applicant was not afforded the opportunity to cross­examine the  
applicant’s   witnesses,   namely   the   two   employees   of   Gas   and  
Lube.  
[7] Although   the   two   employees   of   Gas   and   Lube   had   made   a  
complaint against Viljoen, they nonetheless did not testify at the  
hearing or at the arbitration hearing.   Consequently no proper  
cross­examination was conducted.  
[8] The applicant argued that it would have served no purpose to  
call these two witnesses and that the arbitrator's criticism in this

regard   was   irrational,   since   their   testimony   would   only   have  
weakened Viljoen's case.
[9] In my view, the irrationality in this regard does not lie at the  
door of the arbitrator, but rather at that of the applicant.  Cross­
examination is fundamental, and this argument overlooks the fact that  
it was undisputed at the disciplinary hearing that Viljoen, was very  
much provoked and that the two employees acted out of revenge.  
Cross­examination of them could have led to establishing serious  
mitigating factors, which could have prevented the dismissal.  On the  
other hand, it is quite probable that their evidence could have bolstered  
the type of facts which would render the sanction of dismissal,  
appropriate.  The fact that the latter was a possibility, does not mean  
cross­examination should be disallowed.  Such reasoning is irrational.
[10] A further complaint levelled against the arbitrator is that in this  
instance   she   wrongly   interpreted   the   case   of   Metro   Cash   &  
Carry Ltd v Le Roux NO & Others  [1999] 4 BLLR 351 (LC).  In  
that   matter   an   employee   had   assaulted   a   customer,   after   the  
customer had accused the employee of shortages, had sworn at  
him   and   slapped   him.   He   was   subsequently   dismissed   and   a  
CCMA commissioner stated as follows in his award:
"In considering how the employee should have reacted  
to   the   situation,   the   employee's   action   should   be  
considered in a very realistic manner.   Certainly the  
employee   was   under   an   obligation   to   treat   all  
customers   courteously,   even   when   the   behaviour   of  
certain   customers   left   much   to   be   desired.  
Undoubtedly   it   is   fair   to   expect   of   employees   to  
attempt to minimise conflict  with customers, even if  
that   means   having   to   withdraw   from   an   argument  
despite being in the right.  It may also be that it was ill

advised   of   the   employee   not   to   withdraw   from   the  
situation   at   the   earliest   possible   opportunity.  
However,   that   is   not   the   primary   question.     How  
should   the   employee   have   reacted   to   being   slapped  
through   the   face?     It   is   difficult   to   see   how   anyone  
would   have   been   able   to   refrain   from   retaliating   in  
self­defence.     It   is   similarly   difficult   to   see   how   the  
incident could have ended there and then, given that  
the parties grabbed each other and fell on the floor.  It  
seems excessive for the employee to have kicked Ms  
Ncgobo (customer) and in doing so (only) he exceeded  
the   boundaries   of   self­defence.     On   the   whole,  
however, I find that the actions of the employee should  
be approached with due appreciation of the extreme  
provocation on the side of Ms Ncgobo."
"Against   the   background   of   that   evaluation   of   the  
facts, I am of the view that the sanction of dismissal  
was excessive.   I hasten to point out that I am by no  
means seeking to lay down the general rule in terms of  
which   assault   on   customers   or   fellow   employees   (or  
anyone else for that matter) should be approached as  
something   other   than   a   dismissable   offence.     There  
would   have   to   be   very   compelling   circumstances   to  
justify   departure   from   that   approach.     Such  
circumstances are present in the present matter."

[11] The employee in the  Metro Cash  matter was re­instated, but not  
with full retrospectivity, as it was held that the employee ought  
to [be penalized in this manner] for his actions.  The award was  
then   taken   on   review   to   the   Labour   Court   where   the   learned  
judge at page 354 held as follows:
"In view of the fact that there was provocation in the  
present   matter   and   in   view   of   the   fact   that   the  
arbitrator had warned himself that, as a general rule,  
assault will be held to be a dismissable offence, and in  
view   of   the   fact   that   the   arbitrator   also   sought   to  
express his disdain for the actions of the employee and  
held it to be a dismissable offence, and in view of the  
fact   that   the   arbitrator   also   sought   to   express   his  
disdain for the actions of the employee by reinstating  
him   from   only   a   later   date,   I   cannot   find   that   the  
award is not justifiable in relation to the reasons given  
for   it.     In   the   event   the   award   will   stand   and   the  
application is dismissed with costs." 
[12] The arbitrator held that this matter is distinguishable from the  
Metro Cash  case in that the applicant did not physically assault  
the customers, as the employee in that matter did.  The arbitrator  
was of the view that Viljoen's actions were not as harmful to the  
applicant as that of the employee in the  Metro Cash  matter.  She  
also found that if the chairman of the disciplinary inquiry had  
conducted the hearing in a fair manner, and had probed into the

provocation issue, he would in all probability have realised that  
it was indeed a strong mitigating factor.  Viljoen did during the  
inquiry, and at the arbitration hearing, state that he had not been  
thinking   clearly   as   he   had   been   consumed   with   anger.     He  
acknowledged that he was aware of the fact that his actions were  
wrong and he displayed considerable remorse.
[13] The   arbitrator   stated   that   even   though   she   was   reluctant   to  
interfere   with   a   sanction   imposed   by   an   employer,   as   she  
believed   businesses   should   run   with   "as   little   outside  
interference   as   possible",   the   facts   of   this   case   called   for  
interference.   She   commented   that   she   was   well   aware   of   the  
judgments in the cases  Nampak Corrugated Wadeville v Khoza  
[1999] 2 BLLR 108 (LAC) and  County Fair Foods (Pty) Ltd v  
CCMA   &   Others   [1999]   11   BLLR   1117   (LAC),   where   the  
labour   Appeal   Court   warned   against   such   interference.  
However, she believed that if the inquiry was conducted in a fair  
manner,   the   chairperson   would   have   arrived   at   a   different  
sanction.  She did not find Viljoen's behaviour acceptable.  As a  
matter of fact, she also found it unacceptable behaviour. She,  
however,   believed   that   dismissal   was   not   the   appropriate  
sanction.  
[14] She   then   held   that   the   dismissal   was   procedurally   and  
substantively   unfair.     She   ordered   the   respondent   to  
retrospectively reinstate Viljoen only as of 1 June 2003. He is  
thus penalized with a loss of wages for the months March, April  
and   May   2003,   as   a   disciplinary   measure   against   indecent  
exposure.   The reinstatement is to take place on or before 25

November   2003.     She   further   ordered   that   Viljoen   should  
receive   a   final   written   warning   valid   for   12   months,  
commencing on 25 November 2003.
[15] In the fourth paragraph of her award the arbitrator ordered the  
respondent   to   pay   Viljoen   compensation   equivalent   to   six  
months' wages for the months June to November 2003 in the  
amount of R27 340,00 less the relevant tax deductions.  
[16] The   aforesaid   order   contained   in   paragraph   4   (four)   of   the  
award, is clearly wrong. Section 193(1) of the Labour Relations  
Act 66 of 1995, as amended, provides that compensation cannot  
be   awarded   in   addition   to   reinstatement.     Therefore   that   part  
(paragraph 4 of the arbitrator's award) should be deleted.
[17] The award is a well reasoned award which takes due account of  
all   the   evidence   which   was   led   before   the   arbitrator.     The  
company called only one witness and that was the applicant's  
branch services manager, Mr Van der Merwe. 
[18]   He   also   testified   about   an   incident   which   had   taken   place  
between   the   applicant   and   a   customer   from   Vaalmed   at   a  
previous occasion which had resolved itself.  That was about a  
conflict with a co­employee called Quinton Colburn.  Here it is  
of   further   note   that   Quinton   Colburn   was   the   person   who  
attended to Viljoen's unsuccessful appeal in the present matter.  
In   my   view   that   was   a   further   serious   irregularity   which   the  
arbitrator was bound to take into account, and if she did not, I  
most certainly do.

[19] The representatives on behalf of Viljoen and Solidarity argued  
that a stricter test should be applied to this review than in other  
cases and that I should be led by the test as set out in section 145  
of the Labour Relations Act.   At this stage I may just say that  
the appropriate test in a review application of this kind, is to  
establish whether the arbitrator had rationally applied her mind  
to   the   evidence   before   her.     She   did.   Whereas   the   conduct  
complained   of   is   most   certainly   serious,   it   is   not   dismissible  
conduct   per se,   in all circumstances.   The arbitrator cannot be  
faulted for taking the surrounding circumstances into account,  
namely   the   provocation   and   the   evidence   which   was   led  
regarding the revenge motive of the two employees in question.
[20] Furthermore,   one   must   also   look   at   the   nature   of   the   charge  
against   the   applicant.   He   had   been   charged   in   terms   of   the  
applicant's disciplinary code, Rule 14, which reads:
"Any deliberate action which does or has potential to  
disrupt industrial relations between management and  
employees,   individuals   and   groups,   for   example  
abusive   language,   in   this   case   towards   a   customer,  
abusive language and obscene behaviour."
[21] He was found guilty of obscene behaviour only.  There was no  
evidence   that   the   relationship   between   the   applicant   and   its  
client, Gas and Lube, was disturbed by the incident.  There was  
also   no   indication   that   the   incident   in   question   destroyed   the  
relationship of trust between the applicant and Viljoen.  There is

no evidence, further, that he would not be able to perform his  
duties as before.
[22] In  my   view   the   applicant   has   not   put   forward   a   cogent   case  
which could persuade me to interfere with the arbitrator's award,  
in   so   far   as   the   substantive   and   procedural   fairness   of   the  
dismissal is concerned.  
[23] However, I wish to interfere with her award in one respect, and  
that is to delete paragraph 4 therefrom, so that it accords with  
the   arbitrator’s   powers   as   conferred   upon   her   by   the   Labour  
Relations Act.  
[24] Consequently, I make the following order:
1. The application for review is dismissed with costs; and
2. Paragraph   4   of   the   arbitrator's   award   should   be  
deleted there from.
__________________
Judge Elna Revelas
Judge of the Labour Court
Date of hearing: 21 October 2005
Date of Judgment: 24 October 2005
On behalf of the applicant:
Webber Wentzel Bowens Attorneys
On behalf of the respondents:
Serfontein Viljoen & Swart Attorneys