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UPDATE

Labour guides has received a number of enquiries about the Labour Relations Act 66 of 1995 and the Basic Conditions of Employment Bill 1997. The Act and Bill are available from the Government Printer in Pretoria. Jutas stocks analyses of the legislation.

Please note that the Employment Bill 1997 is only a draft bill published for public comment and is not yet law. It is this Bill that Cosatu is objecting to as being too employer-friendly.


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SUNDAY, 27 JULY 1997


Prepared by Rael Solomon and
The Labour Consultancy.

THIS week, Rael Solomon examines what happens when a dispute taken through the arbitration process.

The CCMA and YOU - Arbitration
This week we follow up on what happens if a dispute referred to the CCMA has resulted in a failed conciliation. The matter then goes to arbitration.

Arbitration hearings are much more formal than for conciliation. The commissioner hearing the matter will make a decision which in most cases is final and binding. Permission to appeal a decision on arbitration is usually only granted if it can be shown that the commissioner was unfairly biased or incompetent. It is truly a WIN-LOSE situation.

In the spirit of the New Labour Relations Act the commissioner may revert to a conciliation mode during the arbitration process should it be believed that this would be helpful.

The parties are entitled to give evidence at the arbitration proceedings, call witnesses and question the other parties' witnesses. Statements and affidavits may be presented and heard.

Legal representation:
It may be argued that under South Africa's new constitution everyone has the right to legal representation, but the Labour Act does not give this right. In fact in cases related to dismissal for misconduct or incapacity (by far the main reasons for dismissal) the Act specifically precludes the right to legal representation unless this is agreed by both parties as well as the commissioner.

In all cases a party may be represented by a co-employee or member or official of a bona-fide trade union, employer's organisation or a director if the employer party is a company. Where the arbitration relates to a matter other than to a dismissal for misconduct or incapacity, the party is entitled to legal representation.

The reason for not allowing legal representation is to allow for speedy resolution of cases and to keep the costs of litigation minimal. The whole issue of representation is a very thorny one, with employees, labour consultants, attorneys and employers all questioning the fairness. It must be stated that employees who have already lost their jobs have little else to lose in pursuing disputes to the CCMA even when there is a small chance of success. Employers on the other hand often have the perception they are in a lose-lose situation.

The proceedings are free to the parties and while the system of conciliation / arbitration at the CCMA was designed to even out the playing fields it has led to many employees using the proceedings to force employers to accede to unreasonable demands. Never the less the CCMA is achieving a remarkable success given the short time it has been in operation and the tremendous work loads.

The Arbitration Hearing
The hearing is held at the offices of the CCMA in the particular region or at the offices of the relevant Bargaining councils which have replaced the old industrial councils. The Act states that these Bargaining Councils must have dispute resolving mechanisms allowing for mediation and arbitration. The parties will meet at the office of the commissioner appointed to arbitrate the matter. Arbitration is usually the last step in resolving a dispute and it is incumbent on the parties to prepare their cases thoroughly

Where possible employees should get advice in preparing themselves to present their own case. It may be worth their while to join one of the many trade unions which have mushroomed over the past year or approach a labour attorney or consultant who may be prepared to work on a contingency basis - payment on results achieved - if consultation fees cannot be afforded.

The employee will be asked what is expected from the arbitration:

  • i to be re-employed - if this is an option
  • ii Compensation - up to 12 months for unfair dismissal
  • iii Monies owed etc.

    Witnesses should be available at the hearing and may be called during the process. Witnesses should write down their version of the events in question and the employee should be sure they are going to support the party who is calling them. Do not fabricate evidence - the commissioner will probably pick this up during the process.

    Affidavits i.e. statements attested to by the witnesses in the presence of a commissioner of oaths should be obtained from supporting parties. This is often preferable to calling them as witnesses. There is a limited time available - 2 to 4 hours and the commissioners have heavy case loads. A well prepared efficiently presented case has a better chance of success than a rambling monologue.

    Enumerate all the points you want to make, state them as briefly as possible and in chronological order. Don't let the pressure get to you and make sure you state all the factors in your favour. Make sure you have evidence to corroborate what you have to say.

    Procedures
    Employees must acquaint themselves of the procedures an Employer had to follow in dismissing them. A Dismissal may be unfair for procedural reasons alone. Employees who are unable to state their cases clearly will be assisted by the commissioner in stating their case.

    The commissioner may caucus with the parties individually to help in reaching a decision. At the commissioner's discretion the proceedings may revert to a conciliation mode.




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