Transcript Slide 1

Strikes
and Lockouts
Halton Cheadle
Outline
• Strike notice
• Issue in dispute
– Matter of mutual interest
– Whether a dispute exists
– Agreement to refer to arbitration
– Lawfulness
• Right to strike
• Unprotected strikes
– Ultimatums
– Collective guilt
– Essential services
– Jurisdiction on strike dismissals
Strike notice
• Strike notice to state employers
– reason for 7 days notice to a state employer is because the state
provides essential and necessary services to the public
– a municipality is a state employer
City of Matlasona v SALGBC
• Factors to determine whether delay requires a fresh notice
– whether union initially embarked on a strike
– the length of the delay
City of Matlasona v SALGBC
Strike notice
• A strike notice must be sufficiently clear in articulating the demands
so that an employer can take an informed decision to resist or
accede
‘Orderly collective bargaining requires that an employer is
entitled to be made aware of the full package of demands, and
that it be placed in a position to assess how its interests should
be best pursued …’
SAA v SATAWU*
*Unreported, Labour Court, Case no J2166/09, 19 October 2009
Strike notice
• SAA v SATAWU
– 6 referrals over 11 months
– Issues: retention bonuses, outsourcing a call centre, use of labour
brokers, inconsistent implementation of discipline, removal of a
manager for assault, unfair treatment of shop stewards, unilateral
reduction of cabin crew complements, refusal to take disciplinary action
against a manager, removal of the CEO
– 4 strike notices 2 of which were withdrawn over a month
– Strike notice: refusal to lawfully remove a manager ‘as well as refusing
to execute petitions and grievances’
– Too vague
Strike notice
• Must the strike notice state who will go on strike?
– Majority of LAC held that:
• it does not have to state who will be going on strike
• non-members can strike in support of a trade union
demand
– Minority held that:
• the notice issued by the union referred to ‘we’ and
therefore only members could strike
• in any event, notice should include who is going on
strike
Equity Aviation v SATAWU (unreported, LAC, JA49/06)
Issue in dispute
• whether a matter of mutual interest
– agreements between a province and a municipality not a matter
of mutual interest
City of Matlosana v SALGBC
• whether regulated by a collective agreement
– agreement with majority union in a BC
– agreement not yet extended by Minister
– until agreement extended, a minority union that did not sign the
agreement entitled to strike
Bravo Group Sleep Products v CEPPWAWU
Issue in dispute
• Whether a dispute exists
SBV Services (Pty) Ltd v MTWUSA
• Whether issue in dispute includes related demands
– the issue in dispute should not be literally interpreted
– a court should look at the substance of the dispute and not
merely at the form in which it was presented
– a court should recognize that disputes may be modified in
negotiations and conciliation
NUMSA v Edelweiss Glass & Aluminium
Issue in dispute
• Agreement to refer to arbitration
– dispute referred to CCMA
– CCMA decides that dispute should be referred to private
arbitration
– Union issues a strike notice
– Labour Court interdicts the strike on the basis that the CCMA did
not have jurisdiction
De Beers Consolidated Mines (Pty) Ltd (Venetia Mine) V NUM
– But is that correct?
Matter of mutual interest
•
A demand for a 20% shareholding constitutes a matter of mutual interest
– courts have always given a wide interpretation to the concept – ‘well
being of the trade’
– courts prefer a generous interpretation if the other interpretation may
limit a constitutional right
– concept is about the creation of new rights or the diminution of existing
rights
– trust to enable the ESOP to participate in BE established by a collective
agreement
– share incentive schemes a common feature of management contracts
Itumele Bus Lines v TAWU & others*
*(2009) 30 ILJ 1099 (LC)
Matter of mutual interest
• Unilateral change to terms and conditions constitutes a matter of
mutual interest
– a technological change to machinery that leads to greater
productivity does not constitute a unilateral change if it does not
affect remuneration, time or effort
– real objective of the strike was to secure an increased bonus for
the increase in productivity therefore strike interdicted
– it may not be a unilateral change but the real objective remains a
matter of mutual interest
Nampak Metal Packaging Ltd t/a Bevcan v NUMSA*
*(2009) 30 ILJ 1610 (LC)
Unilateral alteration of terms and conditions
• Unilateral reduction in cabin crew
complement
• Whether an alteration of terms and
conditions
• No evidence of any changes to contractual
terms eg hours, remuneration etc
• Not an alteration of terms and conditions
SAA v SATAWU
Right to strike
• Waiver
– when can a collective agreement waive the right to strike?
• does it waive or preclude the right to strike?
• is the waiver in the public interest?
• does it clearly waive the right?
• if it does not, any ambiguity should be interpreted against the
purported waiver
SBV Services (Pty) Ltd v MTWUSA
Unprotected strikes
• Factors in determining the fairness of dismissing strikers in
unprotected strikes
– failure of the employer to engage the union on its restructuring
process
– the form in which the ultimatum was given
– the length of the strike
– the extent of economic loss
– whether capable of solution
Professional Transport Workers Union v Fidelity Security
Services
Unprotected strikes
• Factors in determining fairness of dismissal
– reasonableness of the union and strikers’ belief that the strike
was protected
– failure to engage seriously with the union or to approach the
court to determine the legality of the strike
• particularly when it regarded the strike to be legal at its
inception
– ‘in industrial relations terms, folly of the highest order’
NUMSA v Edelweiss Glass & Aluminium (Pty) Ltd*
*Unreported, Labour Court, JS 795/03, 5 June 2009
Unprotected strikes
• Factors in determining fairness of dismissal
– belligerent refusal to return to work despite ultimatums and union
intervention
– failure to attend disciplinary enquiry because of the interdict
preventing access to the premises ‘disingenuous’
– the fact that a distinction was made between those who had
voluntarily participated and those who had been forced to do so
did not amount to inconsistent treatment
SATAWU v Maxi Strategic Alliance (Pty) Ltd*
* (2009) 30 ILJ 1610 (LC)
Ultimatums
• The failure to respond to an ultimatum may lead to a fair
dismissal
NUMSA v SA Truck Bodies (Pty) Ltd
• Not sufficient to issue an ultimatum telephonically
Professional Transport Workers Union v Fidelity
Security Services
Collective guilt
• An employer is required to identify who participated in an
unprotected strike – it cannot just dismiss them without
an enquiry
TAWASU obo Tau & 305 others v Barplats Mine
Essential services
• Application made to Essential Services Committee for a
determination that SARS is an essential service but not
determined
• Union gives notice of its intention to strike
• Employer applies for an interdict
• Interdict refused because regulations make provision for an
urgent procedure in the ESC
SARS v NEHAWU *
* unreported, Labour Court, J 1897/09, 7 September 2009
Strike misconduct
• Assaults, intimidation, incitement and trespass in
the course of a protected strike
• Normally constitutes grounds for dismissal
• Employer allowed the workers to continue to
work for 3 weeks after the strike ended before
instituting disciplinary proceedings
• ‘Trust relationship not destroyed’ and the
‘possibility of counseling might correct behaviour
NUMSA obo Hlela v Jasco Special Cables
Jurisdiction
• Whether jurisdiction is determined by the manner the employee
characterizes the dispute or by the true nature of the dispute
– Dispute referred to BC as a misconduct dismissal.
– Employer contended that the dismissal was for participating in
an unlawful strike and therefore that the BC did not have
jurisdiction to hear the dispute
• Jurisdiction determined by the true reason
– Although employees charged with misconduct, the misconduct
related to participation in an illegal strike
Chuma v Gifio Engineering (Bop) Ltd (2009) 18 MEIBC 1.1.2