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Labour Relations Act

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Department of Labour
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REPUBLIC OF SOUTH AFRICA

No. 66 of 1995: Labour Relations Act as amended by
Labour Relations Amendment Act, No 42 of 1996 Proclamation, No 66 of 1996
Labour Relations Amendment Act, No 127 of 1998 Labour Relations Amendment Act, No 12 of 2002
ACT
To change the law governing labour relations and, f or that purpose,
· to give effect to section 27 of the Constitution;
· to regulate the organisational rights of trade unio ns;
· to promote and facilitate collective bargaining at the workplace and at sectoral level;
· to regulate the right to strike and the recourse to lockout in conformity with the Constitution;
· to promote employee participation in decision,makin g through the establishment of workplace forums;
· to provide simple procedures for the resolution of labour disputes through statutory conciliation, med iation
and arbitration (for which purpose the Commission f or Conciliation, Mediation and Arbitration is established),
and through independent alternative dispute resolut ion services accredited for that purpose;
· to establish the Labour Court and Labour Appeal Cou rt as superior courts, with exclusive jurisdiction to decide
matters arising from the Act;
· to provide for a simplified procedure for the regis tration of trade unions and employers' organisation s, and to
provide for their regulation to ensure democratic p ractices and proper financial control;
· to give effect to the public international law obli gations of the Republic relating to labour relation s;
· to amend and repeal certain laws relating to labour relations; and
· to provide for incidental matters.

BE IT ENACTED by the State President and the Parliament of the R epublic of South Africa, as follows:,
TABLE OF CONTENTS
CHAPTER ONE
Purpose, Application and Interpretation
1. Purpose of this Act
2. Exclusion from application of this Act
3. Interpretation of this Act
CHAPTER TWO
Freedom of Association and General Protections
4. Employees' right to freedom of association
5. Protection of employees and persons seeking employm ent
6. Employers' right to freedom of association
7. Protection of employers' rights
8. Rights of trade unions and employers' organisations
9. Procedure for disputes
10. Burden of proof
CHAPTER THREE
Collective Bargaining
Part A: Organisational Rights
11. Trade union representativeness
12. Trade union access to workplace
13. Deduction of trade union subscriptions or levies
14. Trade union representatives
15. Leave for trade union activities
16. Disclosure of information
17. Restricted rights in domestic sector
18. Right to establish thresholds of representativeness
19. Certain organisational rights for trade union party to council
20. Organisational rights in collective agreements
21. Exercise of rights conferred by this Part
22. Disputes about organisational rights

Part B: Collective Agreements
23. Legal effect of collective agreement
24. Disputes about collective agreements
25. Agency shop agreements

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26.
Closed shop agreements

Part C: Bargaining Council 27. Establishment of bargaining councils
28. Powers and functions of bargaining council
29. Registration of bargaining councils
30. Constitution of bargaining council
31. Binding nature of collective agreement concluded in bargaining council
32. Extension of collective agreement concluded in barg aining council
33. Appointment and powers of designated agents of barg aining councils
34. Amalgamation of bargaining councils

Part D: Bargaining Councils In The Public Service 35. Bargaining councils in public service
36. Public Service Coordinating Bargaining Council
37. Bargaining councils in sectors in public service
38. Dispute resolution committee

Part E: Statutory Councils 39. Application to establish statutory council
40. Establishment and registration of statutory council
41. Establishment and registration of statutory council in absence of agreement
42. Certificate of registration of statutory council
43. Powers and functions of statutory councils
44. Ministerial determinations
45. Disputes about determinations
46. Withdrawal of party from statutory council
47. Appointment of new representative of statutory coun cil
48. Change of status of statutory council

Part F: General Provisions Concerning Councils 49. Representativeness of council
50. Effect of registration of council
51. Dispute resolution functions of council
52. Accreditation of council or appointment of accredit ed agency
53. Accounting records and audits
54. Duty to keep records and provide information to reg istrar
55. Delegation of functions to committee of council
56. Admission of parties to council
57. Changing constitution or name of council
58. Variation of registered scope of council
59. Winding,up of council
60. Winding,up of council by reason of insolvency
61. Cancellation of registration of council
62. Disputes about demarcation between sectors and area s
63. Disputes about Parts A and C to F
CHAPTER FOUR
Strikes and Lock-Outs
64. Right to strike and recourse to lockout
65. Limitations on right to strike or recourse to locko ut
66. Secondary strikes
67. Strike or lockout in compliance with this Act
68. Strike or lockout not in compliance with this Act
69. Picketing
70. Essential services committee
71. Designating a service as an essential service
72. Minimum services
73. Disputes about whether a service is an essential se rvice
74. Disputes in essential services
75. Maintenance services
76. Replacement labour
77. Protest action to promote or defend socio,economic interests of workers
CHAPTER FIVE
Workplace Forums
78. Definitions in this Chapter
79. General functions of workplace forum

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80.
Establishment of workplace forum
81. Trade union based workplace forum
82. Requirements for constitution of workplace forum
83. Meetings of workplace forum
84. Specific matters for consultation
85. Consultation
86. Joint decision,making
87. Review at request of newly established workplace fo rum
88. Matters affecting more than one workplace forum in an employer's operation
89. Disclosure of information
90. Inspection and copies of documents
91. Breach of confidentiality
92. Full,time members of workplace forum
93. Dissolution of workplace forum
94. Disputes about workplace forums
CHAPTER SIX
Trade Unions and Employers’ Organisations

Part A: Registration and Regulation of Trade Unions and Employers’ Organisations
95. Requirements for registration of trade unions or em ployers' organisations
96. Registration of trade unions or employers' organisa tions
97. Effect of registration of trade union or employers' organisation
98. Accounting records and audits
99. Duty to keep records
100. Duty to provide information to registrar
101. Changing constitution or name of registered trade u nions or employers' organisations
102. Amalgamation of trade unions or employers' organisa tions
103. Winding,up of registered trade unions or registered employers' organisations
104. Winding,up of trade unions or employers' organisati ons by reason of insolvency
105. Cancellation of registration of trade union that is no longer independent
106. Cancellation of registration of trade unions or emp loyers' organisations

Part B: Regulation of Federations of Trade Unions a nd Employers’ Organisations
107. Regulation of federations of trade unions or employ ers' organisations

Part C: Registrar of Labour Relations 108. Appointment of registrar of labour relations
109. Functions of registrar
110. Access to information

Part D: Appeals from Registrar’s Decision
111. Appeals from registrar's decision
CHAPTER SEVEN
Dispute Resolution

Part A-Commission for Conciliation, Mediation and A rbitration
112. Establishment of Commission for Conciliation, Media tion and Arbitration
113. Independence of Commission
114. Area of jurisdiction and offices of Commission
115. Functions of Commission
116. Governing body of Commission
117. Commissioners of Commission
118. Director of Commission
119. Acting director of Commission
120. Staff of Commission
121. Establishment of committees of Commission
122. Finances of Commission
123. Circumstances in which Commission may charge fees
124. Contracting by Commission, and Commission working i n association with any person
125. Delegation of governing body's powers, functions an d duties
126. Limitation of liability and limitation on disclosur e of information

Part B: Accreditation of and Subsidy to Councils an d Private Agencies
127. Accreditation of councils and private agencies
128. General provisions relating to accreditation
129. Amendment of accreditation
130. Withdrawal of accreditation

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131.
Application to renew accreditation
132. Subsidy to council or private agency

Part C: Resolution of Disputes under Auspices of Co mmission
133. Resolution of disputes under auspices of Commission
134. Disputes about matters of mutual interest
135. Resolution of disputes through conciliation
136. Appointment of commissioner to resolve dispute thro ugh arbitration
137. Appointment of senior commissioner to resolve dispu te through arbitration
138. General provisions for arbitration proceedings
139. Special provisions for arbitrating disputes in esse ntial services
140. Special provisions for arbitrations about dismissal s for reasons related to conduct or capacity
141. Resolution of disputes if parties consent to arbitr ation under auspices of Commission
142. Powers of commissioner when attempting to resolve d isputes
143. Effect of arbitration awards
144. Variation and rescission of arbitration awards
145. Review of arbitration awards
146. Exclusion of Arbitration Act
147. Performance of dispute resolution functions by Comm ission in exceptional circumstances
148. Commission may provide advice
149. Commission may provide assistance
150. Commission may offer to resolve

Part D: Labour Court
151. Establishment and status of Labour Court
152. Composition of Labour Court
153. Appointment of judges of Labour Court
154. Tenure, remuneration and terms and conditions of ap pointment of Labour Court judges
155. Officers of Labour Court
156. Area of jurisdiction and seat of Labour Court
157. Jurisdiction of Labour Court
158. Powers of Labour Court
159. Rules Board for Labour Courts and rules for Labour Court
160. Proceedings of Labour Court to be carried on in ope n court
161. Representation before Labour Court
162. Costs
163. Service and enforcement of orders of Labour Court
164. Seal of Labour Court
165. Variation and rescission of orders of Labour Court
166. Appeals against judgement or order of Labour Court

Part E: Labour Appeal Court 167. Establishment and status of Labour Appeal Court
168. Composition of Labour Appeal Court
169. Appointment of other judges of Labour Appeal Court
170. Tenure, remuneration and terms and conditions of ap pointment of Labour Appeal Court judges
171. Officers of Labour Appeal Court
172. Area of jurisdiction and seat of Labour Appeal Cour t
173. Jurisdiction of Labour Appeal Court
174. Powers of Labour Appeal Court on hearing of appeals
175. Labour Appeal Court may sit as court of first insta nce
176. Rules for Labour Appeal Court
177. Proceedings of Labour Appeal Court to be carried on in open court
178. Representation before Labour Appeal Court
179. Costs
180. Service and enforcement of orders
181. Seal of Labour Appeal Court
182. Judgements of Labour Appeal Court binding on Labour Court
183. Labour Appeal Court final court of appeal

Part F: General Provisions Applicable To Courts Est ablished By This Act
184. General provisions applicable to courts established by this Act
CHAPTER EIGHT
Unfair Dismissal
185. Right not to be unfairly dismissed
186. Meaning of dismissal
187. Automatically unfair dismissals
188. Other unfair dismissals

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189.
Dismissals based on operational requirements
190. Date of dismissal
191. Disputes about unfair dismissals
192. Onus in dismissal disputes
193. Remedies for unfair dismissal
194. Limits on compensation
195. Compensation is in addition to any other amount
196. Severance pay
197. Transfer of contract of employment
CHAPTER NINE
General Provisions
198. Temporary Employment Services
199. Contracts of employment may not disregard or waive collective agreements or arbitration awards
200. Representation of employees or employers
201. Confidentiality
202. Service of documents
203. Codes of good practice
204. Collective agreement, arbitration award or wage det ermination to be kept by employer
205. Records to be kept by employer
206. Effect of certain defects and irregularities
207. Ministers empowered to add and change to Schedules
208. Regulations
208A. Delegations
209. This Act binds the State
210. Application of Act when in conflict with other laws
211. Amendment of laws
212. Repeal of laws, and transitional arrangements
213. Definitions
214. Short title and commencement
SCHEDULE ONE
Establishment of Bargaining Councils for Public Ser vice

1. Definitions for this Schedule
2. Establishment of Public Service Coordinating Bargai ning Council
3. Establishment of bargaining council in sectors
SCHEDULE TWO
Guidelines for Constitution of Workplace Forum
1. Introduction
2. Number of seats in workplace forums (section 82(1)( a))
3. Distribution of seats to reflect occupational struc ture (section 82(l) (b))
4. Elections (section 82(l)(c), (d), (g), (h), (i) and (j))
5. Terms of office (section 82(l)(k), (1) and (m))
6. Meetings of workplace forum (section 82(l)(n))
7. Time off for members of workplace forum (section 82 (1)(p))
8. Facilities to be provided to workplace forum (secti on 82(l)(r))
9. Experts (section 82(l)(t))
10. Establishment of coordinating and subsidiary workpl ace forums (section 82(2)(b))
SCHEDULE THREE
Commission for Conciliation, Mediation and Arbitrat ion
1. Remuneration and allowances of members of governing body
2. Resignation and removal from office of member of go verning body
3. Vacancies in governing body
4. Proceedings of governing body
5. Director of Commission
6. Bank account
7. Investment of surplus money
8. Accounting and auditing
9. Annual report
SCHEDULE FOUR
Dispute Resolution: Flow Diagrams SCHEDULE FIVE

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Amendment of Laws
1. Amendment of section 1 of Basic Conditions of Emplo yment Act
2. Amendment of section 35 of Occupational Health and Safety Act, 1993
3. Amendment of section 2 of Pension Funds Act, 1956
4. Amendment of section 2 of Medical Schemes Act, 1967
5. Amendment of section 1 of Insurance Act, 1943
6. Amendment of section 2 of Friendly Societies Act, 1 956
7. Amendment of section 3 of Friendly Societies Act, 1 956
SCHEDULE SIX
Laws Repealed By Section 212
SCHEDULE SEVEN
Transitional Arrangements

Part A: Definitions for This Schedule
1. Definitions for this Schedule

Part B: Unfair Labour Practices
2. Residual unfair labour practices
3. Disputes about unfair labour practices
4. Powers of Labour Court and Commission

Part C: Provisions Concerning Existing Trade Unions , Employers’ Organisations, Industrial Councils and
Conciliation Boards
5. Existing registered trade unions and employers' org anisations
6. Pending applications by trade unions or employers' organisations for registration, variation of scope,
alteration of constitution or name
7. Industrial councils
8. Pending applications by industrial councils for reg istration and variation of scope
8A. Pending enquiries by industrial registrar
9. Pending applications by industrial councils for alt eration of constitution or name
10. Pending applications for admission of parties to in dustrial councils
11. Pending applications to wind up and cancel registra tion of trade unions, employers' organisations and
industrial councils
12. Existing agreements and awards of industrial counci ls and conciliation boards
12A. Designated agents
13. Existing agreements including recognition agreement s

Part D: Matters Concerning Public Service
14. Public Service Bargaining Council
15. Collective agreements in the public service
16. Education Labour Relations Council
17. Education sector collective agreements
18. Negotiating Forum in South African Police Service
19. Collective agreements in South African Police Servi ce
20. Consequences for public service bargaining institut ions when Public Service Coordinating Bargaining Co uncil
is established

Part E: Disputes and Courts
21. Disputes arising before commencement of this Act
21A. Dispute resolution by councils before their accredi tation
22. Courts

Part F: Pension Matters 23. Continuation of existing pension rights of staff me mbers of Commission upon assuming employment

Part G: Essential Services 24. Essential services in the public service
25. Essential services provided for in the Labour Relat ions Act
SCHEDULE EIGHT
Code of Good Practice: Dismissal
1. Introduction
2. Fair reasons for dismissal
3. Disciplinary measures short of dismissal
4. Fair procedure
5. Disciplinary records

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6.
Dismissals and industrial action
7. Guidelines in cases of dismissal for misconduct
8. Incapacity: Poor work performance
9. Guidelines in cases of dismissal for poor work perf ormance
10. Incapacity: III health or injury
11. Guidelines in cases of dismissal arising from ill h ealth or injury

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CHAPTER I
PURPOSE, APPLICATION AND INTERPRETATION
1. Purpose of this Act

The purpose of this Act
¹ is to advance economic development, social justice , labour peace and the
democratisation of the workplace by fulfilling the primary objects of this Act, which are,
(a) to give effect to and regulate the fundamental righ ts conferred by section 27 of the
Constitution;
²

(b) to give effect to obligations incurred by the Repub lic as a member state of the International
Labour Organisation;
(c) to provide a framework within which employees and t heir trade unions, employers and
employers' organisations can,
(i) collectively bargain to determine wages, terms and conditions of employment and other
matters of mutual interest; and
(ii) formulate industrial policy; and
(d) to promote,
(i) orderly collective bargaining;
(ii) collective bargaining at sectoral level;
(iii) employee participation in decision,making in the wo rkplace; and

(iv) the effective resolution of labour disputes.
1 An italicised word or phrase indicates that the wor d or phrase is defined in section 213 of this Act.

2 Section 27, which is in the Chapter on Fundamental Rights in the Constitution entrenches the
following rights:

(1) Every person shall have the right to fair lab our practices.
(2) Workers shall have the right to form and join trade unions, and employers shall have the
right to form and join employers' organisations.

(3) Workers and employers shall have the right to organise and bargain collectively.

(4) Workers shall have the right to strike for the purpose of collective bargaining.

(5) Employers' recourse to the lockout for the pur pose of collective bargaining shall not be
impaired, subject to subsection 33(l).

2. Exclusion from application of this Act
This Act does not apply to members of,
(a) the National Defence Force;
(b) the National Intelligence Agency; and
(c) the South African Secret Service.

3. Interpretation of this Act
Any person applying this Act must interpret its pro visions,
(a) to give effect to its primary objects;

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(b)
in compliance with the Constitution; and
(c) in compliance with the public international law obl igations of the Republic.

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CHAPTER II
FREEDOM OF ASSOCIATION AND GENERAL PROTECTIONS
4. Employees’ right to freedom of association
(1) Every employee has the right,
(a) to participate in forming a trade union or federati on of trade unions; and

(b) to join a trade union, subject to its constitution.

(2) Every member of a trade union has the right, subjec t to the constitution of that trade union,

(a) to participate in its lawful activities;
(b) to participate in the election of any of its office ,bearers, officials or trade union representatives;

(c) to stand for election and be eligible for appointme nt as an office bearer or official and, if elected
or appointed, to hold office; and
(d) to stand for election and be eligible for appointme nt as a trade union representative and, if
elected or appointed, to carry out the functions of a trade union representative in terms of this
Act or any collective agreement.
(3) Every member of a trade union that is a member of a federation of trade unions has the right, subject to
the constitution of that federation,
(a) to participate in its lawful activities;

(b) to participate in the election of any of its office ,bearers or officials; and

(c) to stand for election and be eligible for appointme nt as an office,bearer or official and, if elected
or appointed, to hold office.
5. Protection of employees and persons seeking employm ent
(1) No person may discriminate against an employee for exercising any right conferred by this Act.

(2) Without limiting the general protection conferred b y subsection (1), no person may do, or threaten to
do, any of the following,
(a) require an employee or a person seeking employment,

(i) not to be a member of a trade union or workplace fo rum;

(ii) not to become a member of a trade union or workplac e, forum; or

(iii) to give up membership of a trade union or workplace forum;

(b) prevent an employee or a person seeking employment from exercising any right conferred by this
Act or from participating in any proceedings in ter ms of this Act; or

(c) prejudice an employee or a person seeking employmen t because of past, present or anticipated,

(i) membership of a trade union or workplace forum;
(ii) participation in forming a trade union or federatio n of trade unions or establishing a
workplace forum;
(iii) participation in the lawful activities of a trade u nion, federation of trade unions or
workplace forum;
(iv) failure or refusal to do something that an employer may not lawfully permit or require an
employee to do;

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(v)
disclosure of information that the employee is lawf ully entitled or required to give to
another person;
(vi) exercise of any right conferred by this Act; or
(vii) participation in any proceedings in terms of this A ct.

(3) No person may advantage, or promise to advantage, a n employee or a person seeking employment in
exchange for that person not exercising any right c onferred by this Act or not participating in any
proceedings in terms of this Act. However, nothin g in this section precludes the parties to a dispute
from concluding an agreement to settle that dispute .

(4) A provision in any contract, whether entered into b efore or after the commencement of this Act, that
directly or indirectly contradicts or limits any pr ovision of section 4, or this section, is invalid, unless the
contractual provision is permitted by this Act.

6. Employers’ right to freedom of association
(1) Every employer has the right ,
(a) to participate in forming an employers' organisatio n or a federation of employers' organisations;
and
(b) to an employers' organisation, subject to its const itution.

(2) Every member of an employers' organisation has the right, subject to the constitution of that employers'
organisation,
(a) to participate in its lawful activities;
(b) to participate in the election of any of its office ,bearers or officials; and

(c) if,
(i) a natural person, to stand for election and be elig ible for appointment as an office,bearer
or official and, if elected or appointed, to hold o ffice;

(ii) a juristic person, to have a representative stand f or election, and be eligible for
appointment, as an office,bearer or official and, i f elected or appointed, to hold office.

(3) Every member of an employers' organisation that is a member of a federation of employers'
organisations has the right, subject to the constit ution of that federation,

(a) to participate in its lawful activities;
(b) to participate in the election of any of its office ,bearers or officials; and

(c) if –

(i) a natural person, to stand for election and be elig ible for appointment as an office,bearer
or official and, if elected or appointed, to hold o ffice; or

(ii) a juristic person, to have a representative stand f or election, and be eligible for
appointment, as an office,bearer or official and, i f elected or appointed, to hold office.

7. Protection of employers’ rights
(1) No person may discriminate against an employer for exercising any right conferred by this Act.

(2) Without limiting the general protection conferred b y subsection (1), no person may do, or threaten to
do, any of the following,
(a) require an employer,
(i) not to be a member of an employers' organisation;
(ii) not to become a member of an employers' organisatio n; or

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(iii)
to give up membership of an employers' organisation ;

(b) prevent an employer from exercising any right confe rred by this Act or from participating in any
proceedings in terms of this Act; or
(c) prejudice an employer because of past, present or a nticipated,

(i) membership of an employers' organisation;
(ii) participation in forming an employers' organisation or a federation of employers'
organisations;
(iii) participation in the lawful activities of an employ ers' organisation or a federation of
employers' organisations;
(iv) disclosure of information that the employer is lawf ully entitled or required to give to
another person;
(v) exercise of any right conferred by this Act; or
(vi) participation in any proceedings in terms of this A ct.

(3) No person may advantage, or promise to advantage, a n employer in exchange for that employer not
exercising any right conferred by this Act or not p articipating in any proceedings in terms of this Act.
However, nothing in this section precludes the part ies to a dispute from concluding an agreement to
settle that dispute.
(4) A provision in any contract, whether entered into b efore or after the commencement of this Act, that
directly or indirectly contradicts or limits any pr ovision of section 6, or this section, is invalid, unless the
contractual provision is permitted by this Act.

8. Rights of trade unions and employers’ organisations
Every trade union and every employers' organisation has the right,
(a) subject to the provisions of Chapter VI –
(i) to determine its own constitution and rules; and
(ii) to hold elections for its office bearers, officials and representatives;

(b) to plan and organise its administration and lawful activities;

(c) to participate in forming a federation of trade uni ons or a federation of employers’ organisations;

(d) to join a federation of trade unions or a federatio n of employers’ organisations, subject to its
constitution, and to participate in its lawful acti vities; and

(e) to affiliate with, and participate in the affairs o f, any international workers' organisation or
international employers' organisation or the Intern ational Labour Organisation, and contribute to,
or receive financial assistance from, those organis ations.

9. Procedure for disputes
G
(1) If there is a dispute about the interpretation or a pplication of any provision of this Chapter, any pa rty to
the dispute may refer the dispute in writing to,
(a) a council, if the parties to the dispute fall withi n the registered scope of that council; or

(b) the Commission, if no council has jurisdiction.
(2) The party who refers the dispute must satisfy the c ouncil or the Commission that a copy of the referral
has been served on all the other parties to the dis pute.

(3) The council or the Commission must attempt to resol ve the dispute through conciliation.

(4) If the dispute remains unresolved, any party to the dispute may refer it to the Labour Court for
adjudication.

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3. See flow diagram No. 1 in Schedule 4.

10. Burden of proof
In any proceedings,
(a) a party who alleges that a right or protection conf erred by this Chapter has been infringed must
prove the facts of the conduct; and
(b) the party who engaged in that conduct must then pro ve that the conduct did not infringe any
provision of this Chapter.

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CHAPTER III
COLLECTIVE BARGAINING
PART A: Organisational Rights

11. Trade union representativeness
In this Part, unless otherwise stated, "representat ive trade union" means a registered trade union, or two or
more registered trade unions acting jointly, that a re sufficiently representative of the employees emp loyed by
an employer in a workplace.

12. Trade union access to workplace
(1) Any office,bearer or official of a representative t rade union is entitled to enter the employer's prem ises
in order to recruit members or communicate with mem bers, or otherwise serve members' interests.

(2) A representative trade union is entitled to hold me etings with employees outside their working hours a t
the employer's premises.
(3) The members of a representative trade union are ent itled to vote at the employer's premises in any
election or ballot contemplated in that trade union 's constitution.

(4) The rights conferred by this section are subject to any conditions as to time and place that are
reasonable and necessary to safeguard life or prope rty or to prevent the undue disruption of work.

13. Deduction of trade union subscriptions or levies
(1) Any employee who is a member of a representative tr ade union may authorise the employer in writing
to deduct subscriptions or levies payable to that t rade union from the employee's wages.

(2) An employer who receives an authorisation in terms of subsection (1) must begin making the authorised
deduction as soon as possible and must remit the am ount deducted to the representative trade union by
not later than the 15th day of the month first foll owing the date each deduction was made.

(3) An employee may revoke an authorisation given in te rms of subsection (1) by giving the employer and
the representative trade union one month's written notice or, if the employee works in the public
service, three months' written notice.
(4) An employer who receives a notice in terms of subse ction (3) must continue to make the authorised
deduction until the notice period has expired and t hen must stop making the deduction.

(5) With each monthly remittance, the employer must giv e the representative trade union,

(a) a list of the names of every member from whose wage s the employer has made the deductions
that are included in the remittance;
(b) details of the amounts deducted and remitted and th e period to which the deductions relate; and

(c) a copy of every notice of revocation in terms of su bsection (3).

14. Trade union representatives
(1) In this section, "representative trade union" means a registered trade union, or two or more registered
trade unions acting jointly, that have as members t he majority of the employees employed by an
employer in a workplace.
(2) In any workplace in which at least 10 members of a representative trade union are employed, those
members are entitled to elect from among themselves ,

(a) if there are 10 members of the trade union employed in the workplace, one trade union
representative;
(b) if there are more than 10 members of the trade unio n employed in the workplace, two trade
union representatives;

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(c)
if there are more than 50 members of the trade unio n employed in the workplace, two trade
union representatives for the first 50 members, plu s a further one trade union representative for
every additional 50 members up to a maximum of seve n trade union representatives;

(d) if there are more than 300 members of the trade uni on employed in the workplace, seven trade
union representatives for the first 300 members, pl us one additional trade union representative
for every 100 additional members up to a maximum of 10 trade union representatives;

(e) if there are more than 600 members of the trade uni on employed in the workplace, 10 trade
union representatives for the first 600 members, pl us one additional trade union representative
for every 200 additional members up to a maximum of 12 trade union representatives; and if
there are more than 1000 members of the trade union employed in the workplace, 12 trade union
representatives for the first 1000 members, plus on e additional trade union representative for
every 500 additional members up to a maximum of 20 trade union representatives.

(3) The constitution of the representative trade union governs the nomination, election, term of office an d
removal from office of a trade union representative .

(4) A trade union representative has the right to perfo rm the following functions,

(a) at the request of an employee in the workplace, to assist and represent the employee in
grievance and disciplinary proceedings;
(b) to monitor the employer's compliance with the workp lace,related provisions of this Act, any law
regulating terms and conditions of employment and a ny collective agreement binding on the
employer;
(c) to report any alleged contravention of the workplac e,related provisions of this Act, any law
regulating terms and conditions of employment and a ny collective agreement binding on the
employer to,
(i) the employer;
(ii) the representative trade union; and
(iii) any responsible authority or agency; and
(d) to perform any other function agreed to between the representative trade union and the
employer.
(5) Subject to reasonable conditions, a trade union rep resentative is entitled to take reasonable time off
with pay during working hours,
(a) to perform the functions of a trade union represent ative; and

(b) to be trained in any subject relevant to the perfor mance of the functions of a trade union
representative.

15. Leave for trade union activities
(1) An employee who is an office,bearer of a representa tive trade union, or of a federation of trade unions
to which the representative trade union is affiliat ed, is entitled to take reasonable leave during wor king
hours for the purpose of performing the functions o f that office.

(2) The representative trade union and the employer may agree to the number of days of leave, the number
of days of paid leave and the conditions attached t o any leave.

(3) An arbitration award in terms of section 21(7) regu lating any of the matters referred to in subsection (2)
remains in force for 12 months from the date of the award.

16. Disclosure of information
(1) For the purposes of this section, "representative t rade union" means a registered trade union, or two or
more registered trade unions acting jointly, that h ave as members the majority of the employees
employed by an employer in a workplace.
(2) Subject to subsection (5), an employer must disclos e to a trade union representative all relevant
information that will allow the trade union represe ntative to perform effectively the functions referred to

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in section 14(4).
(3) Subject to subsection (5), whenever an employer is consulting or bargaining with a representative trade
union, the employer must disclose to the representa tive trade union all relevant information that will
allow the representative trade union to engage effe ctively in consultation or collective bargaining.

(4) The employer must notify the trade union representa tive or the representative trade union in writing if
any information disclosed in terms of subsection (2 ) or (3) is confidential.

(5) An employer is not required to disclose information ,

(a) that is legally privileged;
(b) that the employer cannot disclose without contraven ing a prohibition imposed on the employer by
any law or order of any court;
(c) that is confidential and, if disclosed, may cause s ubstantial harm to an employee or the
employer; or
(d) that is private personal information relating to an employee, unless that employee consents to
the disclosure of that information.
(6) If there is a dispute about what information is req uired to be disclosed in terms of this section, any party
to the dispute may refer the dispute in writing to the Commission.

(7) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(8) The Commission must attempt to resolve the dispute through conciliation.

(9) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration.
(10) In any dispute about the disclosure of information contemplated in subsection (6), the commissioner
must first decide whether or not the information is relevant.

(11) If the commissioner decides that the information is relevant and if it is information contemplated in
subsection (5)(c) or (d), the commissioner must bal ance the harm that the disclosure is likely to cause
to an employee or employer against the harm that th e failure to disclose the information is likely to
cause to the ability of a trade union representativ e to perform effectively the functions referred to in
section 14(4) or the ability of a representative tr ade union to engage effectively in consultation or
collective bargaining.
(12) If the commissioner decides that the balance of har m favours the disclosure of the information, the
commissioner may order the disclosure of the inform ation on terms designed to limit the harm likely to
be caused to the employee or employer.
(13) When making an order in terms of subsection (I 2), the commissioner must take into account any
breach of confidentiality in respect of information disclosed in terms of this section at that workplace and
may refuse to order the disclosure of the informati on or any other confidential information which migh t
otherwise be disclosed for a period specified in th e arbitration award.

(14) In any dispute about an alleged breach of confident iality, the commissioner may order that the right to
disclosure of information in that workplace be with drawn for a period specified in the arbitration award.

17. Restricted rights in domestic sector
(1) For the purposes of this section, "domestic sector" means the employment of employees engaged in
domestic work in their employers' homes or on the p roperty on which the home is situated.

(2) The rights conferred on representative trade unions by this Part in so far as they apply to the domestic
sector are subject to the following limitations,
(a) the right of access to the premises of the employer conferred by section 12 on an office,bearer or
official of a representative trade union does not i nclude the right to enter the home of the
employer, unless the employer agrees; and
(b) the right to the disclosure of information conferre d by section 16 does not apply in the domestic
sector.

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18.
Right to establish thresholds of representativeness
(1) An employer and a registered trade union whose memb ers are a majority of the employees employed by
that employer in a workplace, or the parties to a b argaining council, may conclude a collective
agreement establishing a threshold of representativ eness required in respect of one or more of the
organisational rights referred to in sections 12, 1 3 and 15.

(2) A collective agreement concluded in terms of subsec tion (1) is not binding unless the thresholds of
representativeness in the collective agreement are applied equally to any registered trade union seeking
any of the organisational rights referred to in tha t subsection.

19. Certain organisational rights for trade union party to council
Registered trade unions that are parties to a counc il automatically have the rights contemplated in sections 12
and 13 in respect of all workplaces within the regi stered scope of the council regardless of their
representativeness in any particular workplace.

20. Organisational rights in collective agreements
Nothing in this Part precludes the conclusion of a collective agreement that regulates organisational rights.

21. Exercise of rights conferred by this Part
4
(1) Any registered trade union may notify an employer i n writing that it seeks to exercise one or more of the
rights conferred by this Part in a workplace.
(2) The notice referred to in subsection (1) must be ac companied by a certified copy of the trade unions
certificate of registration and must specify,
(a) the workplace in respect of which the trade union s eeks to exercise the rights;

(b) the representativeness of the trade union in that w orkplace, and the facts relied upon to
demonstrate that it is a representative trade union ; and

(c) the rights that the trade union seeks to exercise a nd the manner in which it seeks to exercise
those rights.
(3) Within 30 days of receiving the notice, the employe r must meet the registered trade union and
endeavour to conclude a collective agreement as to the manner in which the trade union will exercise
the rights in respect of that workplace.
(4) If a collective agreement is not concluded, either the registered trade union or the employer may refe r
the dispute in writing to the Commission.
(5) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on the other party to the dispute.
(6) The Commission must appoint a commissioner to attem pt to resolve the dispute through conciliation.

(7) If the dispute remains unresolved, either party to the dispute may request that the dispute be resolve d
through arbitration.
(8) If the unresolved dispute is about whether or not t he registered trade union is a representative trade
union, the commissioner,
(a) must seek
(i) to minimise the proliferation of trade union repres entation in a single workplace and,
where possible, to encourage a system of a represen tative trade union in a workplace; and

(ii) to minimise the financial and administrative burden of requiring an employer to grant
organisational rights to more than one registered t rade union;

(b) must consider,
(i) the nature of the workplace;

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(ii)
the nature of the one or more organisational rights that the registered trade union seeks
to exercise;
(iii) the nature of the sector in which the workplace is situated; and

(iv) the organisational history at the workplace or any other workplace of the employer; and

(c) may withdraw any of the organisational rights confe rred by this Part and which are exercised by
any other registered trade union in respect of that workplace, if that other trade union has ceased
to be a representative trade union.
(9) In order to determine the membership or support of the registered trade union, the commissioner may,

(a) make any necessary inquiries;
(b) where appropriate, conduct a ballot of the relevant employees; and

(c) take into account any other relevant information.
(10) The employer must cooperate with the commissioner w hen the commissioner acts in terms of subsection
(9), and must make available to the commissioner an y information and facilities that are reasonably
necessary for the purposes of that subsection.
(11) An employer who alleges that a trade union is no lo nger a representative trade union may apply to the
Commission to withdraw any of the organisational ri ghts conferred by this Part, in which case the
provisions of subsections (5) to (10) apply, read w ith the changes required by the context.

4. See flow diagram No. 2 in Schedule 4.

22. Disputes about organisational rights
(1) Any party to a dispute about the interpretation or application of any provision of this Part, other than a
dispute contemplated in section 21, may refer the d ispute in writing to the Commission.

(2) The party who refers a dispute to the Commission mu st satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(3) The Commission must attempt to resolve the dispute through conciliation.

(4) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration as soon as possible.

Part B: Collective Agreements

23. Legal effect of collective agreement
(1) A collective agreement binds,
(a) the parties to the collective agreement;
(b) each party to the collective agreement and the memb ers of every other I party to the collective
agreement, in so far as the provisions are applicab le between them;

(c) the members of a registered trade union and the emp loyers who are members of a registered
employers' organisation that are party to the colle ctive agreement if the collective agreement
regulates,
(i) terms and conditions of employment; or
(ii) the conduct of the employers in relation to their e mployees or the conduct of the
employees in relation to their employers;
(d) employees who are not members of the registered tra de union or trade unions party to the
agreement if,
(i) the employees are identified in the agreement;

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(ii)
the agreement expressly binds the employees; and
(iii) that trade union or those trade unions have as thei r members the majority of employees
employed by the employer in the workplace.
(2) A collective agreement binds for the whole period o f the collective agreement every person bound in
terms of subsection (1)(c) who was a member at the time it became binding, or who becomes a member
after it became binding, whether or not that person continues to be a member of the registered trade
union or registered employers' organisation for the duration of the collective agreement.

(3) Where applicable, a collective agreement varies any contract of employment between an employee and
employer who are both bound by the collective agree ment.

(4) Unless the collective agreement provides otherwise, any party to a collective agreement that is
concluded for an indefinite period may terminate th e agreement by giving reasonable notice in writing to
the other parties.

24. Disputes about collective agreements
(1) Every collective agreement, excluding an agency sho p agreement concluded in terms of section 25 or a
closed shop agreement concluded in terms of section 26 or a settlement agreement contemplated in
either section 142A or 158(1)(c), must provide for a procedure to resolve any dispute about the
interpretation or application of the collective agr eement. The procedure must first require the partie s to
attempt to resolve the dispute through conciliation and, if the dispute remains unresolved, to resolve it
through arbitration.
(2) If there is a dispute about the interpretation or a pplication of a collective agreement, any party to the
dispute may refer the dispute in writing to the Com mission if,

(a) the collective agreement does not provide for a pro cedure as required by subsection (1);

(b) the procedure provided for in the collective agreem ent is not operative; or

(c) any party to the collective agreement has frustrate d the resolution of the dispute in terms of the
collective agreement.
(3) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(4) The Commission must attempt to resolve the dispute through conciliation.

(5) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration.
5

(6) If there is a dispute about the interpretation or a pplication of an agency shop agreement concluded in
terms of section 25 or a closed shop agreement conc luded in terms of section 26, any party to the
dispute may refer the dispute in writing to the Com mission, and subsections (3) to (5) will apply to that
dispute.
6

(7) Any person bound by an arbitration award about the interpretation or application of section 25(3)(c) and
(d) or section 26(3)(d) may appeal against that awa rd to the Labour Court.

(8) If there is a dispute about the interpretation or a pplication of the settlement agreement contemplated in
either section 142(A) or 158(1)(c), a party may ref er the dispute to a council or the Commission and
subsections (3) to (5), with the necessary changes, apply to that dispute.

5. See flow diagram No. 3 in Schedule 4.
6. See flow diagram No. 4 in Schedule 4.

25. Agency shop agreements
(1) A representative trade union and an employer or emp loyers' organisation may conclude a collective
agreement, to be known as an agency shop agreement, requiring the employer to deduct an agreed
agency fee from the wages of employees identified i n the agreement who are not members of the trade
union but are eligible for membership thereof.

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(2)
For the purposes of this section, "representative t rade union" means a registered trade union, or two or
more registered trade unions acting jointly, whose members are a majority of the employees employed,

(a) by an employer in a workplace; or
(b) by the members of an employers' organisation in a s ector and area in respect of which the
agency shop agreement applies.
(3) An agency shop agreement is binding only if it prov ides that,

(a) employees who are not members of the representative trade union are not compelled to become
members of that trade union;
(b) the agreed agency fee must be equivalent to, or les s than,

(i) the amount of the subscription payable by the membe rs of the representative trade union;

(ii) if the subscription of the representative trade uni on is calculated as a percentage of an
employee's salary, that percentage; or
(iii) if there are two or more registered trade unions pa rty to the agreement, the highest
amount of the subscription that would apply to an e mployee;

(c) the amount deducted must be paid into a separate ac count administered by the representative
trade union; and
(d) no agency fee deducted may be,
(i) paid to a political party as an affiliation fee;
(ii) contributed in cash or kind to a political party or a person standing for election to any
political office; or
(iii) used for any expenditure that does not advance or p rotect the socio,economic interests of
employees.
(4) (a) Despite the provisions of any law or contra ct, an employer may deduct the agreed agency fee
from the wages of an employee without the employee' s authorisation.

(b) Despite subsection 3(c) a conscientious objector ma y request the employer to pay the amount
deducted from that employee's wages into a fund adm inistered by the Department of Labour.

(5) The provisions of sections 98 and 100(b) and (c) ap ply, read with the changes required by the context,
to the separate account referred to in subsection ( 3)(c).

(6) Any person may inspect the auditor's report, in so far as it relates to an account referred to in
subsection (3)(c), in the registrar's office.
(7) The registrar must provide a certified copy of, or extract from, any of the documents referred to in
subsection (6) to any person who has paid the presc ribed fees.

(8) An employer or employers' organisation that alleges that a trade union is no longer a representative
trade union in terms of subsection (1) must give th e trade union written notice of the allegation, and
must allow the trade union 90 days from the date of the notice to establish that it is a representative
trade union.
(9) If, within the 90,day period, the trade union fails to establish that it is a representative trade union, the
employer must give the trade union and the employee s covered by the agency shop agreement 30 days'
notice of termination, after which the agreement wi ll terminate.

(10) If an agency shop agreement is terminated, the prov isions of subsection (3)(c) and (d) and (5) apply
until the money in the separate account is spent.

26. Closed shop agreements
(1) A representative trade union and an employer or emp loyers' organisation may conclude a collective
agreement, to be known as a closed shop agreement, requiring all employees covered by the agreement
to be members of the trade union.

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(2)
For the purposes of this section, "representative t rade union" means a registered trade union, or two or
more registered trade unions acting Jointly, whose members are a majority of the employees employed,

(a) by an employer in a workplace; or
(b) by the members of an employers' organisation in a s ector and area in respect of which the closed
shop agreement applies.
(3) A closed shop agreement is binding only if,
(a) a ballot has been held of the employees to be cover ed by the agreement;

(b) two thirds of the employees who voted have voted in favour of the agreement;

(c) there is no provision in the agreement requiring me mbership of the representative trade union
before employment commences; and
(d) it provides that no membership subscription or levy deducted may be,

(i) paid to a political party as an affiliation fee;
(ii) contributed in cash or kind to a political party or a person standing for election to any
political office; or
(iii) used for any expenditure that does not advance or p rotect the socio,economic interests of
employees.
(4) Despite subsection (3)(b), a closed shop agreement contemplated in subsection (2)(b) may be
concluded between a registered trade union and a re gistered employers' organisation in respect of a
sector and area to become binding in every workplac e in which,

(a) a ballot has been held of the employees to be cover ed by the agreement; and

(b) two thirds of the employees who voted have voted in favour of the agreement.

(5) No trade union that is party to a closed shop agree ment may refuse an employee membership or expel
an employee from the trade union unless,
(a) the refusal or expulsion is in accordance with the trade union's constitution; and

(b) the reason for the refusal or expulsion is fair, in cluding, but not limited to, conduct that
undermines the trade union's collective exercise of its rights.

(6) It is not unfair to dismiss an employee,
(a) for refusing to join a trade union party to a close d shop agreement;

(b) who is refused membership of a trade union party to a closed shop agreement if the refusal is in
accordance with the provisions of subsection (5); o r

(c) who is expelled from a trade union party to a close d shop agreement if the expulsion is in
accordance with the provisions of subsection (5).
(7) Despite subsection (6),
(a) the employees at the time a closed shop agreement t akes effect may not be dismissed for
refusing to Join a trade union party to the agreeme nt; and

(b) employees may not be dismissed for refusing to join a trade union party to the agreement on
grounds of conscientious objection.
(8) The employees referred to in subsection (7) may be required by the closed shop agreement to pay an
agreed agency fee, in which case the provisions of section 25(3)(b), (c) and (d) and (4) to (7) apply.

(9) If the Labour Court decides that a dismissal is unf air because the refusal of membership of or the
expulsion from a trade union party to a closed shop agreement was unfair, the provisions of Chapter
VIII apply, except that any order of compensation i n terms of that Chapter must be made against the
trade union.

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(10)
A registered trade union that represents a signific ant interest in, or a substantial number of, the
employees covered by a closed shop agreement may no tify the parties to the agreement of its intention
to apply to become a party to the agreement and, wi thin 30 days of the notice, the employer must
convene a meeting of the parties and the registered trade union in order to consider the application.

(11) If the parties to a closed shop agreement do not ad mit the registered trade union as a party, the trade
union may refer the dispute in writing to the Commi ssion.

(12) The registered trade union must satisfy the Commiss ion that a copy of the referral has been served on
all the parties to the closed shop agreement.
(13) The Commission must attempt to resolve the dispute through conciliation.

(14) If the dispute remains unresolved, any party to the dispute may refer it to the Labour Court for
adjudication.
(15) The representative trade union must conduct a ballo t of the employees covered by the closed shop
agreement to determine whether the agreement should be terminated if,

(a) one third of the employees covered by the agreement sign a petition calling for the termination of
the agreement; and
(b) three years have elapsed since the date on which th e agreement commenced or the last ballot
was conducted in terms of this section.
(16) If a majority of the employees who voted, have vote d to terminate the closed shop agreement, the
agreement will terminate.
(17) Unless a collective agreement provides otherwise, t he ballot referred to in subsections (3)(a) and (15)
must be conducted in accordance with the guidelines published by the Commission.

Part C: Bargaining Councils

27. Establishment of bargaining councils
(1) One or more registered trade unions and one or more registered employers' organisations may establish
a bargaining council for a sector and area by,
(a) adopting a constitution that meets the requirements of section 30; and

(b) obtaining registration of the bargaining council in terms of section 29.

(2) The State may be a party to any bargaining council established in terms of this section if it is an
employer in the sector and area in respect of which the bargaining council is established.

(3) If the State is a party to a bargaining council in terms of subsection (2), any reference to a registe red
employers' organisation includes a reference to the State as a party.

(4) A bargaining council may be established for more th an one sector.

28. Powers and functions of bargaining council
(1) The powers and functions of a bargaining council in relation to its registered scope include the following,

(a) to conclude collective agreements;
(b) to enforce those collective agreements;
(c) to prevent and resolve labour disputes;
(d) to perform the dispute resolution functions referre d to in section 51;

(e) to establish and administer a fund to be used for r esolving disputes;

(f) to promote and establish training and education sch emes;

(g) to establish and administer pension, provident, med ical aid, sick pay, holiday, unemployment and
training schemes or funds or any similar schemes or funds for the benefit of one or more of the

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parties to the bargaining council or their members;

(h) to develop proposals for submission to NEDLAC or an y other appropriate forum on policy and
legislation that may affect the sector and area;
(i) to determine by collective agreement the matters wh ich may not be an issue in dispute for the
purposes of a strike or a lock,out at the workplace ; and

(j) to confer on workplace forums additional matters fo r consultation;

(k) to provide industrial support services within the s ector; and

(l) to extend the services and functions of the bargain ing council to workers in the informal sector
and home workers.
(2) From the date on which the Labour Relations Amendme nt Act, 1998, comes into operation, the
provisions of the laws relating to pension, provide nt or medical aid schemes or funds must be complied
with in establishing any pension, provident or medi cal aid scheme or fund in terms of subsection (1)(g )

(3) The laws relating to pension, provident or medical aid schemes or funds will apply in respect of any
pension, provident or medical aid scheme or fund es tablished in terms of subsection (1)(g) after the
coming into operation of the Labour Relations Amend ment Act, 1998.

29. Registration of bargaining councils
(1) The parties referred to in section 27 may apply for registration of a bargaining council by submitting to
the registrar,
(a) the prescribed form that has been properly complete d;

(b) a copy of its constitution; and
(c) any other information that may assist the registrar to determine whether or not the bargaining
council meets the requirements for registration.
(2) The registrar may require further information in su pport of the application.

(3) As soon as practicable after receiving the applicat ion, the registrar must publish a notice containing the
material particulars of the application in the Gove rnment Gazette and send a copy of the notice to
NEDLAC. The notice must inform the general public that they,

(a) may object to the application on any of the grounds referred to in subsection (4); and

(b) have 30 days from the date of the notice to serve a ny objection on the registrar and a copy on
the applicant.
(4) Any person who objects to the application must sati sfy the registrar that a copy of the objection has
been served on the applicant and that the objection is on any of the following grounds,

(a) the applicant has not complied with the provisions of this section;

(b) the sector and area in respect of which the applica tion is made is not appropriate;

(c) the applicant is not sufficiently representative in the sector and area in respect of which the
application is made.
(5) The registrar may require further information in su pport of the objection.

(6) The applicant may respond to an objection within 14 days of the expiry of the period referred to in
subsection (3)(b), and must satisfy the registrar t hat a copy of that response has been served on the
person who objected.
(7) The registrar, as soon as practicable, must send th e application and any objections, responses and
further information to NEDLAC to consider.
(8) NEDLAC, within 90 days of receiving the documents f rom the registrar, must,

(a) consider the appropriateness of the sector and area in respect of which the application is made;

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(b)
demarcate the appropriate sector and area in respec t of which the bargaining council should be
registered; and
(c) report to the registrar in writing.
(9) If NEDLAC fails to agree on a demarcation as requir ed in subsection (8)(b), the Minister must demarcat e
the appropriate sector and area and advise the regi strar.

(10) In determining the appropriateness of the sector an d area for the demarcation contemplated in
subsection (8)(b), NEDLAC or the Minister must seek to give effect to the primary objects of this Act.

(11) The registrar,
(a) must consider the application and any further infor mation provided by the applicant;

(b) must determine whether,
(i) the applicant has complied with the provisions of t his section;

(ii) the constitution of the bargaining council complies with section 30;

(iii) adequate provision is made in the constitution of t he bargaining council for the
representation of small and medium enterprises;
(iv) the parties to the bargaining council are sufficien tly representative of the sector and area
determined by NEDLAC or the Minister; and
(v) there is no other council registered for the sector and area in respect of which the
application is made; and
(c) if satisfied that the applicant meets the requireme nts for registration, must register the
bargaining council by entering the applicant's name in the register of councils.

(12) If the registrar is not satisfied that the applican t meets the requirements for registration, the regi strar,

(a) must send the applicant a written notice of the dec ision and the reasons for that decision; and

(b) in that notice, must inform the applicant that it h as 30 days from the date of the notice to meet
those requirements.
(13) If, within that 30,day period, the applicant meets those requirements, the registrar must register the
applicant by entering the applicant's name in the r egister of councils.

(14) If, after the 30,day period, the registrar conclude s that the applicant has failed to meet the
requirements for registration, the registrar must,

(a) refuse to register the applicant; and
(b) notify the applicant and any person that objected t o the application of that decision in writing.

(15) After registering the applicant, the registrar must ,

(a) issue a certificate of registration in the applican t's name that must specify the registered scope of
the applicant; and
(b) send the registration certificate and a certified c opy of the registered constitution to the
applicant.
(16) Subsections (3) to (10) and 11(b)(iii) and (iv) do not apply to the registration or amalgamation of
bargaining councils in the public service.

30. Constitution of bargaining council
(1) The constitution of every bargaining council must a t least provide for,

a) the appointment of representatives of the parties t o the bargaining council, of whom half must
be appointed by the trade unions that are party to the bargaining council and the other half by
the employers' organisations that are party to the bargaining council, and the appointment of

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alternates to the representatives;
(b) the representation of small and medium enterprises;

(c) the circumstances and manner in which representativ es must vacate their seats' and the
procedure for replacing them;
(d) rules for the convening and conducting of meetings of representatives, including the quorum
required for, and the minutes to be kept of, those meetings;

(e) the manner in which decisions are to be made; the a ppointment or election of office,bearers and
officials, their functions, and the circumstances a nd manner in which they may be removed from
office;
(f) the establishment and functioning of committees;
(g) the determination through arbitration of any disput e arising between the parties to the bargaining
council about the interpretation or application of the bargaining council's constitution;

(h) the procedure to be followed if a dispute arises be tween the parties to the bargaining council;

(i) the procedure to be followed if a dispute arises be tween a registered trade union that is a party
to the bargaining council, or its members, or both, on the one hand, and employers who belong
to a registered employers' organisation that is a p arty to the bargaining council, on the other
hand;
(j) the procedure for exemption from collective agreeme nts;

(k) the banking and investment of its funds;
(l) the purposes for which its funds may be used;
(m) the delegation of its powers and functions;
(n) the admission of additional registered trade unions and registered employers' organisations as
parties to the bargaining council, subject to the p rovisions of section 56;
7

(o) a procedure for changing its constitution; and
(p) a procedure by which it may resolve to wind up.
(2) The requirements for the constitution of a bargaini ng council in subsection (1) apply to the constitution
of a bargaining council in the public service excep t that,

(a) any reference to an "employers' organisation" must be read as a reference to the State as
employer; and
(b) the requirement in subsection (1)(b) concerning the representation of small and medium
enterprises does not apply.
(3) The constitution of the Public Service Co,ordinatin g Bargaining Council must include a procedure for
establishing a bargaining council in a sector of th e public service designated in terms of section 37( l).

(4) The constitution of a bargaining council in the pub lic service may include provisions for the
establishment and functioning of chambers of a barg aining council on national and regional levels.

(5) The procedures for the resolution of disputes refer red to in subsection (1)(h), (i) and (j) may not entrust
dispute resolution functions to the Commission unle ss the governing body of the Commission has agreed
thereto.

7. Section 56 provides for a procedure for the admi ssion of parties to a council.
31. Binding nature of collective agreement concluded in bargaining council
Subject to the provisions of section 32 and the con stitution of the bargaining council, a collective agreement
concluded in a bargaining council binds – (a) the parties to the bargaining council who are also parties to the collective agreement;

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(b)
each party to the collective agreement and the memb ers of every other party to the collective
agreement in so far as the provisions thereof apply to the relationship between such a party and
the members of such other party; and
(c) the members of a registered trade union that is a p arty to the collective agreement and the
employers who are members of a registered employers ’ organisation that is such a party, if the
collective agreement regulates,
(i) terms and conditions of employment; or
(ii) the conduct of the employers in relation to their e mployees or the conduct of the
employees in relation to their employers.

32. Extension of collective agreement concluded in barg aining council
(1) A bargaining council may ask the Minister in writin g to extend a collective agreement concluded in the
bargaining council to any non,parties to the collec tive agreement that are within its registered scope and
are identified in the request, if at a meeting of t he bargaining council ,

(a) one or more registered trade unions whose members c onstitute the majority of the members of
the trade unions that are party to the bargaining c ouncil vote in favour of the extension; and

(b) one or more registered employers' organisations, wh ose members employ the majority of the
employees employed by the members of the employers' organisations that are party to the
bargaining council, vote in favour of the extension .

(2) Within 60 days of receiving the request, the Minist er must extend the collective agreement, as
requested, by publishing a notice in the Government Gazette declaring that, from a specified date and
for a specified period, the collective agreement wi ll be binding on the non,parties specified in the notice.

(3) A collective agreement may not be extended in terms of subsection (2) unless the Minister is satisfied
that,
(a) the decision by the bargaining council to request t he extension of the collective agreement
complies with the provisions of subsection (1);
(b) the majority of all the employees who, upon extensi on of the collective agreement, will fall within
the scope of the agreement, are members of the trad e unions that are parties to the bargaining
council;
(c) the members of the employers' organisations that ar e parties to the bargaining council will, upon
the extension of the collective agreement, be found to employ the majority of all the employees
who fall within the scope of the collective agreeme nt;

(d) the non,parties specified in the request fall withi n the bargaining council's registered scope;

(e) provision is made in the collective agreement for a n independent body to hear and decide, as
soon as possible, any appeal brought against ,
(i) the bargaining council’s refusal of a non,party’s a pplication for exemption from the
provisions of the collective agreement;
(ii) the withdrawal of such an exemption by the bargaini ng council;

(f) the collective agreement contains criteria that mus t be applied by the independent body when it
considers an appeal, and that those criteria are fa ir and promote the primary objects of this Act;
and
(g) the terms of the collective agreement do not discri minate against non,parties.

(4) [Deleted] (5) Despite subsection (3)(b) and (c), the Minister may extend a collective agreement in terms of subsection
(2) if –
(a) the parties to the bargaining council are sufficien tly representative within the registered scope of
the bargaining council; and

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(b)
the Minister is satisfied that failure to extend th e agreement may undermine collective bargaining
at sectoral level or in the public service as a who le.

(6) (a) After a notice has been published in terms of subsection (2), the Minister, at the request of the
bargaining council, may publish a further notice in the Government Gazette
(i) extending the period specified in the earlier notic e by a further period determined by the
Minister; or
(ii) if the period specified in the earlier notice has e xpired, declaring a new date from which,
and a further period during which, the provisions o f the earlier notice will be effective.

(b) The provisions of subsections (3) and (5), read wit h the changes required by the context, apply in
respect of the publication of any notice in terms o f this subsection.

(7) The Minister, at the request of the bargaining coun cil, must publish a notice in the Government Gazett e
cancelling all or part of any notice published in t erms of subsection (2) or (6) from a date specified in
the notice.
(8) Whenever any collective agreement in respect of whi ch a notice has been published in terms of
subsection (2) or (6) is amended, amplified or repl aced by a new collective agreement, the provisions of
this section apply to that new collective agreement .

(9) For the purposes of extending collective agreements concluded in the Public Service Co,ordinating
Bargaining Council or any bargaining council contem plated in section 37(3) or (4),

(a) any reference in this section to an employers’ orga nisation must be read as a reference to the
State as employer; and
(b) subsections (3)(c), (e) and (f) and (4) of this sec tion will not apply.

(10) If the parties to a collective agreement that has b een extended in terms of this section terminate the
agreement, they must notify the Minister in writing .

33. Appointment and powers of designated agents of barg aining councils
(1) The Minister may, at the request of a bargaining co uncil, appoint any person as the designated agent o f
that bargaining council to promote, monitor and enf orce compliance with any collective agreement
concluded in that bargaining council.
(1A) A designated agent may –
(a) secure compliance with the council’s collective agr eements by –

(i) publicising the contents of the agreements;
(ii) conducting inspections;
(iii) investigating complaints; or
(iv) any other means the council may adopt; and
(b) perform any other functions that are conferred or i mposed on the agent by the council.

(2) A bargaining council must provide each designated a gent with a certificate signed by the secretary of the
bargaining council stating that the agent has been appointed in terms of this Act as a designated agen t of
that bargaining council.
(3) Within the registered scope of the bargaining counc il, a designated agent of the bargaining council has all
the powers set out in Schedule 10.
(4) The bargaining council may cancel the certificate p rovided to a designated agent in terms of subsectio n
(2) and the agent then ceases to be a designated ag ent of the bargaining council and must immediately
surrender the certificate to the secretary of the b argaining council.

33A. Enforcement of collective agreements by bargaining councils
(1) Despite any other provision in this Act, a bargaini ng council may monitor and enforce compliance with
its collective agreements in terms of this section or a collective agreement concluded by the parties to

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the council.
(2) For purposes of this section, a collective agreemen t is deemed to include –

(a) any basic condition of employment which in terms of section 49(1) of the Basic Conditions of
Employment Act constitutes a term of employment of any employee c overed by the collective
agreement; and
(b) the rules of any fund or scheme established by the bargaining council.

(3) A collective agreement in terms of this section may authorise a designated agent appointed in terms of
section 33 to issue a compliance order requiring an y person bound by that collective agreement to
comply with the collective agreement within a speci fied period.

(4) (a) The council may refer any unresolved dispute co ncerning compliance with any provision of a
collective agreement to arbitration by an arbitrato r appointed by the council.

(b) If a party to an arbitration in terms of this secti on, that is not a party to the council, objects to
the appointment of an arbitrator in terms of paragr aph (a), the Commission, on request by the
council, must appoint an arbitrator.
(c) If an arbitrator is appointed in terms of subparagr aph (b) –

(i) the Council remains liable for the payment of the a rbitrator’s fee; and

(ii) the arbitration is not conducted under the auspices of the Commission.

(5) An arbitrator conducting an arbitration in terms of this section has the powers of a commissioner in
terms of section 142, read with the changes require d by the context.

(6) Section 138, read with the changes required by the context, applies to any arbitration conducted in
terms of this section.
(7) An arbitrator acting in terms of this section may d etermine any dispute concerning the interpretation or
application of a collective agreement.
(8) An arbitrator conducting an arbitration in terms of this section may make an appropriate award,
including ,
(a) ordering any person to pay any amount owing in term s of a collective agreement;

(b) imposing a fine for a failure to comply with a coll ective agreement in accordance with subsection
(13);
(c) charging a party an arbitration fee;
(d) ordering a party to pay the costs of the arbitratio n;

(e) confirming, varying or setting aside a compliance o rder issued by a designated agent in
accordance with subsection (4)
(f) any award contemplated in section 138(9).
(9) Interest on any amount that a person is obliged to pay in terms of a collective agreement accrues from
the date on which the amount was due and payable at the rate prescribed in terms of section 1 of the
Prescribed Rate of Interest Act, 1975 (Act No. 55 o f 1975), unless the arbitration award provides
otherwise.
(10) An award in an arbitration conducted in terms of th is section is final and binding and may be enforced in
terms of section 143.
(11) Any reference in section 138 or 142 to the director must be read as a reference to the secretary of the
bargaining council.
(12) If an employer, upon whom a fine has been imposed i n terms of this section, files an application to
review and set aside an award made in terms of subs ection (8), any obligation to pay a fine is
suspended pending the outcome of the application.

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(13)
(a) The Minister may, after consulting NEDLAC, publish in the Government Gazette a notice that set s
out the maximum fines that may be imposed by an arb itrator acing in terms of this section.
(b) A notice in terms of paragraph (a) may specify the maximum fine that may be imposed –

(i) for a breach of a collective agreement –
(aa) not involving a failure to pay any amount of money;

(ba) involving a failure to pay any amount of money; and

(ii) for repeated breaches of the collective agreement c ontemplated in subparagraph (i).

34. Amalgamation of bargaining councils
(1) Any bargaining council may resolve to amalgamate wi th one or more other bargaining councils.

(2) The amalgamating bargaining councils may apply to t he registrar for registration of the amalgamated
bargaining council and the registrar must treat the application as an application in terms of section 29.

(3) If the registrar has registered the amalgamated bar gaining council, the registrar must cancel the
registration of each of the amalgamating bargaining councils by removing their names from the register
of councils.
(4) The registration of an amalgamated bargaining counc il takes effect from the date that the registrar
enters its name in the register of councils.
(5) When the registrar has registered an amalgamated ba rgaining council,

(a) all the assets, rights, liabilities and obligations of the amalgamating bargaining councils devolve
upon and vest in the amalgamated bargaining council ; and

(b) all the collective agreements of the amalgamating b argaining councils, regardless of whether or
not they were extended in terms of section 32, rema in in force for the duration of those collective
agreements, unless amended or terminated by the ama lgamated bargaining council.

Part D: Bargaining Councils in the Public Service

35. Bargaining councils in public service
There will be a bargaining council for, (a) the public service as a whole, to be known as the P ublic Service Co,ordinating Bargaining
Council; and
(b) any sector within the public service that may be de signated in terms of section 37.

36. Public Service Co-ordinating Bargaining Council

(1) The Public Service Co,ordinating Bargaining Council must be established in accordance with Schedule 1.
8

(2) The Public Service Co,ordinating Bargaining Council may perform all the functions of a bargaining council
in respect of those matters that,
(a) are regulated by uniform rules, norms and standards that apply across the public service; or

(b) apply to terms and conditions of service that apply to two or more sectors; or

(c) are assigned to the State as employer in respect of the public service that are not assigned to the
State as employer in any sector.

8. Schedule 1 deals with the procedure for the es tablishment of the Public Service Co,ordinating Bar gaining
Council.

37. Bargaining councils in sectors in public service
(1) The Public Service Co,ordinating Bargaining Council may, in terms of its constitution and by resolution ,

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(a)
designate a sector of the public service for the es tablishment of a bargaining council; and

(b) vary the designation of, amalgamate or disestablish bargaining councils so established.

(2) A bargaining council for a sector designated in ter ms of subsection (1)(a) must be established in term s
of the constitution of the Public Service Co,ordina ting Bargaining Council.

(3) If the parties in the sector cannot agree to a cons titution for the bargaining council for a sector
designated in terms of subsection (1)(a), the Regis trar must determine its constitution

(4) The relevant resolution made in terms of subsection (1) must accompany any application to register or
vary the registration of a bargaining council or to register an amalgamated bargaining council.

(5) A bargaining council established in terms of subsec tion (2) has exclusive jurisdiction in respect of
matters that are specific to that sector and in res pect of which the State as employer in that sector has
the requisite authority to conclude collective agre ements and resolve labour disputes.

38. Disputes between bargaining councils in public serv ice
(1) If there is a jurisdictional dispute between two or more bargaining councils in the public service,
including the Public Service Co,ordinating Bargaini ng Council, any party to the dispute may refer the
dispute in writing to the Commission.
(2) The party who refers the dispute to the Commission must satisfy the Commission that a copy of the
referral has been served on all other bargaining co uncils that are parties to the dispute.

(3) The Commission must attempt to resolve the dispute as soon as possible through conciliation.

(4) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration by the Commission.

Part E: Statutory Councils

39. Application to establish statutory council
(1) For the purposes of this Part,
(a) "representative trade union" means a registered tra de union, or two or more registered trade
unions acting jointly, whose members constitute at least 30 per cent of the employees in a sector
and area; and
(b) "representative employers' organisation" means a re gistered employers' organisation, or two or
more registered employers' organisations acting joi ntly, whose members employ at least 30 per
cent of the employees in a sector and area.
(2) A representative trade union or representative empl oyers' organisation may apply to the registrar in the
prescribed form for the establishment of a statutor y council in a sector and area in respect of which no
council is registered.
(3) The registrar must apply the provisions of section 29(2) to (10)
9 to the application,

(a) read with the changes required by the context; and

(b) subject to the deletion of the word "sufficiently" in section 29(4)(c).

(4) The registrar must,
(a) consider the application and any further informatio n provided by the applicant; and

(b) determine whether,
(i) the applicant has complied with section 29 and of t his section;

(ii) the applicant is representative of the sector and a rea determined by NEDLAC or the
Minister; and

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(iii)
there is no other council registered for the sector and area in respect of which the
application is made.
(5) If the registrar is not satisfied that the applican t meets the requirements for establishment, the reg istrar
must,
(a) send the applicant a written notice of the decision and the reasons for that decision; and

(b) in that notice, inform the applicant that it has 30 days from the date of the notice to meet those
requirements.
(6) If, after the 30,day period, the registrar conclude s that the applicant has failed to meet the
requirements for establishment, the registrar must,

(a) refuse to register the applicant; and
(b) notify the applicant and any person that objected t o the application in writing of that decision.

40. Establishment and registration of statutory council
(1) If the registrar is satisfied that the applicant me ets the requirements for the establishment of a sta tutory
council, the registrar, by notice in the Government Gazette, must establish the statutory council for a
sector and area.
(2) The notice must invite,
(a) registered trade unions and registered employers' o rganisations in that sector and area to attend
a meeting; and
(b) any interested parties in that sector and area to n ominate representatives for the statutory
council.
(3) The Commission must appoint a commissioner to chair the meeting and facilitate the conclusion of an
agreement on,
(a) the registered trade unions and registered employer s' organisations to be parties to the statutory
council; and
(b) a constitution that meets the requirements of secti on 30, read with the changes required by the
context.
(4) If an agreement is concluded, the Minister may advi se the registrar to register the statutory council in
accordance with the agreement if the Minister is sa tisfied that,

(a) every registered trade union and registered employe rs' organisation that ought to have been
included has been included in the agreement; and
(b) the constitution meets the requirements of section 30, read with the changes required by the
context.
(5) In considering the requirements in subsection (4)(a ), the Minister must take into account,

(a) the primary objects of this Act;
(b) the diversity of registered trade unions and regist ered employers' organisations in the sector and
area; and
(c) the principle of proportional representation.
(6) If the Minister is not satisfied in terms of subsec tion (4), the Minister must advise the Commission o f the
decision and the reasons for that decision and dire ct the Commission to reconvene the meeting in terms
of subsection (3) in order to facilitate the conclu sion of a new agreement.

(7) If advised by the Minister in terms of subsection ( 4), the registrar must register the statutory counc il by
entering its name in the register of councils.

9. The provisions of section 29 deal with the proc edure for the registration of a bargaining council.
41. Establishment and registration of statutory council in absence of agreement

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(1) If no agreement is concluded in terms of section 40 (3), the commissioner must convene separate
meetings of the registered trade unions and employe rs' organisations to facilitate the conclusion of
agreements on,
(a) the registered trade unions to be parties to the st atutory council;

(b) the registered employers' organisations to be parti es to the statutory council; and

(c) the allocation to each party of the number of repre sentatives of the statutory council.

(2) If an agreement is concluded on,
(a) the registered trade unions to be parties to the st atutory council, the Minister must admit as
parties to the statutory council the agreed registe red trade unions;

(b) the registered employers' organisations to be parti es to the statutory council, the Minister must
admit as parties to the statutory council the agree d registered employers' organisations.

(3) If no agreement is concluded on,
(a) the registered trade unions to be parties to the st atutory council, the Minister must admit as
parties to the statutory council,
(i) the applicant, if it is a registered trade union; a nd

(ii) any other registered trade union in the sector and area that ought to be admitted, taking
into account the factors referred to in section 40( 5);

(b) the registered employers' organisations to be parti es to the statutory council, the Minister must
admit as parties to the statutory council,
(i) the applicant, if it is a registered employers' org anisation; and

(ii) any other registered employers' organisation in the sector and area that ought to be
admitted, taking into account the factors referred to in section 40(5).

(4) (a) The Minister must determine an even number of representatives of the statutory council, taking
into account the factors referred to in section 40( 5).

(b) One half of the representatives must be allocated t o the registered trade unions that are parties
to the statutory council and the other half of the representatives must be allocated to the
registered employers' organisations that are partie s to the statutory council.

(5) If no agreement is concluded in respect of the allo cation of the number of representatives of the
statutory council,
(a) between the registered trade unions that are partie s to the council, the Minister must determine
this allocation on the basis of proportional repres entation;

(b) between the registered employers' organisations tha t are parties to the council, the Minister must
determine this allocation on the basis of proportio nal representation and taking into account the
interests of small and medium enterprises.
(6) If the applicant is a trade union and there is no r egistered employers' organisation that is a party t o the
statutory council, the Minister, after consulting t he Commission, must appoint suitable persons as
representatives and alternates, taking into account the nominations received from employers and
employers' organisations in terms of section 40(2).

(7) If the applicant is an employers' organisation and there is no registered trade union that is a party to the
statutory council, the Minister, after consulting t he Commission, must appoint suitable persons as
representatives and alternates, taking into account the nominations received from employees and trade
unions in terms of section 40(2).
(8) The Minister must notify the registrar of agreement s concluded and decisions made in terms of this
section, and the registrar must,

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(a)
adapt the model constitution referred to in section 207(3) to the extent necessary to give effect
to the agreements and decisions made in terms of th is section;

(b) register the statutory council by entering its name in the register of councils; and

(c) certify the constitution as the constitution of the statutory council.

42. Certificate of registration of statutory council
After registering a statutory council, the registra r must ,
(a) issue a certificate of registration that must speci fy the registered scope of the statutory council;
and
(b) send the certificate and a certified copy of the re gistered constitution to all the parties to the
statutory council and any representatives appointed to the statutory council.

43. Powers and functions of statutory councils
(1) The powers and functions of a statutory council are ,

(a) to perform the dispute resolution functions referre d to in section 51;

(b) to promote and establish training and education sch emes; and

(c) to establish and administer pension, provident, med ical aid, sick pay, holiday, unemployment
schemes or funds or any similar schemes or funds fo r the benefit of one or more of the parties to
the statutory council or their members; and
(d) to conclude collective agreements to give effect to the matters mentioned in paragraphs (a), (b),
and (c).
(2) A statutory council, in terms of its constitution, may agree to the inclusion of any of the other func tions
of a bargaining council referred to in section 28.

(3) If a statutory council concludes a collective agree ment in terms of subsection (1)(d), the provisions of
sections 31, 32 and 33 apply, read with the changes required by the context.

(4) (a) From the date on which the Labour Relations Amendment Act, 1998, comes into operation, the
provisions of the laws relating to pension, provide nt or medical aid schemes or funds must be complied
with in establishing any pension, provident or medi cal aid scheme or fund in terms of subsection (1)(c).

(b) The provisions of the laws relating to pension, pro vident or medical aid schemes or funds will
apply in relation to any pension, provident or medi cal aid scheme or fund established in terms of
subsection (1)(c) after the coming into operation o f the Labour Relations Amendment Act, 1998.

44. Ministerial determinations
(1) A statutory council that is not sufficiently repres entative within its registered scope may submit a
collective agreement on any of the matters mentione d in section 43(1)(a), (b) or (c) to the Minister. The
Minister must treat the collective agreement as a r ecommendation made by the Employment Conditions
Commission in terms of section 54(4) of the Basic C onditions of Employment Act.

(2) The Minister may promulgate the statutory council's recommendations as a determination under the
Basic Conditions of Employment Act if satisfied that the statutory council has compli ed with section
54(3) of the Basic Conditions of Employment Act, re ad with the changes required by the context.

(3) The determination must provide for ,
(a) exemptions to be considered by an independent body appointed by the Minister; and

(b) criteria for exemption that are fair and promote th e primary objects of this Act.

(4) The Minister may in a determination impose a levy o n all employers and employees in the registered
scope of the statutory council to defray the operat ional costs of the statutory council.

(5) A statutory council may submit a proposal to the Mi nister to amend or extend the period of any
determination and the Minister may make the amendme nt to the determination or extend the period by
notice in the Government Gazette.

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45.
Disputes about determinations
(1) If there is a dispute about the interpretation or a pplication of a determination promulgated in terms of
section 44(2), any party to the dispute may refer t he dispute in writing to the Commission.

(2) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(3) The Commission must attempt to resolve the dispute through conciliation.

(4) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration.

46. Withdrawal of party from statutory council
(1) If a registered trade union or registered employers ' organisation that is a party to a statutory council
withdraws from that statutory council, the Minister may request the Commission to convene a meeting
of the remaining registered trade unions or registe red employers' organisations in the sector and area ,
in order to facilitate the conclusion of an agreeme nt on the registered trade unions or the registered
employers' organisations to be parties and the allo cation of representatives to the statutory council.

(2) If no agreement is concluded, the provisions of sec tion 41 apply, read with the changes required by th e
context.

47. Appointment of new representative of statutory coun cil
(1) If a representative appointed in terms of section 4 1(6) or (7) for any reason no longer holds office, the
Minister must publish a notice in the Government Ga zette inviting interested parties within the
registered scope of the statutory council to nomina te a new representative.

(2) The provisions of section 41(6) or (7) apply, read with the changes required by the context, in respec t of
the appointment of a new representative.

48. Change of status of statutory council
(1) A statutory council may resolve to apply to registe r as a bargaining council.

(2) The registrar must deal with the application as if it were an application in terms of section 29,
10 except
for section 29(4)(b), (7) to (10) and (15).
(3) If the registrar has registered the statutory counc il as a bargaining council, the registrar must alter the
register of councils and its certificate to reflect its change of status.

(4) Any determination in force at the time of the regis tration of the bargaining council or any agreement
extended by the Minister in terms of section 43(3),

(a) continues to have force for the period of its opera tion unless superseded by a collective
agreement; and
(b) may be extended for a further period.
(5) The bargaining council must perform any function or duty of the statutory council in terms of a
determination during the period in which the determ ination is still in effect.

(6) If any dispute in terms of a determination is unres olved at the time the determination ceases to have
effect, the dispute must be dealt with as if the de termination was still in effect.

10. Section 29 deals with the procedure for the reg istration of bargaining councils.
Part F: General Provisions Concerning Councils

49. Representativeness of council
(1) When considering the representativeness of the part ies to a council, or parties seeking registration of a
council, the registrar, having regard to the nature of the sector and the situation of the area in respect
of which registration is sought, may regard the par ties to a council as representative in respect of the
whole area, even if a trade union or employers' org anisation that is a party to the council has no

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members in part of that area.
(2) A bargaining council, having a collective agreement that has been extended by the Minister in terms of
section 32, must inform the registrar annually, in writing, on a date to be determined by the registra r,
as to the number of employees who are –
(a) covered by the collective agreement;
(b) members of the trade unions that are parties to the agreement;

(c) employed by members of the employers’ organisations that are party to the agreement.

(3) A bargaining council must, on request by the regist rar, inform the registrar in writing within the period
specified in the request as to the number of employ ees who are ,

(a) employed within the registered scope of the council ;

(b) members of the trade unions that are parties to the council;

(c) employed by members of the employers’ organisations that are party to the council.

(4) A determination of the representativeness of a barg aining council in terms of this section is sufficient
proof of the representativeness of the council for the year following the determination.

(5) This section does not apply to the public service.

50. Effect of registration of council
(1) A certificate of registration is sufficient proof t hat a registered council is a body corporate.

(2) A council has all the powers, functions and duties that are conferred or imposed on it by or in terms of
this Act, and it has jurisdiction to exercise and p erform those powers, functions and duties within it s
registered scope.
(3) A party to a council is not liable for any of the o bligations or liabilities of the council by virtue of it being
a party to the council.
(4) A party to, or office,bearer or official of, a coun cil is not personally liable for any loss suffered by any
person as a result of an act performed or omitted i n good faith by a party to, or office,bearer or official
of, a council while performing their functions for the council.

(5) Service of any document directed to a council at th e address most recently provided to the registrar w ill
be for all purposes service of that document on tha t council.

51. Dispute resolution functions of council
(1) In this section, dispute means any dispute about a matter of mutual interest between,

(a) on the one side –
(i) one or more trade unions;

(ii) one or more employees; or
(iii) one or more trade unions and one or more employees; and

(b) on the other side,
(i) one or more employers' organisations;
(ii) one or more employers; or
(iii) one or more employers' organisations and one or mor e employers.

(2) (a)(i) The parties to a council must attempt to re solve any dispute between themselves in
accordance with the constitution of the council.

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(i)
For the purposes of subparagraph (i), a party to a council includes the members of any
registered trade union or registered employers’ org anisation that is a party to the council.

(b) Any party to a dispute who is not a party to a coun cil but who falls within the registered scope of
the council may refer the dispute to the council in writing.

(c) The party who refers the dispute to the council mus t satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(3) If a dispute is referred to a council in terms of t his Act
11 and any party to that dispute is not a party to
that council, the council must attempt to resolve t he dispute ,

(a) through conciliation; and
(b) if the dispute remains unresolved after conciliatio n, the council must arbitrate the dispute if,

(i) this Act requires arbitration and any party to the dispute has requested that it be resolved
through arbitration; or
(ii) all the parties to the dispute consent to arbitrati on under the auspices of the council.

(4) If one or more of the parties to a dispute that has been referred to the council do not fall within the
registered scope of that council, it must refer the dispute to the Commission.

(5) The date on which the referral in terms of subsecti on (4) was received by a council is, for all purposes,
the date on which the council referred the dispute to the Commission.

(6) A council may enter into an agreement with the Comm ission or an accredited agency in terms of which
the Commission or accredited agency is to perform, on behalf of the council, its dispute resolution
functions in terms of this section.
(7) Subject to this Act, a council may not provide in a collective agreement for the referral of disputes to the
Commission, without prior consultation with the dir ector.

(8) Unless otherwise agreed to in a collective agreemen t, sections 142A and 143 to 146 apply to any
arbitration conducted under the auspices of a barga ining council.

(9) A bargaining council may, by collective agreement, establish procedures to resolve any dispute
contemplated in this section.

11. The following disputes contemplated by subsection ( 3) must be referred to a council: disputes about the
interpretation or application of the provisions of Chapter II (see section 9); disputes that form the subject
matter of a proposed strike or lock out (see sectio n 64(1)); disputes in essential services (see section 74);
disputes about unfair dismissals (see section 191); disputes about severance pay (see section 196); an d
disputes about unfair labour practices (see item 2 in Schedule 7).

The following disputes contemplated by subsection ( 3) may not be referred to a council: disputes about
organisational rights (see sections 16, 21 and 22); disputes about collective agreements where the
agreement does not provide for a procedure or the p rocedure is inoperative or any party frustrates the
resolution of the dispute (see section 24(2) to (5) ; disputes about agency shops and closed shops (see
section 24(6) and (7) and section 26(11); disputes about determinations made by the Minister in respec t
of proposals made by a statutory council (see secti on 45); disputes about the interpretation or application
of collective agreements of a council whose registr ation has been cancelled (see section 61 (5) to (8) );
disputes about the demarcation of sectors and areas of councils (see section 62); disputes about the
interpretation or application of Part C (bargaining councils), Part D (bargaining councils in the public
service), Part E (statutory councils) and Part F (g eneral provisions concerning councils) (see section 63);
disputes concerning pickets (see section 69 (8) to (10)); disputes about proposals that are the subjec t of
joint decision,making in workplace forums (see sect ion 86); disputes about the disclosure of information to
workplace forums (see section 89); and disputes abo ut the interpretation or application of the provisions of
Chapter V which deals with workplace forums (see se ction 94).

52. Accreditation of council or appointment of accredit ed agency
(1) With a view to performing its dispute resolution fu nctions in terms of section 51(3), every council mu st –

(a) apply to the governing body of the Commission for a ccreditation to perform those functions; or

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(b)
appoint an accredited agency to perform those of th e functions referred to in section 51(3) for
which the council is not accredited.
(2) The council must advise the Commission in writing a s soon as possible of the appointment of an
accredited agency in terms of subsection (1)(b), an d the terms of that appointment.

53. Accounting records and audits
(1) Every council must, to the standards of generally a ccepted accounting practice, principles and
procedures (a) keep books and records of its income , expenditure, assets and liabilities; and

(b) within six months after the end of each financial y ear, prepare financial statements, including at
least,
(i) a statement of income and expenditure for the previ ous financial year; and

(ii) balance sheet showing its assets, liabilities and f inancial position as at the end of the
previous financial year.
(2) Each council must arrange for an annual audit of it s books and records of account and its financial
statements by an auditor who must,
(a) conduct the audit in accordance with generally acce pted auditing standards; and

(b) report in writing to the council and in that report express an opinion as to whether or not the
council has complied with those provisions of its c onstitution relating to financial matters.

(3) Every council must,
(a) make the financial statements and the auditor's rep ort available to the parties to the council or
their representatives for inspection; and
(b) submit those statements and the auditor's report to a meeting of the council as provided for in its
constitution.
(4) Every council must preserve each of its books of ac count, supporting vouchers, income and expenditure
statements, balance sheets, and auditor's reports, in an original or reproduced form, for a period of
three years from the end of the financial year to w hich they relate.

(5) The money of a council or of any fund established b y a council that is surplus to its requirements or the
expenses of the fund may be invested only in,
(a) savings accounts, permanent shares or fixed deposit s in any registered bank or financial
institution;
(b) internal registered stock as contemplated in sectio n 21 of the Exchequer Act, 1975 (Act No. 66 of
1975);
(c) a registered unit trust; or
(d) any other manner approved by the registrar.
(6) A council must comply with subsections (1) to (5) i n respect of all funds established by it, except funds
referred to in section 28(3).

54. Duty to keep records and provide information to reg istrar
(1) In addition to the records required by section 53(4 ), every council must keep minutes of its meetings, in
an original or reproduced form, for a period of thr ee years from the end of the financial year to whic h
they relate.
(2) Every council must provide to the registrar,
(a) within 30 days of receipt of its auditor's report, a certified copy of that report and of the financia l
statements;
(b) within 30 days of receipt of a written request by t he registrar, an explanation of anything relating
to the auditor's report or the financial statements ;

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(c)
upon registration, an address within the Republic a t which it will accept service of any document
that is directed to it;
(d) within 30 days of any appointment or election of it s national office bearers, the names and work
addresses of those office,bearers, even if their ap pointment or election did not result in any
changes to its office,bearers;
(e) 30 days before a new address for service of documen ts will take effect, notice of that change of
address; and
(f) each year and on a date to be determined by the reg istrar, a report in the prescribed form
specifying ,
(i) the number of employees who are employed by small e nterprises that fall within the
registered scope of the council and the number of e mployees of those enterprises who are
members of trade unions;
(iii) the number of employees employed by small enterpris es that are covered by a collective
agreement that was concluded by the council and ext ended by the minister in terms of
section 2;
(iv) the number of small enterprises that are members of the employers’ organisations that
are parties to the council; and
(v) the number of applications for exemptions received from small enterprises and the
number of applications that were granted and the nu mber rejected.

(3) Every council must provide to the Commission,
(a) certified copies of every collective agreement conc luded by the parties to the council, within 30
days of the signing of that collective agreement; a nd

(b) the details of the admission and resignation of par ties to the council, within 30 days of their
admission or resignation.
(4) If a council fails to comply with any of the provis ions of section 49(2) or (3), section 53 or subsect ions
(1) or (2) of this section, the registrar may , (a) conduct an inquiry into the affairs of that council ;

(b) order the production of the council’s financial rec ords and any other relevant documents;

(c) deliver a notice to the council requiring the counc il to comply with the provisions concerned;

(d) compile a report o the affairs of the council; or
(e) submit the report to the Labour Court in support of any application made in terms of section
59(1)(b).
(5) The registrar may use the powers referred to in sub section (4) in respect of any fund established by a
council, except a fund referred to in section 28(3) .

55. Delegation of functions to committee of council
(1) A council may delegate any of its powers and functi ons to a committee on any conditions, imposed by
the council in accordance with its constitution.
(2) A committee contemplated by subsection (1) must con sist of equal numbers of representatives of
employees and employers.

56. Admission of parties to council
12
(1) Any registered trade union or registered employers' organisation may apply in writing to a council for
admission as a party to that council.
(2) The application must be accompanied by a certified copy of the applicant's registered constitution and
certificate of registration and must include,

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(a)
details of the applicant's membership within the re gistered scope of the council and, if the
applicant is a registered employers' organisation, the number of employees that its members
employ within that registered scope;
(b) the reasons why the applicant ought to be admitted as a party to the council; and

(c) any other information on which the applicant relies in support of the application.

(3) A council, within 90 days of receiving an applicati on for admission, must decide whether to grant or
refuse an applicant admission, and must advise the applicant of its decision, failing which the council is
deemed to have refused the applicant admission.
(4) If the council refuses to admit an applicant it mus t within 30 days of the date of the refusal, advise the
applicant in writing of its decision and the reason s for that decision.

(5) The applicant may apply to the Labour Court for an order admitting it as a party to the council.

(6) The Labour Court may admit the applicant as a party to the council, adapt the constitution of the council
and make any other appropriate order.

12. See flow diagram No. 5 in Schedule 4.
57. Changing constitution or name of council
(1) Any council may resolve to change or replace its co nstitution.

(2) The council must send the registrar a copy of the r esolution and a certificate signed by its secretary
stating that the resolution complies with its const itution.

(3) The registrar must,
(a) register the changed or new constitution of a counc il if it meets the requirements of section 30 or
if it is a statutory council established in terms o f section 41 if it meets the requirements of the
model constitution referred to in section 207(3); a nd

(b) send the council a copy of the resolution endorsed by the registrar, certifying that the change or
replacement has been registered.
(4) The changed or new constitution takes effect from t he date of the registrar's certification.

(5) Any council may resolve to change its name.
(6) The council must send the registrar a copy of the r esolution and the original of its current certificate of
registration.
(7) The registrar must,
(a) enter the new name in the register of councils, and issue a certificate of registration in the new
name of the council;
(b) remove the old name from that register and cancel t he earlier certificate of registration; and

(c) send the new certificate to the council.
(8) The new name takes effect from the date that the re gistrar enters it in the register of councils.

58. Variation of registered scope of council
(1) If the registrar is satisfied that the sector and a rea within which a council is representative does n ot
coincide with the registered scope of the council, the registrar, acting independently or in response to an
application from the council, may vary the register ed scope of the council.

(2) The provisions of section 29 apply, read with the c hanges required by the context, to a variation in
terms of this section.
(3) Despite subsection (2), if within the stipulated pe riod no material objection is lodged to any notice
published by the registrar in terms of section 29(3 ), the registrar ,

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(i)
may vary the registered scope of the council;
(ii) may issue a certificate specifying the scope of the council as varied; and

(iii) need not comply with the procedure prescribed by se ction 29.

59. Winding-up of council
(1) The Labour Court may order a council to be wound up if,

(a) the council has resolved to wind up its affairs and has applied to the Court for an order giving
effect to that resolution; or
(b) the registrar of labour relations or any party to t he council has applied to the Court and the Court
is satisfied that the council is unable to continue to function for any reason that cannot be
remedied.
(2) If there are any persons not represented before the Labour Court whose interests may be affected by an
order in terms of subsection (1), the Court must,
(a) consider those interests before deciding whether or not to grant the order; and

(b) if it grants the order, include provisions in the o rder disposing of each of those interests.

(3) If it makes an order in terms of subsection (1), th e Labour Court may appoint a suitable person as
liquidator, on appropriate conditions.
(4) (a) The registrar of the Labour Court must det ermine the liquidator's fees.

(b) The Labour Court, in chambers, may review the deter mination of the registrar of the Labour
Court.
(c) The liquidator's fees are a first charge against th e assets of the council.

(2) If, after all the liabilities of the council have b een discharged, any assets remain that cannot be di sposed
of in accordance with the constitution of that coun cil, the liquidator must realise those assets and pay
the proceeds to the Commission for its own use.
(3) For the purposes of this section, the assets and li abilities of any pension, provident or medical aid
scheme or fund established by a council will be reg arded and treated as part of the assets and liabilities
of the council unless –
(a) the parties to the council have agreed to continue with the operation of the pension, provident or
medical aid scheme or fund as a separate scheme or fund despite the winding up of the council;
and
(b) the Minister has approved the continuation of the s cheme or fund; and

(c) application has been made in accordance with the pr ovisions of the laws applicable to pension,
provident or medical aid schemes or funds, for the registration of that scheme or fund in terms of
those provisions.
(2A) A pension, provident or medical aid scheme or fund, registered under the provisions of those laws after
its application in terms of subsection 6(c), will c ontinue to be a separate scheme or fund despite the
winding up of the council by which it was establish ed.

(3A) The Minister, by notice in the Government Gazette, may declare the rules of a pension, provident or
medical aid scheme or fund mentioned in subsection (7) to be binding on any employees and employer
or employers that fell within the registered scope of the relevant council immediately before it was
wound up.

60. Winding-up of council by reason of insolvency
Any person who seeks to wind,up a council by reason of insolvency must comply with the Insolvency Act, 1936
(Act No. 24 of 1936), and, for the purposes of this section, any reference to the court in that Act must be
interpreted as referring to the Labour Court.

61. Cancellation of registration of council

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(1)
The registrar of the Labour Court must notify the r egistrar of labour relations if the Court has ordered a
council to be wound up.
(2) When the registrar receives a notice from the Labou r Court in terms of subsection (1), the registrar
must cancel the registration of the council by remo ving its name from the register of councils.

(3) The registrar may notify a council and every party to the council that the registrar is considering
cancelling the council's registration, if the regis trar believes that,

(a) the council has ceased to perform its functions in terms of this Act for a period longer than 90
days before the date of the notice; or
(b) the council has ceased to be representative in term s of the provisions of the relevant Part, for a
period longer than 90 days prior to the date of the notice.

(4) In a notice in terms of subsection (3), the registr ar must state the reasons for the notice and inform the
council and every party to the council that they ha ve 60 days to show cause why the council's
registration should not be cancelled.
(5) After the expiry of the 60,day period, the registra r, unless cause has been shown why the council's
registration should not be cancelled, must notify t he council and every party to the council that the
registration will be cancelled unless an appeal to the Labour Court is noted and the Court reverses th e
decision.
(6) The cancellation takes effect,
(a) if no appeal to the Labour Court is noted within th e time contemplated in section III (3), on the
expiry of that period; or
(b) if the council or any party has appealed and the La bour Court has confirmed the decision of the
registrar, on the date of the Labour Court's decisi on.

(7) If either event contemplated in subsection (6) occu rs, the registrar must cancel the council’s registration
by removing the name of the council from the regist er of councils.

(8) Any collective agreement concluded by parties to a council whose registration has been cancelled,
whether or not the collective agreement has been ex tended to non,parties by the Minister in terms of
section 32, lapses 60 days after the council's regi stration has been cancelled.

(9) Despite subsection (8), the provisions of a collect ive agreement that regulates terms and conditions o f
employment remain in force for one year after the d ate that the council’s registration was cancelled, or
until the expiry of the agreement, if earlier.
(10) Any party to a dispute about the interpretation or application of a collective agreement that regulates
terms and conditions of employment referred to in s ubsection (8) may refer the dispute in writing to the
Commission.
(11) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(12) The Commission must attempt to resolve the dispute through conciliation.

(13) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration.
(14) The registrar must cancel the registration of a bar gaining council in the public service by removing its
name from the register of councils when the registr ar receives a resolution from the Public Service Co,
ordinating Bargaining Council disestablishing a bar gaining council established in terms of section 37(2).

(15) The provisions of subsections (3) to (7) do not app ly to bargaining councils in the public service.

62. Disputes about demarcation between sectors and area s
(1) Any registered trade union, employer, employee, reg istered employers' organisation or council that has
a direct or indirect interest in the application co ntemplated in this section may apply to the Commiss ion
in the prescribed form and manner for a determinati on as to,

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(a)
whether any employee, employer, class of employees or class of employers, is or was employed
or engaged in a sector or area;
(b) whether any provision in any arbitration award, col lective agreement or wage determination
made in terms of the Wage Act is or was binding on any employee, employer, class of employees
or class of employers.
(2) If two or more councils settle a dispute about a qu estion contemplated in subsection (1)(a) or (b), th e
councils must inform the Minister of the provisions of their agreement and the Minister may publish a
notice in the Government Gazette stating the partic ulars of the agreement.

(3) In any proceedings in terms of this Act before the Labour Court, if a question contemplated in subsect ion
(1)(a) or (b) is raised, the Labour Court must adjo urn those proceedings and refer the question to the
Commission for determination if the Court is satisf ied that,

(a) the question raised,
(i) has not previously been determined by arbitration i n terms of this section; and

(ii) is not the subject of an agreement in terms of subs ection (2); and

(b) the determination of the question raised is necessa ry for the purposes of the proceedings.

(3A) In any proceedings before an arbitrator about the i nterpretation or application of a collective agreement,
if a question contemplated in subsection (1)(a) or (b) is raised, the arbitrator must adjourn those
proceedings and refer the question to the Commissio n if the arbitrator is satisfied that,

(a) the question raised,
(i) has not previously been determined by arbitration i n terms of this section; and

(ii) is not the subject of an agreement in terms of subs ection (2); and

(b) the determination of the question raised is necessa ry of the purposes of the proceedings.
(4) When the Commission receives an application in term s of subsection (1) or a referral in terms of
subsection (3), it must appoint a commissioner to h ear the application or determine the question, and
the provisions of section 138 apply, read with the changes required by the context.

(5) In any proceedings in terms of this Act before a co mmissioner, if a question contemplated in subsectio n
(1)(a) or (b) is raised, the commissioner must adjo urn the proceedings and consult the director, if the
commissioner is satisfied that,
(a) the question raised,
(i) has not previously been determined by arbitration i n terms of this section; and

(ii) is not the subject of an agreement in terms of subs ection (2); and

(b) the determination of the question raised is necessa ry for the purposes of the proceedings.

(6) The director must either order the commissioner con cerned to determine the question or appoint
another commissioner to do so, and the provisions o f section 138 apply, read with the changes required
by the context.
(7) If the Commission believes that the question is of substantial importance, the Commission must publish
a notice in the Government Gazette stating the part iculars of the application or referral and stating the
period within which written representations may be made and the address to which they must be
directed.
(8) If a notice contemplated in subsection (7) has been published, the commissioner may not commence the
arbitration until the period stated in the notice h as expired.

(9) Before making an award, the commissioner must consi der any written representations that are made,
and must consult NEDLAC.
(10) The commissioner must send the award, together with brief reasons, to the Labour Court and to the
Commission.

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(11)
If the Commission believes that the nature of the a ward is substantially important, it may publish notice
of the award in the Government Gazette.
(12) The registrar must amend the certificate of registr ation of a council in so far as is necessary in light of
the award.

63. Disputes about Parts A and C to F
(1) Any party to a dispute about the interpretation or application of Parts A and C to F of this Chapter, may
refer the dispute in writing to the Commission unle ss,

(a) the dispute has arisen in the course of arbitration proceedings or proceedings in the Labour
Court; or
(b) the dispute is otherwise to be dealt with in terms of Parts A and C to F.

(2) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(3) The Commission must attempt to resolve the dispute through conciliation.

(4) If the dispute remains unresolved, any party to the dispute may refer it to the Labour Court for
adjudication.

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CHAPTER IV
STRIKES AND LOCK OUTS
64. Right to strike and recourse to lock out
(1) Every employee has the right to strike and every em ployer has recourse to lock out if,

(a) the issue in dispute has been referred to a council or to the Commission as required by this Act,
and,
(i) a certificate stating that the dispute remains unre solved has been issued; or

(ii) a period of 30 days, or any extension of that perio d agreed to between the parties to the
dispute, has elapsed since the referral was receive d by the council or the Commission; and
after that,
(b) in the case of a proposed strike, at least 48 hours ' notice of the commencement of the strike, in
writing, has been given to the employer, unless,
(i) the issue in dispute relates to a collective agreem ent to be concluded in a council, in which
case, notice must have been given to that council; or

(ii) the employer is a member of an employers' organisat ion that is a party to the dispute, in
which case, notice must have been given to that emp loyers' organisation; or

(c) in the case of a proposed lock,out, at least 48 hou rs' notice of the commencement of the lock,
out, in writing, has been given to any trade union that is a party to the dispute, or, if there is no
such trade union, to the employees, unless the issu e in dispute relates to a collective agreement
to be concluded in a council, in which case, notice must have been given to that council; or

(d) the case of a proposed strike or lock,out where the State is the employer, at least seven days'
notice of the commencement of the strike or lock,ou t has been given to the parties contemplated
in paragraphs (b) and (c).
(2) If the issue in dispute concerns a refusal to barga in, an advisory award must have been made in terms
of section 135(3)(c) before notice is given in term s of subsection (1)(b) or (c). A refusal to bargain
includes,
(a) a refusal,
(i) to recognise a trade union as a collective bargaini ng agent; or

(ii) to agree to establish a bargaining council;
(b) a withdrawal of recognition of a collective bargain ing agent;

(c) a resignation of a party from a bargaining council;

(d) a dispute about,
(i) appropriate bargaining units;
(ii) appropriate bargaining levels; or
(iii) bargaining subjects.
(3) The requirements of subsection (1) do not apply to a strike or a lock,out if,

(a) the parties to the dispute are members of a council , and the dispute has been dealt with by that
council in accordance with its constitution;
(b) the strike or lock,out conforms with the procedures in a collective agreement;

(c) the employees strike in response to a lock,out by t heir employer that does not comply with the
provisions of this Chapter;

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(d)
the employer locks out its employees in response to their taking part in a strike that does not
conform with the provisions of this Chapter; or
(e) the employer fails to comply with the requirements of subsections (4) and (5).

(4) Any employee who or any trade union that refers a d ispute about a unilateral change to terms and
conditions of employment to a council or the Commis sion in terms of subsection (1)(a) may, in the
referral, and for the period referred to in subsect ion (1)(a),

(a) require the employer not to implement unilaterally the change to terms and conditions of
employment; or
(b) if the employer has already implemented the change unilaterally, require the employer to restore
the terms and conditions of employment that applied before the change.

(5) The employer must comply with a requirement in term s of subsection (4) within 48 hours of service of
the referral on the employer.

65. Limitations on right to strike or recourse to lock- out
(1) No person may take part in a strike or a lock,out o r in any conduct in contemplation or furtherance of a
strike or a lock,out if,
(a) that person is bound by a collective agreement that prohibits a strike or lock,out in respect of the
issue in dispute;
(b) that person is bound by an agreement that requires the issue in dispute to be referred to
arbitration;
(c) the issue in dispute is one that a party has the ri ght to refer to arbitration or to the Labour Court
in terms of this Act;
(d) that person is engaged in,
(i) an essential service; or
(ii) a maintenance service.
13

(2) (a) Despite section 65(l)(c), a person may tak e part in a strike or a lock,out or in any conduct in
contemplation or in furtherance of a strike or lock out if the issue in dispute is about any matter dealt
with in sections 12 to 15.
14

(b) If the registered trade union has given notice of t he proposed strike in terms of section 64(l) in
respect of an issue in dispute referred to in parag raph (a), it may not exercise the right to refer
the dispute to arbitration in terms of section 21 f or a period of 12 months from the date of the
notice.
(3) Subject to a collective agreement, no person may ta ke part in a strike or a lock,out or in any conduct in
contemplation or furtherance of a strike or lock,ou t,

(a) if that person is bound by,
(i) any arbitration award or collective agreement that regulates the issue in dispute; or

(ii) any determination made in terms of section 44 by th e Minister that regulates the issue in
dispute; or
(b) any determination made in terms of the Wage Act and that regulates the issue in dispute, during
the first year of that determination.

13. Essential services, agreed minimum services and mai ntenance services are regulated in sections 71
to 75.
14. These sections deal with organisational rights.

66. Secondary strikes
(1) In this section "secondary strike" means a strike, or conduct in contemplation or furtherance of a str ike,
that is in support of a strike by other employees a gainst their employer but does not include a strike in

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pursuit of a demand that has been referred to a cou
ncil if the striking employees, employed within the
registered scope of that council, have a material i nterest in that demand.

(2) No person may take part in a secondary strike unles s,

(a) the strike that is to be supported complies with th e provisions of sections 64 and 65;

(b) the employer of the employees taking part in the se condary strike or, where appropriate, the
employers' organisation of which that employer is a member, has received written notice of the
proposed secondary strike at least seven days prior to its commencement; and

(c) the nature and extent of the secondary strike is re asonable in relation to the possible direct or
indirect effect that the secondary strike may have on the business of the primary employer.

(3) Subject to section 68(2) and (3), a secondary emplo yer may apply to the Labour Court for an interdict
to prohibit or limit a secondary strike that contra venes subsection (2).

(4) Any person who is a party to proceedings in terms o f subsection (3), or the Labour Court, may request
the Commission to conduct an urgent investigation t o assist the Court to determine whether the
requirements of subsection (2)(c) have been met.
(5) On receipt of a request made in terms of subsection (4), the Commission must appoint a suitably
qualified person to conduct the investigation, and then submit, as soon as possible, a report to the
Labour Court.
(6) The Labour Court must take account of the Commissio n's report in terms of subsection (5) before
making an order.

67. Strike or lock-out in compliance with this Act
(1) In this Chapter, "protected strike" means a strike that complies with the provisions of this Chapter a nd
"protected lock,out" means a lock,out that complies with the provisions of this Chapter.

(2) A person does not commit a defect or a breach of co ntract by taking part in,

(a) a protected strike or a protected lock,out; or
(b) any conduct in contemplation or in furtherance of a protected strike or a protected lock,out.

(3) Despite subsection (2), an employer is not obliged to remunerate an employee for services that the
employee does not render during a protected strike or a protected lock,out, however,

(a) if the employee's remuneration includes payment in kind in respect of accommodation, the
provision of food and other basic amenities of life , the employer, at the request of the employee,
must not discontinue payment in kind during the str ike or lock,out; and

(b) after the end of the strike or lock,out, the employ er may recover the monetary value of the
payment in kind made at the request of the employee during the strike or lock,out from the
employee by way of civil proceedings instituted in the Labour Court.

(4) An employer may not dismiss an employee for partici pating in a protected strike or for any conduct in
contemplation or in furtherance of a protected stri ke.

(5) Subsection (4) does not preclude an employer from f airly dismissing an employee in accordance with the
provisions of Chapter VIII for a reason related to the employee's conduct during the strike, or for a
reason based on the employer's operational requirem ents.

(6) Civil legal proceedings may not be instituted again st any person for,

(a) participating in a protected strike or a protected lock,out; or

(b) any conduct in contemplation or in furtherance of a protected strike or a protected lock,out.

(7) The failure by a registered trade union or a regist ered employers' organisation to comply with a
provision in its constitution requiring it to condu ct a ballot of those of its members in respect of w hom it
intends to call a strike or lock,out may not give r ise to, or constitute a ground for, any litigation that will
affect the legality of, and the protection conferre d by this section on, the strike or lock,out.

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(8)
The provisions of subsections (2) and (6) do not ap ply to any act in contemplation or in furtherance of a
strike or a lock,out, if that act is an offence.
(9) Any act in contemplation or in furtherance of a pro tected strike or a protected lock,out that is a
contravention of the Basic Conditions of Employment Act or the Wage Act does not constitute an
offence.

68. Strike or lock-out not in compliance with this Act
(1) In the case of any strike or lock,out, or any condu ct in contemplation or in furtherance of a strike or
lock,out, that does not comply with the provisions of this Chapter, the Labour Court has exclusive
jurisdiction,
(a) to grant an interdict or order to restrain,
15

(i) any person from participating in a strike or any co nduct in contemplation or in furtherance
of a strike; or
(ii) any person from participating in a lock,out or any conduct in contemplation or in
furtherance of a lock,out;
(b) to order the payment of just and equitable compensa tion for any loss attributable to the strike or
lock,out, or conduct, having regard to,
(i) whether ,
1. attempts were made to comply with the provisions of this Chapter and the extent
of those attempts;
2. the strike or lock,out or conduct was premeditated;

3. the strike or lock out, or conduct was in response to unjustified conduct by another
party to the dispute; and
4. there was compliance with an order granted in terms of paragraph (a);

(ii) the interests of orderly collective bargaining;
(iii) the duration of the strike or lock out or conduct; and

(iv) the financial position of the employer, trade union or employees respectively.

(2) The Labour Court may not grant any order in terms o f subsection (1)(a) unless 48 hours' notice of the
application has been given to the respondent: Howev er, the Court may permit a shorter period of notice
if,
(a) the applicant has given written notice to the respo ndent of the applicant's intention to apply for
the granting of an order;
(b) the respondent has been given a reasonable opportun ity to be heard before a decision concerning
that application is taken; and
(c) the applicant has shown good cause why a period sho rter than 48 hours should be permitted.

(3) Despite subsection (2), if written notice of the co mmencement of the proposed strike or lock,out was
given to the applicant at least 10 days before the commencement of the proposed strike or lock,out, th e
applicant must give at least five days' notice to t he respondent of an application for an order in ter ms of
subsection (1)(a).
(4) Subsections (2) and (3) do not apply to an employer or an employee engaged in an essential service or
a maintenance service.
(5) Participation in a strike that does not comply with the provisions of this Chapter, or conduct in
contemplation or in furtherance of that strike, may constitute a fair reason for dismissal. In determining
whether or not the dismissal is fair, the Code of G ood Practice: Dismissal in Schedule 8 must be taken
into account.

15. See flow diagram No. 6 in Schedule 4.

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69.
Picketing
16
(1) A registered trade union may authorise a picket by its members and supporters for the purposes of
peacefully demonstrating,
(a) in support of any protected strike; or
(b) in opposition to any lockout.
(2) Despite any law regulating the right of assembly, a picket authorised in terms of subsection (1), may be
held,
(a) in any place to which the public has access but out side the premises of an employer; or

(b) with the permission of the employer, inside the emp loyer's premises.

(3) The permission referred to in subsection (2)(b) may not be unreasonably withheld.

(4) If requested to do so by the registered trade union or the employer, the Commission must attempt to
secure an agreement between the parties to the disp ute on rules that should apply to any picket in
relation to that strike or lock,out.
(5) If there is no agreement, the Commission must estab lish picketing rules, and in doing so must take
account of,
(a) the particular circumstances of the workplace or ot her premises where it is intended that the
right to picket is to be exercised; and
(b) any relevant code of good practice.
(6) The rules established by the Commission may provide for picketing by employees on their employer's
premises if the Commission is satisfied that the em ployer's permission has been unreasonably withheld.

(7) The provisions of section 67, read with the changes required by the context, apply to the call for,
organisation of, or participation in a picket that complies with the provisions of this section.

(8) Any party to a dispute about any of the following i ssues may refer the dispute in writing to the
Commission,
(a) an allegation that the effective use of the right t o picket is being undermined;

(b) an alleged material contravention of subsection (1) or (2);

(c) an alleged material breach of an agreement conclude d in terms of subsection (4); or

(d) an alleged material breach of a rule established in terms of subsection (5).

(9) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(10) The Commission must attempt to resolve the dispute through conciliation.

(11) If the dispute remains unresolved, any party to the dispute may refer it to the Labour Court for
adjudication.

16. See flow diagram No. 7 in Schedule 4.
70. Essential services committee

(1) The Minister, after consulting NEDLAC, and in cons ultation with the Minister for the Public Service and
Administration, must establish an essential service s committee under the auspices of the Commission
and –
(a) appoint to that committee, on any terms that the Mi nister considers fit, persons who have
knowledge and experience of labour law and labour r elations; and

(b) designate one of the members of the committee as it s chairperson.

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(2) The functions of the essential services committee a re,
(a) to conduct investigations as to whether or not the whole or a part of any service is an essential
service, and then to decide whether or not to desig nate the whole or a part of that service as an
essential service;

(b) to determine disputes as to whether or not the whol e or a part of any service is an essential
service; and

(c) to determine whether or not the whole or a part of any service is a maintenance service.
17
(3) At the request of a bargaining council, the essenti al services committee must conduct an investigation in
terms of subsection (2)(a).

17. A maintenance service is defined in section 75.
71. Designating a service as an essential service
(1) The essential services committee must give notice i n the Government Gazette of any investigation that it
is to conduct as to whether the whole or a part of a service is an essential service.
(2) The notice must indicate the service or the part of a service that is to be the subject of the investigation
and must invite interested parties, within a period stated in the notice,
(a) to submit written representations; and

(b) to indicate whether or not they require an opportun ity to make oral representations.
(3) Any interested party may inspect any written repres entations made pursuant to the notice, at the
Commission's offices.

(4) The Commission must provide a certified copy of, or extract from, any written representations to any
person who has paid the prescribed fee.
(5) The essential services committee must advise partie s who wish to make oral representations of the place
and time at which they may be made.
(6) Oral representations must be made in public.
(7) After having considered any written and oral repres entations, the essential services committee must
decide whether or not to designate the whole or a p art of the service that was the subject of the
investigation as an essential service.
(8) If the essential services committee designates the whole or a part of a service as an essential service,
the committee must publish a notice to that effect in the Government Gazette.
(9) The essential services committee may vary or cancel the designation of the whole or a part of a service
as an essential service, by following the provision s set out in subsections (1) to (8), read with the
changes required by the context.
(10) The Parliamentary service and the South African Pol ice Service are deemed to have been designated an
essential service in terms of this section.

72. Minimum services
The essential services committee may ratify any col lective agreement that provides for the maintenance of
minimum services in a service designated as an esse ntial service, in which case,

(a) the agreed minimum services are to be regarded as a n essential service in respect of the
employer and its employees; and

(b) the provisions of section 74 do not apply.

73. Disputes about whether a service is an essential se rvice

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(1)
Any party to a dispute about either of the followin g issues may refer the dispute in writing to the
essential services committee,
(a) whether or not a service is an essential service; o r
(b) whether or not an employee or employer is engaged i n a service designated as an essential
service.
(2) The party who refers the dispute to the essential s ervices committee must satisfy it that a copy of the
referral has been served on all the other parties t o the dispute.
(3) The essential services committee must determine the dispute as soon as possible.

74. Disputes in essential services
18
(1) Any party to a dispute that is precluded from parti cipating in a strike or a lock,out because that party is
engaged in an essential service may refer the dispu te in writing to
(a) a council, if the parties to the dispute fall withi n the registered scope of that council; or
(b) the Commission, if no council has jurisdiction
(2) The party who refers the dispute must satisfy the c ouncil or the Commission that a copy of the referral
has been served on all the other parties to the dis pute.
(3) The council or the Commission must attempt to resol ve the dispute through conciliation.
(4) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration by the council or the Commissio n.
(5) Any arbitration award in terms of subsection (4) ma de in respect of the State and that has financial
implications for the State becomes binding,
(a) 14 days after the date of the award, unless a Minis ter has tabled the award in Parliament within
that period; or
(b) 14 days after the date of tabling the award, unless Parliament has passed a resolution that the
award is not binding.
(6) If Parliament passes a resolution that the award is not binding, the dispute must be referred back to the
Commission for further conciliation between the par ties to the dispute and if that fails, any party to the
dispute may request the Commission to arbitrate.
(7) If Parliament is not in session on the expiry of
(a) the period referred to in subsection (5)(a), that p eriod or the balance of that period will run from
the beginning of the next session of Parliament;
(b) the period referred to in subsection (5)(b), that p eriod will run from the expiry of the period
referred to in paragraph (a) of this subsection or from the beginning of the next session of
Parliament.

18. See flow diagram No. 8 in Schedule 4.
75. Maintenance services
(1) A service is a maintenance service if the interrupt ion of that service has the effect of material physical
destruction to any working area, plant or machinery .

(2) If there is no collective agreement relating to the provision of a maintenance service, an employer ma y
apply in writing to the essential services committe e for a determination that the whole or a part of the
employer's business or service is a maintenance ser vice.
(3) The employer must satisfy the essential services co mmittee that a copy of the application has been
served on all interested parties.
(4) The essential services committee must determine, as soon as possible, whether or not the whole or a
part of the employer’s business or service is a mai ntenance service.

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(5) As part of its determination in terms of subsection (4), the essential services committee may direct t hat
any dispute in respect of which the employees engag ed in a maintenance service would have had the
right to strike, but for the provisions of section 65(1)(d)(ii), be referred to arbitration.
(6) The committee may not make a direction in terms of subsection (5) if –
(a) the terms and conditions of employment of the emplo yees engaged in the maintenance service
are determined by collective bargaining; or
(b) if the number of employees prohibited from striking because they are engaged in the
maintenance service does not exceed the number of e mployees who are entitled to strike.
(7) If a direction in terms of subsection (5) requires a dispute to be resolved by arbitration –
(a) the provisions of section 74 will apply to the arbi tration; and
(b) any arbitration award will be binding on the employ ees engaged in the maintenance service and
their employer, unless the terms of the award are v aried by a collective agreement.

76. Replacement labour
(1) An employer may not take into employment any person ,
(a) to continue or maintain production during a protect ed strike if the whole or a part of the
employer's service has been designated a maintenanc e service; or

(b) for the purpose of performing the work of any emplo yee who is locked out, unless the lock,out is
in response to a strike.
(2) For the purpose of this section, "take into employm ent" includes engaging the services of a temporary
employment service or an independent contractor.

77. Protest action to promote or defend socio-economic interests of workers
(1) Every employee who is not engaged in an essential s ervice or a maintenance service has the right to
take part in protest action if,
(a) the protest action has been called by a registered trade union or federation of trade unions;

(b) the registered trade union or federation of trade u nions has served a notice on NEDLAC stating,
(i) the reasons for the protest action; and

(ii) the nature of the protest action;
(c) the matter giving rise to the intended protest acti on has been considered by NEDLAC or any other
appropriate forum in which the parties concerned ar e able to participate in order to resolve the
matter; and
(d) at least 14 days before the commencement of the pro test action, the registered trade union or
federation of trade unions has served a notice on N EDLAC of its intention to proceed with the
protest action.
(2) The Labour Court has exclusive jurisdiction,
(a) to grant any order to restrain any person from taki ng part in protest action or in any conduct in
contemplation or in furtherance of protest action t hat does not comply with subsection (1);
(b) in respect of protest action that complies with sub section (1), to grant a declaratory order
contemplated by subsection (4), after having consid ered,
(i) the nature and duration of the protest action;
(ii) the steps taken by the registered trade union or fe deration of trade unions to minimise the
harm caused by the protest action; and
(iii) the conduct of the participants in the protest acti on.

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(3)
A person who takes part in protest action or in any conduct in contemplation or in furtherance of protest
action that complies with subsection (1), enjoys th e protections conferred by section 67.
(4) Despite the provisions of subsection (3), an employ ee forfeits the protection against dismissal conferred
by that subsection, if the employee,
(a) takes part in protest action or any conduct in cont emplation or in furtherance of protest action in
breach of an order of the Labour Court; or
(b) otherwise acts in contempt of an order of the Labou r Court made in terms of this section.

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CHAPTER V
WORKPLACE FORUMS

78. Definitions in this Chapter
In this Chapter, (a) "employee" means any person who is employed in a wo rkplace, except a senior managerial
employee whose contract of employment or status con fers the authority to do any of the
following in the workplace,
(i) represent the employer in dealings with the workpla ce forum; or
(ii) determine policy and take decisions on behalf of th e employer that may be in conflict with
the representation of employees in the workplace; a nd
(b) "representative trade union" means a registered tra de union, or two or more registered trade
unions acting jointly, that have as members the maj ority of the employees employed by an
employer in a workplace.

79. General functions of workplace forum

A workplace, forum established in terms of this Cha pter,
(a) must seek to promote the interests of all employees in the workplace, whether or not they are
trade union members;
(b) must seek to enhance efficiency in the workplace;
(c) is entitled to be consulted by the employer, with a view to reaching consensus, about the matters
referred to in section 84; and
(d) is entitled to participate in joint decision,making about the matters referred to in section 86.

80. Establishment of workplace forum
(1) A workplace forum may be established in any workpla ce in which an employer employs more than 100
employees.

(2) Any representative trade union may apply to the Com mission in the prescribed form for the
establishment of a workplace, forum.
(3) The applicant must satisfy the Commission that a co py of the application has been served on the
employer.
(4) The Commission may require further information in s upport of the application.
(5) The Commission must,
(a) consider the application and any further informatio n provided by the applicant; and
(b) consider whether, in the workplace in respect of wh ich the application has been made,
(i) the employer employs 100 or more employees;
(ii) the applicant is a representative trade union; and
(iii) there is no functioning workplace forum established in terms of this Chapter.
(6) If satisfied that the requirements of subsection (5 ) are met, the Commission must appoint a
commissioner to assist the parties to establish a w orkplace forum by collective agreement or, failing
that, to establish a workplace forum in terms of th is Chapter.

(7) The commissioner must convene a meeting with the ap plicant, the employer and any registered trade
union that has members employed in the workplace, i n order to facilitate the conclusion of a collective
agreement between those parties, or at least betwee n the applicant and the employer.

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(8) If a collective agreement is concluded, the provisi ons of this Chapter do not apply.
(9) If a collective agreement is not concluded, the com missioner must meet the parties referred to in
subsection (7) in order to facilitate agreement bet ween them, or at least between the applicant and th e
employer, on the provisions of a constitution for a workplace forum in accordance with this Chapter,
taking into account the guidelines in Schedule 2.
(10) If no agreement is reached on any of the provisions of a constitution, the commissioner must establish a
workplace forum and determine the provisions of the constitution in accordance with this Chapter, taking
into account the guidelines in Schedule 2.
(11) After the workplace forum has been established, the commissioner must set a date for the election of
the first members of the workplace forum and appoin t an election officer to conduct the election.
(12) The provisions of this section do not apply to the public service. The establishment of workplace foru ms
in the public service will be regulated in a Schedu le promulgated by the Minister for the Public Servi ce
and Administration in terms of section 207(4).

81. Trade union based workplace forum
(1) If a representative trade union is recognised in te rms of a collective agreement by an employer for th e
purposes of collective bargaining in respect of all employees in a workplace, that trade union may app ly
to the Commission in the prescribed form for the es tablishment of a workplace forum.
(2) The applicant may choose the members of the workpla ce forum from among its elected representatives
in the workplace.
(3) If the applicant makes this choice, the provisions of this Chapter apply, except for section 80(1) and
section 82(1)(b) to (m).
(4) The constitution of the applicant governs the nomin ation, election and removal from office of elected
representatives of the applicant in the workplace.
(5) A workplace forum constituted in terms of this sect ion will be dissolved if,
(a) the collective agreement referred to in subsection (1) is terminated;
(b) the applicant is no longer a representative trade u nion.
(6) The provisions of this section do not apply to the public service.

82. Requirements for constitution of workplace forum
(1) The constitution of every workplace forum must,
(a) establish a formula for determining the number of s eats in the workplace forum;
(b) establish a formula for the distribution of seats i n the workplace forum so as to reflect the
occupational structure of the workplace;
(c) provide for the direct election of members of the w orkplace forum by the employees in the
workplace;
(d) provide for the appointment of an employee as an el ection officer to conduct elections and define
that officer's functions and powers;
(e) provide that an election of members of the workplac e forum must be held not later than 24
months after each preceding election;
(f) provide that if another registered trade union beco mes representative, it may demand a new
election at any time within 21 months after each pr eceding election;
(g) provide for the procedure and manner in which elect ions and ballots must be conducted;
(h) provide that any employee, including any former or current member of the workplace forum, may
be nominated as a candidate for election as a membe r of the workplace forum by,
(i) any registered trade union with members employed in the work, place; or

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(ii) a petition signed by not less than 20 per cent of t he employees in the workplace or 100
employees, whichever number of employees is the sma ller;
(i) provide that in any ballot every employee is entitl ed,
(i) to vote by secret ballot; and
(ii) to vote during working hours at the employer's prem ises;
(j) provide that in an election for members of the work place forum every employee is entitled,
unless the constitution provides otherwise,
(i) to cast a number of votes equal to the number of me mbers to be elected; and
(ii) to cast one or more of those votes in favour of any candidate;
(k) establish the terms of office of members of the wor kplace forum f and the circumstances in which
a member must vacate that office;
(l) establish the circumstances and manner in which mem bers of the workplace forum may be
removed from office, including the right of an repr esentative trade union that nominated a
member for election to remove that member at any ti me;
(m) establish the manner in which vacancies in the work place forum may be filled, including the rules
for holding by,elections;

(n) establish the circumstances and manner in which the meetings referred to in section 83 must be
held;
(o) provide that the employer must allow the election o fficer reasonable time off with pay during
working hours to prepare for and conduct elections;
(p) provide that the employer must allow each member of the workplace forum reasonable time off
with pay during working hours to perform the functi ons of a member of the workplace, forum and
to receive training relevant to the performance of those functions;
(q) require the employer to take any steps that are rea sonably necessary to assist the election officer
to conduct elections;
(r) require the employer to provide facilities to enabl e the workplace forum to perform its functions;
(s) provide for the designation of full,time members of the workplace forum if there are more than
1 000 employees in a workplace;
(t) provide that the workplace forum may invite any exp ert to attend its meetings, including
meetings with the employer or the employees, and th at an expert is entitled to any information
to which the workplace forum is entitled and to ins pect and copy any document that members of
the workplace forum are entitled to inspect and cop y;
(u) provide that office,bearers or officials of the rep resentative trade union may attend meetings of
the workplace forum, including meetings with the em ployer or the employees;
(v) provide that the representative trade union and the employer, by agreement, may change the
constitution of the workplace forum; and
(w) establish the manner in which decisions are to be m ade.
(2) The constitution of a workplace forum may,
(a) establish a procedure that provides for the concili ation and arbitration of proposals in respect of
which the employer and the workplace forum do not r each consensus;
(b) establish a coordinating workplace forum to perform any of the general functions of a workplace
forum and one or more subsidiary workplace forums t o perform any of the specific functions of a
workplace forum; and
(c) include provisions that depart from sections 83 to 92.
(3) The constitution of a workplace forum binds the emp loyer.

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(4) The Minister for the Public Service and Administrat ion may amend the requirements for a constitution i n
terms of this section for workplace forums in the p ublic service by a Schedule promulgated in terms of
section 207(4).

83. Meetings of workplace forum
(1) There must be regular meetings of the workplace for um.
(2) There must be regular meetings between the workplac e forum and the employer, at which the employer
must,
(a) present a report on its financial and employment si tuation, its performance since the last report
and its anticipated performance in the short term a nd in the long term; and
(b) consult the workplace forum on any matter arising f rom the report that may affect employees in
the workplace.
(3) (a) There must be meetings between members of the workplace forum and the employees employed
in the workplace at regular and appropria te intervals. At the meetings with employees, the
workplace forum must report on,
(i) its activities generally;
(ii) matters in respect of which it has been consulted b y the employer; and
(iii) matters in respect of which it has participated in joint decision,making with the employer.
(b) Each calendar year, at one of the meetings with the employees, the employer must present an
annual report of its financial and employment situa tion, its performance generally and its future
prospects and plans.
(c) The meetings of employees must be held during worki ng hours at a time and place agreed upon
by the workplace forum and the employer without los s of pay on the part of the employees.

84. Specific matters for consultation
(1) Unless the matters for consultation are regulated b y a collective agreement with the representative
trade union, a workplace forum is entitled to be co nsulted by the employer about proposals relating to
any of the following matters,
(a) restructuring the workplace, including the introduc tion of new technology and new work methods;
(b) changes in the organisation of work;
(c) partial or total plant closures;
(d) mergers and transfers of ownership in so far as the y have an impact on the employees;
(e) the dismissal of employees for reasons based on ope rational requirements;
(f) exemptions from any collective agreement or any law ;
(g) job grading;
(h) criteria for merit increases or the payment of disc retionary bonuses;
(i) education and training;
(j) product development plans; and
(k) export promotion.
(2) A bargaining council may confer on a workplace foru m the right to be consulted about additional matters
in workplaces that fall within the registered scope of the bargaining council.
(3) A representative trade union and an employer may co nclude a collective agreement conferring on the
workplace forum the right to be consulted about any additional matters in that workplace.

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(4)
Any other law may confer on a workplace forum the r ight to be consulted about additional matters.
(5) Subject to any applicable occupational health and s afety legislation, a representative trade union and an
employer may agree,
(a) that the employer must consult with the workplace f orum with a view to initiating, developing,
promoting, monitoring and reviewing measures to ens ure health and safety at work;
(b) that a meeting between the workplace forum and the employer constitutes a meeting of a health
and safety committee required to be established in the workplace by that legislation; and
(c) that one or more members of the workplace forum are health and safety representatives for the
purposes of that legislation.
(6) For the purposes of workplace forums in the public service,
(a) the collective agreement referred to in subsection (1) is a collective agreement concluded in a
bargaining council;
(b) a bargaining council may remove any matter from the list of matters referred to in subsection (1)
in respect of workplaces that fall within its regis tered scope; and
(c) subsection (3) does not apply.

85. Consultation

(1) Before an employer may implement a proposal in rela tion to any matter referred to in section 84(l), the
employer must consult the workplace forum and attem pt to reach consensus with it.
(2) The employer must allow the workplace forum an oppo rtunity during the consultation to make
representations and to advance alternative proposal s.
(3) The employer must consider and respond to the repre sentations or alternative proposals made by the
workplace forum and, if the employer does not agree with them, the employer must state the reasons
for disagreeing.
(4) If the employer and the workplace forum do not reac h consensus, the employer must invoke any agreed
procedure to resolve any differences before impleme nting the employer's proposal.

86. Joint decision-making
(1) Unless the matters for joint decision,making are re gulated by a collective agreement with the
representative trade union, an employer must consul t and reach consensus with a workplace forum
before implementing any proposal concerning,
(a) disciplinary codes and procedures;
(b) rules relating to the proper regulation of the work place in so far as they apply to conduct not
related to the work performance of employees;
(c) measures designed to protect and advance persons di sadvantaged by unfair discrimination; and
(d) changes by the employer or by employer,appointed re presentatives on trusts or boards of
employer,controlled schemes, to the rules regulatin g social benefit schemes.
(2) A representative trade union and an employer may co nclude a collective agreement,
(a) conferring on the workplace forum the right to join t decision,making in respect of additional
matters in that workplace;
(b) removing any matter referred to in subsection (1)(a ) to (d) from the list of matters requiring joint
decision,making.
(3) Any other law may confer on a workplace forum the r ight to participate in joint decision,making about
additional matters.
(4) If the employer does not reach consensus with the w orkplace forum, the employer may,

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(a)
refer the dispute to arbitration in terms of any ag reed procedure; or
(b) if there is no agreed procedure, refer the dispute to the Commission.
(5) The employer must satisfy the Commission that a cop y of the referral has been served on the
chairperson of the workplace forum.
(6) The Commission must attempt to resolve the dispute through conciliation.
(7) If the dispute remains unresolved, the employer may request that the dispute be resolved through
arbitration.
19
(8)
(a) An arbitration award is about a proposal referred t o in subsection (1)(d) takes effect 30 days
after the date of the award.
(b) Any representative on the trust or board may apply to the Labour Court for an order declaring
that the implementation of the award constitutes a breach of a fiduciary duty on the part of that
representative.
(c) Despite paragraph (a), the award will not take effe ct pending the determination by the Labour
Court of an application made in terms of paragraph (b).
(9) For the purposes of workplace forums in the public service, a collective agreement referred to in
subsections (1) and (2) is a collective agreement c oncluded in a bargaining council.

19. See flow diagram No. 9 in Schedule 4.

87. Review at request of newly established workplace fo rum
(1) After the establishment of a workplace forum, the w orkplace forum may request a meeting with the
employer to review,
(a) criteria for merit increases or the payment of disc retionary bonuses;
(b) disciplinary codes and procedures; and
(c) rules relating to the proper regulation of the work place in so far as they apply to conduct not
related to work performance of employees in the wor kplace.
(2) The employer must submit its criteria, disciplinary codes and procedures, and rules, referred to in
subsection (1), if any, in writing to the workplace forum for its consideration.
(3) A review of the criteria must be conducted in accor dance with the provisions of section 85.
(4) A review of the disciplinary codes and procedures, and rules, must be conducted in accordance with the
provisions of section 86(2) to (7) except that, in applying section 86(4), either the employer or the
workplace forum may refer a dispute between them to arbitration or to the Commission.

88. Matters affecting more than one workplace forum in an employer’s operation
(1) If the employer operates more than one workplace an d separate workplace forums have been
established in two or more of those workplaces, and if a matter has been referred to arbitration in terms
of section 86(4)(a) or (b) or by a workplace forum in terms of section 87(4), the employer may give
notice in writing to the chairpersons of all the wo rkplace forums that no other workplace forum ma ref er
a matter that is substantially the same as the matt er referred to arbitration.
(2) If the employer gives notice in terms of subsection (1),
(a) each workplace forum is entitled to make representa tions and participate in the arbitration
proceedings; and
(b) the arbitration award is binding on the employer an d the employees in each workplace.

89. Disclosure of information
(1) An employer must disclose to the workplace forum al l relevant information that will allow the workplace
forum to engage effectively in consultation and joi nt decision,making.

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(2) An employer is not required to disclose information ,
(a) that is legally privileged;
(b) that the employer cannot disclose without contraven ing a prohibition imposed on the employer by
any law or order of any court;
(c) that is confidential and, if disclosed, may cause s ubstantial harm to an employee or the
employer; or
(d) that is private personal information relating to an employee, unless that employee consents to
the disclosure of that information.
(2A) The employer must notify the workplace forum in writing if of the view that any information disclosed in
terms of subsection (1) is confidential.
(3) If there is a dispute about the disclosure of infor mation, any party to the dispute may refer the
dispute in writing to the Commission.
(4) The party who refers the dispute to the Commission must satisfy it that a copy of the referral
has been served on all the other parties to the dis pute.
(5) The Commission must attempt to resolve the dispute through conciliation.
(6) If the dispute remains unresolved, any party to the dispute may request that the dispute be
resolved through arbitration.
(7) In any dispute about the disclosure of information contemplated in subsection (3), the
commissioner must first decide whether or not the i nformation is relevant.
(8) If the commissioner decides that the information is relevant and if it is information contemplated
in subsection (2)(c) or (d), the commissioner must balance the harm that the disclosure is likely
to cause to an employee or employer against the har m that the failure to disclose the
information is likely to cause to the ability of th e workplace forum to engage effectively in
consultation and joint decision,making.
(9) If the commissioner decides that the balance of har m favours the disclosure of the information,
the commissioner may order the disclosure of the in formation on terms designed to limit the
harm likely to be caused to the employee or employe r.
(10) When making an order in terms of subsection (9), th e commissioner must take into account any
breach of confidentiality in respect of information disclosed in terms of this section at that
workplace and may refuse to order the disclosure of the information or any other confidential
information, that might otherwise be disclosed, for a period specified in the arbitration award.

90. Inspection and copies of documents
(1) Any documented information that is required to be d isclosed by the employer in terms of section 89
must be made available on request to the members of the workplace forum for inspection.
(2) The employer must provide copies of the documentati on on request to the members of the workplace
forum.

91. Breach of confidentiality
In any dispute about an alleged breach of confident iality, the commissioner may order that the right to
disclosure of information in that workplace be with drawn for a period specified in the arbitration award.

92. Full-time members of workplace forum
(1) In a workplace in which 1000 or more employees are employed, the members of the workplace forum
may designate from their number one full,time membe r.
(2)
(a) The employer must pay a full,time member of the wor kplace forum the same remuneration that
the member would have earned in the position the me mber held immediately before being
designated as a full,time member.

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(b) When a person ceases to be a full,time member of a workplace forum, the employer must
reinstate that person to the position that person h eld immediately before election or appoint that
person to any higher position to which, but for the election, that person would have advanced.

93. Dissolution of workplace forum
(1) A representative trade union in a workplace may req uest a ballot to dissolve a workplace forum.
(2) If a ballot to dissolve a workplace forum has been requested, an election officer must be appointed in
terms of the constitution of the workplace forum.
(3) Within 30 days of the request for a ballot to disso lve the workplace forum, the election officer must
prepare and conduct the ballot.
(4) If more than 50 per cent of the employees who have voted in the ballot support the dissolution of the
workplace forum, the workplace forum must be dissol ved.

94. Disputes about workplace forums
(1) Unless a collective agreement or this Chapter provi des otherwise, any party to a dispute about the
interpretation or application of this Chapter may r efer that dispute to the Commission in writing, if that
party is,
(a) one or more employees employed in the workplace;

(aA) a workplace forum;
(b) a registered trade union with members employed in t he workplace;
(c) the representative trade union; or
(d) the employer.
(2) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.
(3) The Commission must attempt to resolve the dispute through conciliation.
(4) If the dispute remains unresolved, any party to the dispute may request that the dispute be resolved
through arbitration.

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CHAPTER VI
TRADE UNIONS AND EMPLOYERS’ ORGANISATIONS
Part A-Registration And Regulation Of Trade Unions And Employers’ Organisations

95. Requirements for registration of trade unions or em ployers’ organisations
(1) Any trade union may apply to the registrar for regi stration if,
(a) it has adopted a name that meets the requirements o f subsection (4);
(b) it has adopted a constitution that meets the requir ements of subsections (5) and (6);
(c) it has an address in the Republic; and
(d) it is independent.
(2) A trade union is independent if,
(a) it is not under the direct or indirect control of a ny employer or employers' organisation; and
(b) it is free of any interference or influence of any kind from any employer or employers'
organisation.
(3) Any employers' organisation may apply to the regist rar for registration if,
(a) it has adopted a name that meets the requirements o f subsection (4);
(b) it has adopted a constitution that meets the requir ements of subsections (5) and (6), and
(c) it has an address in the Republic.
(4) Any trade union or employers' organisation that int ends to register may not have a name or shortened
form of the name that so closely resembles the name or shortened form of the name of another trade
union or employers' organisation that it is likely to mislead or cause confusion.
(5) The constitution of any trade union or employers' o rganisation that intends to register must,
(a) state that the trade union or employers' organisati on is an association not for gain;
(b) prescribe qualifications for, and admission to, mem bership;
(c) establish the circumstances in which a member will no longer be entitled to the benefits of
membership;
(d) provide for the termination of membership;
(e) provide for appeals against loss of the benefits of membership or against termination of
membership, prescribe a procedure for those appeals and determine the body to which those
appeals may be made;

(f) provide for membership fees and the method for dete rmining member,ship fees and other
payments by members;
(g) prescribe rules for the convening and conducting of meetings of members and meetings of
representatives of members, including the quorum re quired for, and the minutes to be kept of,
those meetings;
(h) establish the manner in which decisions are to be m ade;
(i) establish the office of secretary and define its fu nctions;
(j) provide for other office,bearers, officials and, in the case of a trade union, trade union
representatives, and define their respective functi ons;

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(k)
prescribe a procedure for nominating or electing of fice,bearers and, in the case of a trade union,
trade union representatives;
(l) prescribe a procedure for appointing, or nominating and electing, officials;
(m) establish the circumstances and manner in which off ice,bearers, officials and, in the case of a
trade union, trade union representatives, may be re moved from office;
(n) provide for appeals against removal from office of office,bearers, officials and, in the case of a
trade union, trade union representatives, prescribe a procedure for those appeals and determine
the body to which those appeals may be made;
(o) establish the circumstances and manner in which a b allot must be conducted;
(p) provide that the trade union or employers' organisa tion, before calling a strike or lock,out, must
conduct a ballot of those of its members in respect of whom it intends to call the strike or lock,
out;
(q) provide that members of the trade union or employer s' organisation may not be disciplined or
have their membership terminated for failure or ref usal to participate in a strike or lock,out if,
(i) no ballot was held about the strike or lock,out; or
(ii) a ballot was held but a majority of the members who voted did not vote in favour of the
strike or lock,out;
(r) provide for banking and investing its money;
(s) establish the purposes for which its money may be u sed;
(t) provide for acquiring and controlling property;
(u) determine a date for the end of its financial year;
(v) prescribe a procedure for changing its constitution ; and
(w) prescribe a procedure by which it may resolve to wi nd up.
(6) The constitution of any trade union or employers' o rganisation which intends to register may not include
any provision that discriminates directly or indire ctly against any person on the grounds of race or s ex.
(7) The registrar must not register a trade union or an employers’ organisation unless the registrar is
satisfied that the applicant is a genuine trade uni on or a genuine employers’ organisation.
(8) The Minister, in consultation with NEDLAC, may by n otice in the Government Gazette publish guidelines
to be applied by the registrar in determining wheth er an applicant is a genuine trade union or a genuine
employers’ organisation.

96. Registration of trade unions or employers’ organisa tions
(1) Any trade union or employers' organisation may appl y for registration by submitting to the registrar,
(a) a prescribed form that has been properly completed;

(b) a copy of its constitution; and
(c) any other information that may assist the registrar to determine whether or not the trade union
or employers' organisation meets the requirements f or registration.
(2) The registrar may require further information in su pport of the application.
(3) The registrar,
(a) must consider the application and any further infor mation provided by the applicant; and
(b) if satisfied that the applicant meets the requireme nts for registration, must register the applicant
by entering the applicant's name in the register of trade unions or the register of employers'
organisations.

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(4) If the registrar is not satisfied that the applican t meets the requirements for registration, the regi strar,
(a) must send the applicant a written notice of the dec ision and the reasons for that decision; and
(b) in that notice, must inform the applicant that it h as 30 days from the date of the notice to meet
those requirements.
(5) If, within that 30,day period, the applicant meets the requirements for registration, the registrar mu st
register the applicant by entering the applicant's name in the appropriate register.
(6) If, within that 30,day period, an applicant has att empted to meet the requirements for registration bu t
the registrar concludes that the applicant has fail ed to do so, the registrar must,
(a) refuse to register the applicant; and
(b) notify the applicant in writing of that decision.
(7) After registering the applicant, the registrar must ,
(a) issue a certificate of registration in the applican t's name; and
(b) send the certificate and a certified copy of the re gistered constitution to the applicant.

97. Effect of registration of trade union or employers’ organisation
(1) A certificate of registration is sufficient proof t hat a registered trade union or registered employer s'
organisation is a body corporate.
(2) The fact that a person is a member of a registered trade union or a registered employers' organisation
does not make that person liable for any of the obl igations or liabilities of the trade union or employers'
organisation.
(3) A member, office,bearer or official of a registered trade union or a registered employers' organisatio n or,
in the case of a trade union, a trade union represe ntative is not personally liable for any loss suffered by
any person as a result of an act performed or omitt ed in good faith by the member, office,bearer, official
or trade union representative while performing thei r functions for or on behalf of the trade union or
employers' organisation.
(4) Service of any document directed to a registered tr ade union or employers' organisation at the address
most recently provided to the registrar will be for all purposes service of that document on that trad e
union or employers' organisation.

98. Accounting records and audits
(1) Every registered trade union and every registered e mployers' organisation must, to the standards of
generally accepted accounting practice, principles and procedures,
(a) keep books and records of its income, expenditure, assets and liabilities; and
(b) within six months after the end of each financial y ear, prepare financial statements, including at
least,
(i) a statement of income and expenditure for the previ ous financial year; and
(ii) a balance sheet showing its assets, liabilities and financial position as at the end of the
previous financial year.
(2) Every registered trade union and every registered e mployers' organisation must arrange for an annual
audit of its books and records of account and its f inancial statements by an auditor who must,
(a) conduct the audit in accordance with generally acce pted auditing standards; and
(b) report in writing to the trade union or employers' organisation and in that report,
(i) express an opinion as to whether or not the trade u nion or employers' organisation has
complied with those provisions of its constitution relating to financial matters; and

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(ii)
if the trade union is a party to an agency shop agr eement referred to in section 25 or a
closed shop agreement referred to in section 26 exp ress an opinion as to whether or not
the trade union has complied with the provisions of those sections.
(3) Every registered trade union and every registered e mployers' organisation must,
(a) make the financial statements and the auditor's rep ort available to its members for inspection;
and
(b) submit those statements and the auditor's report to a meeting or meetings of its members or
their representatives as provided for in its consti tution.
(4) Every registered trade union and every registered e mployers' organisation must preserve each of its
books of account, supporting vouchers, records of s ubscriptions or levies paid by its members, income
and expenditure statements, balance sheets, and aud itor's reports, in an original or reproduced form, for
a period of three years from the end of the financi al year to which they relate.

99. Duty to keep records
In addition to the records required by section 98, every registered trade union and every registered e mployers'
organisation must keep, (a) a list of its members;
(b) the minutes of its meetings, in an original or repr oduced form, for a period of three years from
the end of the financial, year to which they relate ; and

(c) the ballot papers for a period of three years from the date of every ballot.

100. Duty to provide information to registrar
Every registered trade union and every registered e mployers' organisation must provide to the registrar,
(a) by 31 March each year, a statement, certified by th e secretary that it accords with its records,
showing the number of members as at 31 December of the previous year and any other related
details that may be required by the registrar;
(b) within 30 days of receipt of its auditor's report, a certified copy of that report and of the financia l
statements;
(c) within 30 days of receipt of a written request by t he registrar, an explanation of anything relating
to the statement of membership, the auditor's repor t or the financial statements;
(d) within 30 days of any appointment or election of it s national office,bearers, the names and work
addresses of those office,bearers, even if their ap pointment or election did not result in any
changes to its office,bearers; and
(e) 30 days before a new address for service of documen ts will take effect, notice of that change of
address.

101. Changing constitution or name of registered trade u nions or employers’ organisations
(1) A registered trade union or a registered employers' organisation may resolve to change or replace its
constitution.
(2) The registered trade union or the registered employ ers' organisation must send the registrar a copy of
the resolution and a certificate signed by its secr etary stating that the resolution complies with its
constitution.
(3) The registrar must,
(a) register the changed or new constitution if it meet s the requirements for registration; and
(b) send the registered trade union or registered emplo yers' organisation a copy of the resolution
endorsed by the registrar, certifying that the chan ge or replacement has been registered.
(4) The changed or new constitution takes effect from t he date of the registrar's certification.
(5) A registered trade union or registered employers' o rganisation may resolve to change its name.

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(6) The registered trade union or registered employers' organisation must send the registrar a copy of the
resolution and the original of its current certific ate of registration.
(7) If the new name of the trade union or employers' or ganisation meets the requirements of section
95(4),
20 the registrar must,
(a) enter the new name in the appropriate register and issue a certificate of registration in the new
name of the trade union or employers' organisation;
(b) remove the old name from that register and cancel t he earlier certificate of registration; and
(c) send the new certificate to the trade union or empl oyers' organisation.
(8) The new name takes effect from the date that the re gistrar enters it in the appropriate register.

20. These are the requirements relating to the nam e of a trade union or employers' organisation to be
registered.

102. Amalgamation of trade unions or employers’ organisa tions
(1) Any registered,
(a) trade union may resolve to amalgamate with one or m ore other trade unions, whether or not
those other trade unions are registered; and
(b) employers' organisation may resolve to amalgamate w ith one or more other employers'
organisations, whether or not those other employers ' organisations are registered.
(2) The amalgamating trade unions or amalgamating emplo yers' organisations may apply to the registrar for
registration of the amalgamated trade union or amal gamated employers' organisation, even if any of the
amalgamating trade unions or amalgamating employers ' organisations is itself already registered, and
the registrar must treat the application as an appl ication in terms of section 96.
(3) After the registrar has registered the amalgamated trade union or amalgamated employers'
organisation, the registrar must cancel the registr ation of each of the amalgamating trade unions or
amalgamating employers' organisations by removing t heir names from the appropriate register.
(4) The registration of an amalgamated trade union or a n amalgamated employers' organisation takes effect
from the date that the registrar enters its name in the appropriate register.
(5) When the registrar has registered an amalgamated tr ade union or amalgamated employers'
organisation,
(a) all the assets, rights, obligations and liabilities of the amalgamating trade unions or the
amalgamating employers' organisations devolve upon and vest in the amalgamated trade union
or amalgamated employers' organisation; and
(b) the amalgamated trade union or amalgamated employer s' organisation succeeds the
amalgamating trade unions or the amalgamating emplo yers' organisations in respect of,
(i) any right that the amalgamating trade unions or the amalgamating employers'
organisations enjoyed;
(ii) any fund established in terms of this Act or any ot her law;
(iii) any arbitration award or court order;
(iv) any collective agreement or other agreement;

(v) membership of any council; and
(vi) any written authorisation by a member for the perio dic deduction of levies or subscriptions
due to the amalgamating trade unions or amalgamatin g employers' organisations.

103. Winding-up of trade unions or employers’ organisati ons
(1) The Labour Court may order a trade union or employe rs' organisation to be wound up if,

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(a)
the trade union or employers' organisation has reso lved to wind,up its affairs and has applied to
the Court for an order giving effect to that resolu tion; or
(b) the registrar or any member of the trade union or e mployers' organisation has applied to the
Court for its winding up and the Court is satisfied that the trade union or employers' organisation,
for some reason that cannot be remedied is unable t o continue to function.
(1A) If the registrar has cancelled the registratio n of a trade union or employers’ organisation in te rms of
section 106(2A), any person opposing its winding up is required to prove that the trade union or
employers’ organisation is able to continue to func tion.

(2) If there are any persons not represented before the Labour Court whose interests may be affected by an
order in terms of subsection (1), the Court must,
(a) consider those interests before deciding whether or not to grant the order applied for; and
(b) if it grants the order applied for, include provisi ons in the order disposing of each of those
interests.
(3) In granting an order in terms of subsection (1), th e Labour Court may appoint a suitable person as
liquidator, on appropriate conditions.
(4)
(a) The registrar of the Labour Court must determine th e liquidator's fees.
(b) The Labour Court, in chambers, may review the deter mination of the registrar of the Labour
Court.
(c) The liquidator's fees are a first charge against th e assets of the trade union or employers'
organisation.
(5) If, after all the liabilities of the trade union or employers' organisation have been discharged, any assets
remain which cannot be disposed of in accordance wi th the constitution of that trade union or employers'
organisation, the liquidator must realise those ass ets and pay the proceeds to the Commission for its
own use.
(6)
(a) The Labour Court may direct that the costs of the r egistrar or any other person who has brought
an application in terms of subsection (1)(b) be pai d from the assets of the trade union or
employers’ organisation.
(b) Any costs in terms of paragraph (a) rank concurrent ly with the liquidator’s fees

104. Winding-up of trade unions or employers’ organisati ons by reason of insolvency
Any person who seeks to wind,up a trade union or em ployers' organisation by reason of insolvency must
comply with the Insolvency Act, 1936 (Act No. 24 of 1936), and, for the purposes of this section, any reference
to the court in that Act must be interpreted as ref erring to the Labour Court.

105. Declaration that trade union is no longer independe nt
(1) Any registered trade union may apply to the Labour Court for an order declaring that another trade
union is no longer independent.
(2) If the Labour Court is satisfied that a trade union is not independent, the Court must make a declarat ory
order to that effect.

106. Cancellation of registration of trade unions or emp loyers’ organisations
(1) The registrar of the Labour Court must notify the r egistrar if the Court
(a) in terms of section 103 or 104 has ordered a regist ered trade union or a registered employers'
organisation to be wound up; or
(b) in terms of section 105 has declared that a registe red trade union is not independent.
(2) When the registrar receives a notice from the Labou r Court in terms of subsection (1), the registrar
must cancel the registration of the trade union or employers' organisation by removing its name from
the appropriate register.

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(2A) The registrar may cancel the registration of a trade union or employers’ organisation by removing its
name from the appropriate register if the registrar –
(a) is satisfied that the trade union or employers’ org anisation is not, or has ceased to function as, a
genuine trade union or employers’ organisation, as the case may be; or
(b) has issued a written notice requiring the trade uni on or employers’ organisation to comply with
sections 98, 99 and 100 within a period of 60 days of the notice and the trade union or
employers’ organisation has, despite the notice, no t complied with those sections.
(2B) The registrar may not act in terms of subsecti on (2A) unless the registrar has published a notice in the
Government Gazette at least 60 days prior to such a ction –
(a) giving notice of the registrar’s intention to cance l the registration of the trade union or employers’
organisation; and
(b) inviting the trade union or employers’ organisation or any other interested parties to make
written representations as to why the registration should not be cancelled.
(3) When a trade union's or employers' organisation' s registration is cancelled, all the rights it enjoyed as a
result of being registered will end.

Part B-Regulation Of Federations Of Trade Unions An d Employers’ Organisations

107. Regulation of federations of trade unions or employ ers’ organisations
(1) Any federation of trade unions that has the promoti on of the interests of employees as a primary object,
and any federation of employers' organisations that has the promotion of the interests of employers as a
primary object, must provide to the registrar,
(a) within three months of its formation, and after tha t by 31 March each year, the names and
addresses of its members and the number of persons each member in the federation represents;
(b) within three months of its formation, and after tha t within 30 days of any appointment or election
of its national office,bearers, the names and work addresses of those office,bearers, even if their
appointment or election did not result in any chang es to its office,bearers;
(c) within three months of its formation, a certified c opy of its constitution and an address in the
Republic at which it will accept service of any doc ument that is directed to it;
(d) within 30 days of any change to its constitution, o r of the address provided to the registrar as
required in paragraph (c), notice of that change; a nd
(e) within 14 days after it has resolved to wind up, a copy of that resolution.
(2) Service of any document directed to a federation of trade unions or a federation of employers'
organisations at the address most recently provided to the registrar will be, for all purposes, service of
that document on that federation.
(3) The registrar must remove from the appropriate regi ster the name of any federation that the registrar
believes has been wound up or sequestrated.

Part C-Registrar Of Labour Relations

108. Appointment of registrar of labour relations
(1) The Minister must designate an officer of the Depar tment of Labour as the registrar of labour relations to
perform the functions conferred on the registrar by or in terms of this Act.

(2)
(a) The Minister may designate any number of officers i n the Department as deputy registrars of
labour relations to assist the registrar to perform the functions of registrar in terms of this Act.
(b) A deputy registrar may exercise any of the function s of the registrar that have been generally or
specifically delegated to the deputy.

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(3)
The deputy registrar of labour relations or if ther e is more than one, the most senior of them, will a ct as
registrar whenever,
(a) the registrar is absent from the Republic or from d uty, or for any reason is temporarily unable to
perform the functions of registrar; or
(b) the office of registrar is vacant.

109. Functions of registrar
(1) The registrar must keep,
(a) a register of registered trade unions;
(b) a register of registered employers' organisations;
(c) a register of federations of trade unions containin g the names of the federations whose
constitutions have been submitted to the registrar;
(d) a register of federations of employers' organisatio ns containing the names of the federations
whose constitutions have been submitted to the regi strar; and
(e) a register of councils.
(2) Within 30 days of making an entry in, or deletion f rom, a register, the registrar must give notice of that
entry or deletion in the Government Gazette.

(3) The registrar, on good cause shown, may extend or c ondone late compliance with any of the time
periods established in this Chapter, except the per iod within which a person may note an appeal agains t
a decision of the registrar.
(4) The registrar must perform all the other functions conferred on the registrar by or in terms of this Act.

110. Access to information
(1) Any person may inspect any of the following documen ts in the registrar's office,
(a) the registers of registered trade unions, registere d employers organisations, federations of trade
unions, federations of employers' organisations and councils;
(b) the certificates of registration and the registered constitutions of registered trade unions,
registered employers' organisations, and councils, and the constitutions of federations of trade
unions and federations of employers' organisations; and
(c) the auditor's report in so far as it expresses an o pinion on the matters referred to in section
98(2)(b)(ii).
(2) The registrar must provide a certified copy of, or extract from, any of the documents referred to in
subsection (1) to any person who has paid the presc ribed fee.
(3) Any person who is a member, office,bearer or offici al of a registered trade union or of a registered
employers' organisation, or is a member of a party to a council, may inspect any document that has
been provided to the registrar in compliance with t his Act by that person's registered trade union,
registered employers' organisation or council.
(4) The registrar must provide a certified copy of, or extract from, any document referred to in subsectio n
(3) to any person who has a right in terms of that subsection to inspect that document and who has pai d
the prescribed fee.
(5) The registrar must provide any of the following inf ormation to any person free of charge –
(a) the names and work addresses of persons who are nat ional office,bearers of any registered trade
union, registered employers' organisation, federati on or council;
(b) the address in the Republic at which any registered trade union, registered employers'
organisation, federation or council will accept ser vice of any document that is directed to it; and
(c) any of the details of a federation of trade unions or a federation of employers' organisations
referred to in section 107(l)(a), (c), and (e).

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Part D -Appeals From Registrar’s Decision

111.
Appeals from registrar’s decision
(1) Within 30 days of the written notice of a decision of the registrar, any person who is aggrieved by th e
decision may demand in writing that the registrar p rovide written reasons for the decision.

(2) The registrar must give the applicant written reaso ns for the decision within 30 days of receiving a
demand in terms of subsection (1).
(3) Any person who is aggrieved by a decision of the re gistrar may appeal to the Labour Court against that
decision, within 60 days of,
(a) the date of the registrar's decision; or
(b) if written reasons for the decision are demanded, t he date of those reasons.
(4) The Labour Court, on good cause shown, may extend t he period within which a person may note an
appeal against a decision of the registrar.

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CHAPTER VII
DISPUTE RESOLUTION
Part A-Commission For Conciliation, Mediation And Arbitration

112. Establishment of Commission for Conciliation, Media tion and Arbitration
The Commission for Conciliation, Mediation and Arbi tration is hereby established as a juristic person.

113. Independence of Commission
The Commission is independent of the State, any pol itical party, trade union, employer, employers'
organisation, federation of trade unions or federat ion of employers' organisations.

114. Area of jurisdiction and offices of Commission
(1) The Commission has jurisdiction in all the province s of the Republic.
(2) The Minister, after consulting the governing body, must determine the location for the Commission's
head office.
(3) The Commission must maintain an office in each prov ince of the Republic and as many local offices as it
considers necessary.

115. Functions of Commission
(1) The Commission must,
(a) attempt to resolve, through conciliation, any dispu te referred to it in terms of this Act;
(b) if a dispute that has been referred to it remains u nresolved after conciliation, arbitrate the
dispute if,
(i) this Act requires arbitration and any party to the dispute has requested that the dispute be
resolved through arbitration; or
(ii) all the parties to a dispute in respect of which th e Labour Court has jurisdiction consent to
arbitration under the auspices of the Commission;
(c) assist in the establishment of workplace forums in the manner contemplated in Chapter V; and
(d) compile and publish information and statistics abou t its activities.
(2) The Commission may,

(a) if asked, advise a party to a dispute about the pro cedure to follow in terms of this Act;
21

(b) if asked, assist a party to a dispute to obtain leg al advice, assistance or representation;
22

(c) offer to resolve a dispute that has not been referr ed to the Commission through conciliation;
23
(cA) make rules – (i) to regulate, subject to Schedule 3, the proceedings at its meetings and at the meetings of
any committee of the Commission;
(ii) regulating the practice and procedure of the essent ial services committee;
(iii) regulating the practice and procedure –
(aa) for any process to resolve a dispute through concil iation;

(bb) at arbitration proceedings; and

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(iv) determining the amount of any fee that the Commissi on may charge under section 147,
and regulating the payment of such a fee in detail;
(d) [Deleted] (e) [Deleted] (f) conduct, oversee or scrutinise any election or ball ot of a registered trade union or registered
employers’ organisation if asked to do so by that t rade union or employers’ organisation;
(g) publish guidelines in relation to any matter dealt with in this Act;
(h) conduct and publish research into matters relevant to its functions; and
(i) [Deleted] (2A) The Commission may make rules regulating – (a) the practice and procedure in connection with the r esolution of a dispute through conciliation or
arbitration;
(b) the process by which conciliation is initiated, and the form, content and use of that process;
(c) the process by which arbitration or arbitration pro ceedings are initiated, and the form, content
and use of that process;

(d) the joinder of any person having an interest in the dispute in any conciliation and arbitration
proceedings;
(e) the intervention of any person as an applicant or r espondent in conciliation or arbitration
proceedings;
(f) the amendment of any citation and the substitution of any party for another in conciliation or
arbitration proceedings;
(g) the hours during which offices of the Commission wi ll be open to receive any process;
(h) any period that is not to be counted for the purpos e of calculating time or periods for delivering
any process or notice relating to any proceedings;
(i) the forms to be used by parties and the Commission;
(j) the basis on which a commissioner may make any orde r as to costs in any arbitration;
(k) the right of any person or category of persons to r epresent any party in any conciliation or
arbitration proceedings;
(l) the circumstances in which the Commission may charg e a fee in relation to any conciliation or
arbitration proceedings or for any services the Co mmission provides; and
(m) all other matters incidental to performing the func tions of the Commission.
(3) If asked, the Commission may provide employees, emp loyers, registered trade unions, registered
employers' organisations, federations of trade unio ns, federations of employers' organisations or coun cils
with advice or training relating to the primary obj ects of this Act, including but not limited to –
(a) establishing collective bargaining structures;
(b) designing, establishing and electing workplace foru ms and creating deadlock,breaking
mechanisms;
(c) the functioning of workplace forums;
(d) preventing and resolving disputes and employees' gr ievances;
(e) disciplinary procedures;
(f) procedures in relation to dismissals;

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(g) the process of restructuring the workplace;
(h) affirmative action and equal opportunity programmes ; and
(i) the prevention of sexual harassment in the workplac e.
(4) The Commission must perform any other duties impose d, and may exercise any other powers conferred,
on it by or in terms of this Act and is competent t o perform any other function entrusted to it by any
other law.
(5) The governing body's rules of procedure, the terms of appointment of its members and other
administrative matters are dealt with in Schedule 3 .
(6)
(a) A rule made under subsection (2)(cA) or (2A) must be published in the Government Gazette.
The Commission will be responsible to ensure that t he publication occurs.
(b) A rule so made will not have any legal force or eff ect unless it has been so published.
(c) A rule so made takes effect from the date of public ation unless a later date is stipulated.

21. See section 148.
22. See section 149.
23. See section 150.

116. Governing body of Commission

(1) The Commission will be governed by the governing bo dy, whose acts are acts of the Commission.
26
(2) The governing body consists of

(a) a chairperson and nine other members, each nominate d by NEDLAC and appointed
27 by the
Minister to hold office for a period of three years ; and
(b) the director of the Commission, who,
(i) is a member of the governing body only by virtue of having been appointed director; and
(ii) may not vote at meetings of the governing body.
(3) NEDLAC must nominate
(a) one independent person for the office of chairperso n;
(b) three persons proposed by those voting members of N EDLAC who represent organised labour;
and
(c) three persons proposed by those voting members of N EDLAC who represent organised business;
(d) three persons proposed by those voting members of N EDLAC who represent the State.

26. See item 4 of Schedule 3 for the governing body's r ules of procedure.
27. See items 1 to 3 of Schedule 3 for the terms of app ointment of members of the governing body.

117. Commissioners of Commission
(1) The governing body must appoint as Commissioners as many adequately qualified persons as it
considers necessary to perform the functions of com missioners by or in terms of this Act or any other
law.
(2) The governing body,
(a) may appoint each commissioner,
(i) on either a full,time or a part,time basis; and
(ii) to be either a commissioner or a senior commissione r;

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(b) must appoint each commissioner for a fixed term det ermined by the governing body at the time
of appointment;
(c) may appoint a commissioner, who is not a senior com missioner, for a probationary period; and
(d) when making appointments, must have due regard to t he need to constitute a Commission that is
independent and competent and representative in res pect of race and gender.
(3) Any reference in this Act to a commissioner must be interpreted also to mean a senior commissioner,
unless otherwise indicated.
(4) The governing body must determine the commissioners ' remuneration, allowances and any other terms
and conditions of appointment not contained in this section.
(5) A commissioner may resign by giving written notice to the governing body.
(6) The governing body must prepare a code of conduct f or the commissioners and ensure that they comply
with the code of conduct in performing their functi ons.
(7) The governing body may remove a commissioner from o ffice for,
(a) serious misconduct;
(b) incapacity; or
(c) a material violation of the Commission's code of co nduct.
(8) Each commissioner is responsible to the director fo r the performance of the commissioner's functions.

118. Director of Commission
(1) The governing body must appoint, as director of the Commission, a person who –
(a) is skilled and experienced in labour relations and dispute resolution; and
(b) has not been convicted of any offence involving dis honesty.
(2) The director must –
(a) perform the functions that are
(i) conferred on the director by or in terms of this Ac t or by any other law;
(ii) delegated to the director by the governing body;
(b) manage and direct the activities of the Commission; and
(c) supervise the Commission's staff.
(3) The governing body must determine the director's re muneration, allowances and any other terms and
conditions of appointment not contained in Schedule 3.
(4) A person appointed director automatically holds the office of a senior commissioner.
(5) Despite subsection (4), the provisions of section 1 17, with the exception of section 117(6), do not ap ply
to the director.
(6) The director, in consultation with the governing bo dy, may delegate any of the functions of that office,
except the functions mentioned in sections 120 and 138(8), to a commissioner.

119. Acting director of Commission
(1) The chairperson of the governing body may appoint a ny suitable person to act as director whenever –
(a) the director is absent from the Republic or from du ty, or for any reason is temporarily unable to
perform the functions of director; or
(b) the office of director is vacant.

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(2) Only a senior commissioner may be appointed as acti ng director.
(3) An acting director is competent to exercise and per form any of the powers and functions of the directo r.

120. Staff of Commission
(1) The director may appoint staff after consulting the governing body.
(2) The governing body must determine the remuneration and allowances and any other terms and
conditions of appointment of staff members.

121. Establishment of committees of Commission
(1) The governing body may establish committees to assi st the Commission.
(2) A committee may consist of any combination of the f ollowing persons,
(a) a member of the governing body;
(b) the director;
(c) a commissioner;
(d) a staff member of the Commission; and
(e) any other person.
(3) The governing body must determine the remuneration and allowances and any other terms and
conditions of appointment of committee members refe rred to in subsection (2)(e).
(4) The governing body may at any time vary or set asid e a decision of a committee.
(5) The governing body may dissolve any committee.

122. Finances of Commission
(1) The Commission will be financed and provided with w orking capital from,
(a) the moneys that the Minister, with the agreement of the Minister of Finance, must allocate to the
Commission from public funds at the commencement of this Act;
(b) the moneys that Parliament may appropriate to the C ommission from time to time;
(c) fees payable to the Commission in terms of this Act ;
(d) grants, donations and bequests made to it; and
(e) income earned on the surplus moneys deposited or in vested.
(2) The financial year of the Commission begins on I Ap ril in each year and ends on 31 March of the
following year, except the first financial year whi ch begins on the day this Act commences and ends on
the first following 31 March.
(3) In each financial year, at a time determined by the Minister, the Commission must submit to the Minist er
a statement of the Commission's estimated income an d expenditure, and requested appropriation from
Parliament, for the following financial year.

123. Circumstances in which Commission may charge fees
(1) The Commission may charge a fee only for,
(a) resolving disputes which are referred to it, In cir cumstances in which this Act allows the
Commission, or a commissioner, to charge a fee;
(b) conducting, overseeing or scrutinising any election or ballot at the request of a registered trade
union or employers' organisation; and
(c) providing advice or training in terms of section 11 5(3).

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(2) The Commission may not charge a fee unless,
(a) the governing body has established a tariff of fees ; and
(b) the fee that is charged is in accordance with that tariff.
(3) The Commission must publish the tariff in the Gover nment Gazette.

124. Contracting by Commission, and Commission working i n association with any person
(1) The governing body may,
(a) contract with any person to do work for the Commiss ion or contract with an accredited agency to
perform, whether for reward or otherwise, any funct ion of the Commission on its behalf; and
(b) perform any function of the Commission in associati on with any person.
(2) Every person with whom the Commission contracts or associates is bound by the requirement of
independence that binds the Commission.

125. Delegation of governing body’s powers, functions an d duties
(1) The governing body may delegate in writing any of i ts functions, other than the functions listed below, to
any member of the governing body, the director, a c ommissioner, or any committee established by the
Commission. The functions that the governing body m ay not delegate are,

(a) appointing the director;

(b) appointing commissioners, or removing a commissione r from office;
(c) depositing or investing surplus money;
(d) accrediting councils or private agencies, or amendi ng, withdrawing or renewing their
accreditation; or
(e) subsidising accredited councils or accredited agenc ies.
(2) The governing body may attach conditions to a deleg ation and may amend or revoke a delegation at any
time.

(3) A function delegated to the director may be perform ed by any commissioner or staff member of the
Commission authorised by the director, unless the t erms of that delegation prevent the director from
doing so.
(4) The governing body may vary or set aside any decisi on made by a person acting in terms of any
delegation made in terms of subsection (1).
(5) The governing body, by delegating any function, is not divested of any of its powers, nor is it relieved of
any function or duty that it may have delegated. Th is rule also applies if the director sub,delegates the
performance of a function in terms of subsection (3 ).

126. Limitation of liability and limitation on disclosur e of information
(1) In this section, "the Commission" means,
(a) the governing body;
(b) a member of the governing body;
(c) the director;
(d) a commissioner;
(e) a staff member of the Commission;
(f) a member of any committee established by the govern ing body; and

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(g)
any person with whom the governing body has contrac ted to do work for, or in association with
whom it performs a function of, the Commission.
(2) The Commission is not liable for any loss suffered by any person as a result of any act performed or
omitted in good faith in the course of exercising t he functions of the Commission.
(3) The Commission may not disclose to any person or in any court any information, knowledge or
document that it acquired on a confidential basis o r without prejudice in the course of performing its
functions except on the order of a court.

Part B – Accreditation Of And Subsidy To Councils A nd Private Agencies

127. Accreditation of councils and private agencies
(1) Any council or private agency may apply to the gove rning body in the prescribed form for accreditation
to perform any of the following functions,
(a) resolving disputes through conciliation; and
(b) arbitrating disputes that remain unresolved after c onciliation, if this Act requires arbitration.
(2) For the purposes of this section, the reference to disputes must be interpreted to exclude disputes as
contemplated in,

(a) sections 16, 21 and 22;
28

(b) section 24(2) to (5);
29

(c) section 24(6) and (7) and section 26(11);
30

(d) section 45;
31

(e) section 61(5) to (8) ;
32

(f) section 62;
33

(g) section 63,
34

(h) section 69 (8) to (10);
35

(i) section 86;
36

(j) section 89;
37

(k) section 94.
38
(3) The governing body may require further information in support and, for that purpose, may require the
applicant to attend one or more meetings of the gov erning body.

(4) The governing body may accredit an applicant to per form any function for which it seeks accreditation,
after considering the application, any further info rmation provided by the applicant and whether,
(a) the services provided by the applicant meet the Com mission's standards;

(b) the applicant is able to conduct its activities eff ectively;
(c) the persons appointed by the applicant to perform t hose functions will do so in a manner
independent of the State, any political party, trad e union,
(d) the persons appointed by the applicant to perform t hose functions will be competent to perform
those functions and exercise any associated powers;
(e) the applicant has an acceptable code of conduct to govern the persons whom it appoints to
perform those functions; the applicant uses accepta ble disciplinary procedures to ensure that

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each person it appoints to perform those functions
will subscribe, and adhere, to the code of
conduct;
(f) the applicant uses acceptable disciplinary procedur es to ensure that each person it appoints to
perform those functions will subscribe, and adhere, to the code of conduct; and
(g) the applicant promotes a service that is broadly re presentative of South African society.
(5) If the governing body decides,
(a) to accredit the applicant, the governing body must,
(i) enter the applicant's name in the register of accre dited councils or the register of
accredited agencies;
(ii) issue a certificate of accreditation in the applica nt's name stating the period and other
terms of accreditation;
(iii) send the certificate to the applicant; and
(iv) [Deleted ] (b) not to accredit the applicant, the governing body m ust advise the unsuccessful applicant in
writing of its decision.

(5A) The governing body must annually publish a li st of accredited councils and accredited agencies.

(6) The terms of accreditation must state the extent to which the provisions of each section in Part C of this
Chapter apply to the accredited council or accredit ed agency.
(7)
(a) Any person may inspect the registers and certificat es of accredited councils and accredited
agencies kept in the Commission's offices.
(b) The Commission must provide a certified copy of, or extract from, any of the documents referred
to in paragraph (a) to any person who has paid the prescribed fee.

28. These sections deal with disputes about organisatio nal rights.
29. These subsections deal with disputes about collecti ve agreements where the agreement does not provide
for a procedure, the procedure is inoperative or an y party frustrates the resolution of the dispute.
30. These subsections deal with disputes about agency s hops and closed shops.
31. This section deals with disputes about determinatio ns made by the Minister in respect of proposals mad e
by a statutory council.
32. These subsections deal with disputes about the inte rpretation or application of collective agreements of a
council whose registration has been cancelled.
33. This section deals with disputes about the demarcat ion of sectors and areas of councils.
34. This section deals with disputes about the interpre tation or application of Parts C to IF of Chapter Ill. Part
C deals with bargaining councils, Part D with barga ining councils in the public service, Part E with
statutory councils and Part IF with general provisi ons concerning councils.
35. This section concerns disputes about pickets during strikes and lock,outs.
36. This section deals with disputes about proposals th at are the subject of joint decision,making.
37. This section deals with disputes about the disclosu re of information to workplace forums.
38. This section deals with disputes about the interpre tation or application of Chapter V which deals with
workplace forums.

128. General provisions relating to accreditation
(1)
(a) An accredited council or accredited agency may char ge a fee for performing any of the functions
for which it is accredited in circumstances in whic h this Act allows a commissioner to charge a
fee.
(b) A fee charged in terms of paragraph (a) must be in accordance with the tariff of fees determined
by the Commission.
(2)
(a) An accredited council, accredited agency, or any pe rson engaged by either of them to perform
the functions for which it has been accredited, is not liable for any loss suffered by any person as
a result of any act performed or omitted in good fa ith in the course of exercising those functions.

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(b) An accredited council, accredited agency, or any pe rson engaged by either of them to perform
the functions for which it has been accredited, may not disclose to any person or in any court any
information, knowledge or document that it or that person acquired on a confidential basis or
without prejudice in the course of performing those functions except on the order of a court.
(3)
(a)
(i) An accredited council may confer on any person appo inted by it to resolve a dispute, the
powers of a commissioner in terms of section 142, r ead with the changes required by the
context.
(ii) For this purpose, any reference in that section to the director must be read as a reference
to the secretary of the bargaining council.
(b) An accredited private agency may confer on any pers on appointed by it to resolve a dispute, the
posers of a commissioner in terms of section 42(1)( a) to (e), (2) and (7) to (9), read with the
changes required by the context.

129. Amendment of accreditation
(1) An accredited council or accredited agency may appl y to the governing body in the prescribed form to
amend its accreditation.
(2) The governing body must treat the application as an application in terms of section 127.

130. Withdrawal of accreditation
If an accredited council or accredited agency fails to comply to a material extent with the terms of i ts
accreditation, the governing body may withdraw its accreditation after having given reasonable notice of the
withdrawal to that council or accredited agency.

131. Application to renew accreditation
(1) An accredited council or accredited agency may appl y to the governing body in the prescribed form to
renew its accreditation either in the current or in an amended form.
(2) The governing body must treat the application for r enewal as an application in terms of section 127.

132. Subsidy to council or private agency
(1)
(a) Any council may apply to the governing body in the prescribed form for a subsidy for performing
any dispute resolution functions that the council i s required to perform in terms of this Act, and
for training persons to perform those functions.
(b) Any accredited agency, or a private agency that has applied for accreditation, may apply to the
governing body in the prescribed form for a subsidy for performing any dispute resolution
functions for which it is accredited or has applied for accreditation; and for training persons to
perform those functions.

(2) The governing body may require further information in support of the application and, for that purpose,
may require the applicant to attend one or more mee tings of the governing body.
(3) The governing body may grant a subsidy to the appli cant after considering the application, any further
information provided by the applicant and,
(a) the need for the performance by the applicant of th e functions for which it is accredited;

(b) the extent to which the public uses the applicant t o perform the functions for which it is
accredited;
(c) the cost to users for the performance by the applic ant of the functions for which it is accredited;
(d) the reasons for seeking the subsidy;
(e) the amount requested; and the applicant's ability t o manage its financial affairs in accordance
with established accounting practice, principles an d procedures.

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(4)
If the governing body decides,
(a) to grant a subsidy to the applicant, the governing body must,
(i) notify the applicant in writing of the amount, dura tion and the terms of the subsidy; and
(ii) as soon as practicable after the decision, publish the written notice in the Government
Gazette; or
(b) not to grant a subsidy to the applicant, the govern ing body must advise the unsuccessful
applicant in writing of its decision.
(5) A subsidy granted in terms of subsection (4)(a),
(a) may not be paid to a council or private agency unle ss it has been accredited; and
(b) lapses at the end of the Commission's financial yea r within which it was granted.
(6)
(a) Any person may inspect a written notice referred to in subsection (4)(a) in the Commission's
offices.

(b) The Commission must provide a certified copy of, or extract from, any written notice referred to
in paragraph (a) to any person who has paid the pre scribed fee.
(7) If an accredited council or accredited agency fails to comply to a material extent with the terms of i ts
subsidy, the governing body may withdraw the subsid y after having given reasonable notice of the
withdrawal to that council or agency.

(8)
(a) An accredited council or accredited agency that has been granted a subsidy may apply to the
governing body in the prescribed form to renew its subsidy, either in the current or in an
amended form and amount.
(b) The governing body must treat the application for r enewal as an application in terms of
subsections (1) to (4).

Part C-Resolution Of Disputes Under Auspices Of Com mission

133. Resolution of disputes under auspices of Commission
(1) The Commission must appoint a commissioner to attem pt to resolve through conciliation,
(a) any dispute referred to it in terms of section 134; and
(b) any other dispute that has been referred to it in t erms of this Act.
(2) If a dispute remains unresolved after conciliation, the Commission must arbitrate the dispute if ,
(a) this Act requires the dispute to be arbitrated and any party to the dispute has requested that the
dispute be resolved through arbitration; or
(b) all the parties to the dispute in respect of which the Labour Court has jurisdiction consent in
writing to arbitration under the auspices of the Co mmission.

134. Disputes about matters of mutual interest
(1) Any party to a dispute about a matter of mutual int erest may refer the dispute in writing to the
Commission, if the parties to the dispute are,
(a) on the one side,
(i) one or more trade unions;

(ii) one or more employees; or 2 one or more trade union s and one or more employees; and
(b) on the other side –

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(i)
one or more employers' organisations;

(ii) one or more employers; or
(iii) one or more employers' organisations and one or mor e employers.
(2) The party who refers the dispute to the Commission must satisfy it that a copy of the referral has been
served on all the other parties to the dispute.

135. Resolution of disputes through conciliation
(1) When a dispute has been referred to the Commission, the Commission must appoint a commissioner to
attempt to resolve it through conciliation.
(2) The appointed commissioner must attempt to resolve the dispute through conciliation within 30 days of
the date the Commission received the referral: Howe ver the parties may agree to extend the 30,day
period.
(3) The commissioner must determine a process to attemp t to resolve the dispute, which may include
(a) mediating the dispute;
(b) conducting a fact,finding exercise; and
(c) making a recommendation to the parties, which may b e in the form of an advisory arbitration
award.

(3A) If a single commissioner has been appointed i n terms of subsection (1), in respect or more than one
dispute involving the same parties, that commission er may consolidate the conciliation proceeding so
that all the disputes concerned may be dealt with i n the same proceedings.

(4) [Deleted]

(5) When conciliation has failed, or at the end of the 30,day period or any further period agreed between
the parties,
(a) the commissioner must issue a certificate stating w hether or not the dispute has been resolved;
(b) the Commission must serve a copy of that certificat e on each party to the dispute or the person
who represented a party in the conciliation proceed ings; and
(c) the commissioner must file the original of that cer tificate with the Commission.
(6)
(a) If a dispute about a matter of mutual interest has been referred to the Commission and the
parties to the dispute are engaged in an essential service then, despite subsection (1), the parties
may consent within seven days of the date the Commi ssion received the referral,
(i) to the appointment of a specific commissioner by th e Commission to attempt to resolve
the dispute through conciliation; and
(ii) to that commissioner's terms of reference.
(b) If the parties do not consent to either of those ma tters within the seven,day period, the
Commission must as soon as possible,
(i) appoint a commissioner to attempt to resolve the di spute; and
(ii) determine the commissioner's terms of reference.

136. Appointment of commissioner to resolve dispute thro ugh arbitration
(1) If this Act requires a dispute to be resolved throu gh arbitration, the Commission must appoint a
commissioner to arbitrate that dispute, if,
(a) a commissioner has issued a certificate stating tha t the dispute remains unresolved; and
(b) within 90 days after the date on which that certifi cate was issued, any party to the dispute has
requested that the dispute be resolved through arbi tration. However, the Commission on good

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cause shown, may condone a party’s non,observance o
f that timeframe and allow a request for
arbitration filed by the party after the expiry of the 90,day period.
(2) A commissioner appointed in terms of subsection (1) may be the same commissioner who attempted to
resolve the dispute through conciliation.
(3) Any party to the dispute, who wants to object to th e arbitration also being conducted by the
commissioner who had attempted to resolve the dispu te through conciliation, may do so by filing an
objection in that regard with the Commission within seven days after the date on which the
commissioner’s certificate was issued, and must sat isfy the Commission that a copy of the objection has
been served on all the other parties to the dispute .
(4) When the Commission receives an objection it must a ppoint another commissioner to resolve the dispute
by arbitration.
(5)
(a) The parties to a dispute may request the Commission , in appointing a commissioner in terms of
subsection (1) or (4), to take into account their s tated preference, to the extent that this is
reasonably practicable in all the circumstances.

(b) The stated preference contemplated in paragraph (a) must,
(i) be in writing;
(ii) list no more than five commissioners;
(iii) state that the request is made with the agreement o f all the parties to the dispute; and
(iv) be submitted within 48 hours of the date of the cer tificate referred to in subsection (1)(a).
(6) If the circumstances contemplated in subsection (1) exist and the parties to the dispute are engaged in
an essential service, then the provisions of sectio n 135 (6) apply, read with the changes required by the
context, to the appointment of a commissioner to re solve the dispute through arbitration.

137. Appointment of senior commissioner to resolve dispu te through arbitration
(1) In the circumstances contemplated in section 136(l) , any party to the dispute may apply to the director
to appoint a senior commissioner to attempt to reso lve the dispute through arbitration.

(2) When considering whether the dispute should be refe rred to a senior commissioner, the director must
hear the party making the application, any other pa rty to the dispute and the commissioner who
conciliated the dispute.
(3) The director may appoint a senior commissioner to r esolve the dispute through arbitration, after having
considered,
(a) the nature of the questions of law raised by the di spute;
(b) the complexity of the dispute;
(c) whether there are conflicting arbitration awards th at are relevant to the dispute; and
(d) the public interest.
(4) The director must notify the parties to the dispute of the decision and,
(a) if the application has been granted, appoint a seni or commissioner to arbitrate the dispute; or
(b) if the application has been refused, confirm the ap pointment of the commissioner initially
appointed, subject to section 136(4).
(5) The director's decision is final and binding.
(6) No person may apply to any court of law to review t he director's decision until the dispute has been
arbitrated.

138. General provisions for arbitration proceedings

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(1)
The commissioner may conduct the arbitration in a m anner that the commissioner considers appropriate
in order to determine the dispute fairly and quickl y, but must deal with the substantial merits of the
dispute with the minimum of legal formalities.
(2) Subject to the discretion of the commissioner as to the appropriate form of the proceedings, a party to
the dispute may give evidence, call witnesses, ques tion the witnesses of any other party, and address
concluding arguments to the commissioner.
(3) If all the parties consent, the commissioner may su spend the arbitration proceedings and attempt to
resolve the dispute through conciliation.
(4) In any arbitration proceedings, a party to the disp ute may appear in person or be represented only by –
(a) a legal practitioner;
(b) a director or employee of the party; or
(c) any member, office bearer or official of that party ’s registered trade union or registered
employers’ organisation.
(5) If a party to the dispute fails to appear in person or to be represented at the arbitration proceeding s,
and that party –
(a) had referred the dispute to the Commission, the com missioner may dismiss the matter; or
(b) had not referred the dispute to the Commission, the commissioner may –

(i) continue with the arbitration proceedings in the ab sence of that party; or
(ii) adjourn the arbitration proceedings o a later date.
(6) The commissioner must take into account any code of good practice that has been issued by NEDLAC or
guidelines published by the Commission in accordanc e with the provisions of this Act that is relevant to a
matter being considered in the arbitration proceedi ngs.
(7) Within 14 days of the conclusion of the arbitration proceedings,
(a) the commissioner must issue an arbitration award wi th brief reasons, signed by that
commissioner;
(b) the Commission must serve a copy of that award on e ach party to the dispute or the person who
represented a party in the arbitration proceedings; and
(c) the Commission must file the original of that award with the registrar of the Labour Court.
(8) On good cause shown, the director may extend the pe riod within which the arbitration award and the
reasons are to be served and filed.
(9) The commissioner may make any appropriate arbitrati on award in terms of this Act, including, but not
limited to, an award,
(a) that gives effect to any collective agreement;
(b) that gives effect to the provisions and primary obj ects of this Act;
(c) that includes, or is in the form of, a declaratory order.
(10) The commissioner may make an order for the payment of costs according to the requirements of law
and fairness in accordance with rules made by the C ommission in terms of section 115(2A)(j) and
having regard to –
(a) any relevant Code of Good Practice issued by NEDLAC in terms of section 203; or
(b) any relevant guideline issued by the Commission.

139. Special provisions for arbitrating disputes in esse ntial services
(1) If a dispute about a matter of mutual interest proc eeds to arbitration and any party is engaged in an
essential service,

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(a) within 30 days of the date of the certificate refer red to in section 136(l)(a), or within a further
period agreed between the parties to the dispute, t he commissioner must complete the
arbitration and issue an arbitration award with bri ef reasons signed by that commissioner;
(b) the Commission must serve a copy of that award on e ach party to the dispute or the person who
represented a party in the arbitration proceedings; and
(c) the Commission must file the original of that award with the registrar of the Labour Court.
(2) The commissioner may not include an order for costs in the arbitration award unless a party, or the
person who represented the party in the arbitration proceedings, acted in a frivolous or vexatious
manner in its conduct during the arbitration procee dings.

140. Special provisions for arbitrations about dismissal s for reasons related to conduct or capacity
(1) [Deleted] (2) If, in terms of section 194(l), the commissioner fi nds that the dismissal is procedurally unfair, the
commissioner may charge the employer an arbitration fee.

141. Resolution of disputes if parties consent to arbitr ation under auspices of Commission
(1) If a dispute remains unresolved after conciliation, the Commission must arbitrate the dispute if a par ty
to the dispute would otherwise be entitled to refer the dispute to the Labour Court for adjudication a nd,
instead, all the parties agree in writing to arbitr ation under the auspices of the Commission.

(2) The arbitration proceedings must be conducted in ac cordance with the provisions of sections 136, 137
and 138, read with the changes required by the cont ext.
(3) The arbitration agreement contemplated in subsectio n (1) may be terminated only with the written
consent of all the parties to that agreement, unles s the agreement itself provides otherwise.
(4) Any party to the arbitration agreement may apply to the Labour Court at any time to vary or set aside
that agreement, which the Court may do on good caus e.
(5)
(a) If any party to an arbitration agreement commences proceedings in the Labour Court against any
other party to that agreement about any matter that the parties agreed to refer to arbitration,
any party to those proceedings may ask the Court,
(i) to stay those proceedings and refer the dispute to arbitration; or

(ii) with the consent of the parties and where it is exp edient to do so, continue with the
proceedings with the Court acting as arbitrator, in which case the Court may only make an
order corresponding to the award that an arbitrator could have made.
(b) If the Court is satisfied that there is sufficient reason for the dispute to be referred to arbitratio n
in accordance with the arbitration agreement, the C ourt may stay those proceedings, on any
conditions.
(6) If the provisions of subsection (1) apply, the comm issioner may make an award that the Labour Court
could have made.

142. Powers of commissioner when attempting to resolve d isputes
(1) A commissioner who has been appointed to attempt to resolve a dispute may,
(a) subpoena for questioning any person who may be able to give information or whose presence at
the conciliation or arbitration proceedings may hel p to resolve the dispute;

(b) subpoena any person who is believed to have possess ion or control of any book, document or
object relevant to the resolution of the dispute, t o appear before the commissioner to be
questioned or to produce that book, document or obj ect;
(c) call, and if necessary subpoena, any expert to appe ar before the commissioner to give evidence
relevant to the resolution of the dispute;

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(d)
call any person present at the conciliation or arbi tration proceedings or who was or could have
been subpoenaed for any purpose set out in this sec tion, to be questioned about any matter
relevant to the dispute;
(e) administer an oath or accept an affirmation from an y person called to give evidence or be
questioned;
(f) at any reasonable time, but only after obtaining th e necessary written authorisation,
(i) enter and inspect any premises on or in which any b ook, document or object, relevant to
the resolution of the dispute is to be found or is suspected on reasonable grounds of being
found there; and

(ii) examine, demand the production of, and seize any bo ok, document or object that is on or
in those premises and that is relevant to the resol ution of the dispute; and
(iii) take a statement in respect of any matter relevant to the resolution of the dispute from
any person on the premises who is willing to make a statement; and
(g) inspect, and retain for a reasonable period, any of the books, documents or objects that have
been produced to, or seized by, the Commission.
(2) A subpoena issued for any purpose in terms of subse ction (1) must be signed by the director and must,
(a) specifically require the person named in it to appe ar before the commissioner;

(b) sufficiently identify the book, document or object to be produced; and
(c) state the date, time and place at which the person is to appear.
(3) The written authorisation referred to in subsection (1)(f),
(a) if it relates to residential premises, may be given only by a judge of the Labour Court and with
due regard to section 13 of the Constitution, and t hen only on the application of the
commissioner setting out under oath or affirmation the following information,
(i) the nature of the dispute;

(ii) the relevance of any book, document or object to th e resolution of the dispute;
(iii) the presence of any book, document or object on the premises;
(iv) the need to enter, inspect or seize the book, docum ent or object; and
(b) in all other cases, may be given by the director.
(4) The owner or occupier of any premises that a commis sioner is authorised to enter and inspect, and
every person employed by that owner or occupier, mu st provide any facilities that a commissioner
requires to enter those premises and to carry out t he inspection or seizure.

(5) The commissioner must issue a receipt for any book, document or object seized in terms of subsection
(4).
(6) The law relating to privilege, as it applies to a w itness subpoenaed to give evidence or to produce an y
book, document or object before a court of law, app lies equally to the questioning of any person or the
production or seizure of any book, document or obje ct in terms of this section.
(7)
(a) The Commission must pay the prescribed witness fee to each person who appears before a
commissioner in response to a subpoena issued by th e commissioner.

(b) Any person who requests the Commission to issue a s ubpoena must pay the prescribed witness
fee too each person who appears before a commission er in response to the subpoena and who
remains in attendance until excused by the commissi oner.
(c) The Commission may on good cause shown waive the re quirement in paragraph (b) and pay to
the witness the prescribed witness fee.
(8) A person commits contempt of the Commission,

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(a) if, after having been subpoenaed to appear before t he commissioner, the person without good
cause does not attend at the time and place stated in the subpoena;
(b) if, after having appeared in response to a subpoena , that person fails to remain in attendance
until excused by the commissioner;
(c) by refusing to take the oath or to make an affirmat ion as a witness when a commissioner so
requires;

(d) by refusing to answer any question fully and to the best of that person's knowledge and belief
subject to subsection (6);
(e) if the person, without good cause, fails to produce any book, document or object specified in a
subpoena to a commissioner;
(f) if the person willfully hinders a commissioner in p erforming any function conferred by or in terms
of this Act;
(g) if the person insults, disparages or belittles a co mmissioner, or prejudices or improperly
influences the proceedings or improperly anticipate s the commissioner's award;
(h) by wilfully interrupting the conciliation or arbitr ation proceedings or misbehaving in any other
manner during those proceedings;
(i) by doing anything ease in relation to the Commissio n which, if done in relation to a court of law,
would have been contempt of court.
(9)
(a) The commissioner may make a finding that a party is in contempt of the Commission for any of
the reasons set out in subsection (8).

(b) The commissioner may refer the finding, together wi th the record of proceedings, to the Labour
Court for its decision in terms of subsection (11).
(10) Before making a decision in terms of subsection (11 ), the Labour Court –
(a) must subpoena any person found in contempt to appea r before it on a date determined by the
Court;

(b) may subpoena any other person to appear before it o n a date determined by the Court; and
(c) may make any order that it deems appropriate, inclu ding an order in the case of a person who is
not a legal practitioner that the person’s right to represent a party in the Commission and the
Labour Court be suspended.
(11) The Labour Court may confirm, vary or set aside the finding of a commissioner.

(12) If any person fails to appear before the Labour Cou rt pursuant to a subpoena issued in terms of
subsection (10(a), the Court may make any order tha t it deems appropriate in the absence of that
person.

142A. Making settlement agreement arbitration awar d
(1) The Commission may, by agreement between the partie s or on application by a party, make any
settlement agreement in respect of any dispute that has been referred to the Commission, an arbitration
award.

(2) For the purposes of subsection (1), a settlement ag reement is a written agreement in settlement of a
dispute that a party has the right to refer to arbi tration or to the Labour Court, excluding a dispute that a
party is entitled to refer to arbitration in terms of either section 74(4) or 75(7).

143. Effect of arbitration awards
(1) An arbitration award issued by a commissioner is fi nal and binding and it may be enforced as if it were
an order of the Labour Court, unless it is an advis ory arbitration award.

(2) If an arbitration award orders a party to pay a sum of money, the amount earns interest from the date
of the award at the same rate as the rate prescribe d from time to time in respect of a judgment debt in

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terms of section 2 of the Prescribed Rate of Intere
st Act, 1975 (Act No. 55 of 1975), unless the award
provides otherwise.
(3) An arbitration award may only be enforced in terms of subsection (1) if the director has certified that the
arbitration award is an award contemplated in subse ction (1).
(4) If a party fails to comply with an arbitration awar d that order the performance of an act, other than the
payment of an amount of money, any other party to t he award may enforce it by way of contempt
proceedings instituted in the Labour Court.

144. Variation and rescission of arbitration awards and rulings
Any commissioner who has issued an arbitration awar d or ruling or any other commissioner appointed by the
director for that purpose, may on that commissioner 's own accord or, on the application of any affected party,
vary or rescind an arbitration award or ruling – (a) erroneously sought or erroneously made in the absen ce of any party affected by that award;

(b) in which there is an ambiguity, or an obvious error or omission, but only to the extent of that
ambiguity, error or omission; or
(c) granted as a result of a mistake common to the part ies to the proceedings.

145. Review of arbitration awards
(1) Any party to a dispute who alleges a defect in any arbitration proceedings under the auspices of the
Commission may apply to the Labour Court for an ord er setting aside the arbitration award,
(a) within six weeks of the date that the award was ser ved on the applicant, unless the alleged defect
involves corruption; or
(b) if the alleged defect involves corruption, within s ix weeks of the date that the applicant discovers
the corruption.
(1A) The Labour Court may on good cause shown condo ne the late filing of an application in terms of
subsection (1)

(2) A defect referred to in subsection (1), means,
(a) that the commissioner,
(i) committed misconduct in relation to the duties of t he commissioner as an arbitrator;

(ii) committed a gross irregularity in the conduct of th e arbitration proceedings; or
(iii) exceeded the commissioner's powers; or
(b) that an award has been improperly obtained.

(3) The Labour Court may stay the enforcement of the aw ard pending its decision.

(4) If the award is set aside, the Labour Court may,
(a) determine the dispute in the manner it considers ap propriate; or

(b) make any order it considers appropriate about the p rocedures to be followed to determine the
dispute.

146. Exclusion of Arbitration Act
The Arbitration Act, 1965 (Act No. 42 of 1965), doe s not apply to any arbitration under the auspices of the
Commission.
147. Performance of dispute resolution functions by Comm ission in exceptional circumstances
(1)
(a) If at any stage after a dispute has been referred t o the Commission, it becomes apparent that the
dispute is about the interpretation or application of a collective agreement, the Commission may,

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(i)
refer the dispute for resolution in terms of the pr ocedures provided for in that collective
agreement; or

(ii) appoint a commissioner or, if one has been appointe d, confirm the appointment of the
commissioner, to resolve the dispute in terms of th is Act.
(b) The Commission may charge the parties to a collecti ve agreement a fee for performing the
dispute resolution functions if,

(i) their collective agreement does not provide a proce dure as required by section 24(1);
39
or

(ii) the procedure provided in the collective agreement is not operative.
(c) The Commission may charge a party to a collective a greement a fee if that party has frustrated
the resolution of the dispute.
(2)
(a) If at any stage after a dispute has been referred t o the Commission, it becomes apparent that the
parties to the dispute are parties to a council, th e Commission may,
(i) refer the dispute to the council for resolution; or

(ii) appoint a commissioner or, if one has been appointe d, confirm the appointment of the
commissioner, to resolve the dispute in terms of th is Act.
(b) The Commission may charge the parties to a council a fee for performing the dispute resolution
functions if the council's dispute resolution proce dures are not operative.

(3)
(a) If at any stage after a dispute has been referred t o the Commission, it becomes apparent that the
parties to the dispute fall within the registered s cope of a council and that one or more parties to
the dispute are not parties to the council, the Com mission may,
(i) refer the dispute to the council for resolution; or

(ii) appoint a commissioner or, if one has been appointe d, confirm the appointment of the
commissioner, to resolve the dispute in terms of th is Act.
(b) The Commission may charge the parties to a council a fee for performing the dispute resolution
functions if the council's dispute resolution proce dures are not operative.

(4)
(a) If a dispute has been referred to the Commission an d not all the parties to the dispute fall within
the registered scope of a council or fall within th e registered scope of two or more councils, the
Commission must resolve the dispute in terms of thi s Act.

(b) In the circumstances contemplated in paragraph (a), the Commission has exclusive Jurisdiction to
resolve that dispute.
(5)
(a) If at any stage after a dispute has been referred t o the Commission, it becomes apparent that the
dispute ought to have been referred to an accredite d agency, the Commission may,
(i) refer the dispute to the accredited agency for reso lution; or

(ii) appoint a commissioner to resolve the dispute in te rms of this Act.
(b) The Commission may,

(i) charge the accredited agency a fee for performing t he dispute resolution functions if the
accredited agency's dispute resolution procedures a re not operative; and

(ii) review the continued accreditation of that agency.
(6) If at any stage after a dispute has been referred t o the Commission, it becomes apparent that the
dispute ought to have been resolved through private dispute resolution in terms of a private agreement
between the parties to the dispute, the Commission may,

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(a) refer the dispute to the appropriate person or body for resolution through private dispute
resolution procedures; or

(b) appoint a commissioner to resolve the dispute in te rms of this Act.
(7) Where the Commission refers the dispute in terms of this section to a person or body other than a
commissioner the date of the Commission's initial r eceipt of the dispute will be deemed to be the date
on which the Commission referred the dispute elsewh ere.

(8) The Commission may perform any of the dispute resol ution functions of a council or an accredited
agency appointed by the council if the council or a ccredited agency fails to perform its dispute resolution
functions in circumstances where, in law, there is an obligation to perform them.
(9) For the purposes of subsections (2) and (3), a part y to a council includes the members of a registered
trade union or registered employers’ organisation t hat is a party to the council.

39. Section 24(l) states that every collective agreemen t must provide for a procedure to resolve any dispu te
about the interpretation or application of the coll ective agreement.

148. Commission may provide advice
(1) If asked, the Commission may advise any party to a dispute in terms of this Act about the procedure to
be followed for the resolution of that dispute.

(2) In response to a request for advice, the Commission may provide the advice that it considers
appropriate.

149. Commission may provide assistance
(1) If asked, the Commission may assist an employee or employer who is a party to a dispute –

(a) together with the Legal Aid Board
40 to arrange for advice or assistance by a legal pra ctitioner;

(b) together with the Legal Aid Board, to arrange for a legal practitioner,
(i) to attempt to avoid or settle any proceedings being instituted against an employee or
employer in terms of this Act;

(ii) to attempt to settle any proceedings instituted aga inst an employee or employer in terms
of this Act;
(iii) to institute on behalf of the employee or employer any proceedings in terms of this Act;
(iv) to defend or oppose on behalf of the employee or em ployer any proceedings instituted
against the employee or employer in terms of this A ct; or
(c) by providing any other form of assistance that the Commission considers appropriate.
(2) The Commission may provide the assistance referred to in subsection (1) after having considered,
(a) the nature of the questions of law raised by the di spute;

(b) the complexity of the dispute;
(c) whether there are conflicting arbitration awards th at are relevant to the dispute; and
(d) the public interest.

(3) As soon as practicable after having received a requ est in terms of subsection (1), but not later than 30
days of the date the Commission received the reques t, the Commission must advise the applicant in
writing whether or not it will assist the applicant and, if so, the form that the assistance will take .

40. The Legal Aid Board is established in terms of sect ion 2 of the Legal Aid Act, 1969 (Act No. 22 of 196 9).
150. Commission may offer to resolve dispute through con ciliation

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(1)
If the Commission is aware of a dispute that has no t been referred to it, and if resolution of the dispute
would be in the public interest, the Commission may offer to appoint a commissioner to attempt to
resolve the dispute through conciliation.

(2) The Commission may offer to appoint a commissioner to assist the parties to resolve through further
conciliation a dispute that has been referred to th e Commission or a council and in respect of which –
(a) a certificate has been issued in terms of section 1 35(5)(a) stating that the dispute remains
unresolved; or

(b) the period contemplated in section 135(2) has elaps ed;
(3) The Commission may appoint a commissioner in terms of subsection (1) or (2) if all the parties to the
dispute consent to that appointment.

Part D – Labour Court

151. Establishment and status of Labour Court
(1) The Labour Court is hereby established as a court o f law and equity.

(2) The Labour Court is a superior court that has autho rity, inherent powers and standing, in relation to
matters under its jurisdiction, equal to that which a court of a provincial division of the High Court has in
relation to the matters under its jurisdiction.
(3) The Labour Court is a court of record.

152. Composition of Labour Court
(1) The Labour Court consists of,
(a) a Judge President;

(b) a Deputy Judge President; and
(c) as many judges as the President may consider necess ary, acting on the advice of NEDLAC and in
consultation with the Minister of Justice and the J udge President of the Labour Court.
(2) The Labour Court is constituted before a single jud ge.

(3) The Labour Court may sit in as many separate courts as the available judges may allow.

153. Appointment of judges of Labour Court
(1)
(a) The President, acting on the advice of NEDLAC and t he Judicial Service Commission provided for
in the Constitution of the Republic of South Africa , 1996 (Act No. 108 of 1996) (in this Part and
Part E called the Judicial Service Commission) and after consultation with the Minister of Justice,
must appoint a Judge President of the Labour Court.

(b) The President, acting on the advice of NEDLAC and t he Judicial Service Commission and after
consultation with the Minister of Justice and the J udge President of the Labour Court, must
appoint the Deputy Judge President of the Labour Co urt.
(2) The Judge President and the Deputy Judge President of the Labour Court,
(a) must be judges of the High Court; and

(b) must have knowledge, experience and expertise in la bour law.
(3) The Deputy Judge President must act as Judge Presid ent of the Labour Court whenever the Judge
President is unable to do so for any reason.

(4) The President, acting on the advice of NEDLAC and t he Judicial Service Commission and after
consultation with the Minister of Justice and the J udge President of the Labour Court, may appoint one
or more persons who meet the requirements of subsec tion (6) as judges of the Labour Court.

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(5)
The Minister of Justice, after consultation with th e Judge President of the Labour Court may appoint o ne
or more persons who meet the requirements of subsec tion (6) to serve as acting judges of the Labour
Court for such a period as the Minister of Justice in each case may determine.
(6) A judge of the Labour Court must,
(a)
(i) be a judge of the High Court; or

(ii) be a person who is a legal practitioner; and
(b) have knowledge, experience and expertise in labour law.

154. Tenure, remuneration and terms and conditions of ap pointment of Labour Court judges
(1) A judge of the Labour Court must be appointed for a period determined by the President at the time of
appointment.

(2) A judge of the Labour Court may resign by giving wr itten in the office to the President.
(3)
(a) Any judge of the Labour Court who is also a judge of the High Court holds office until,
(i) the judge's period of office in the Labour Court en ds;

(ii) the judge's resignation takes effect;

(iii) the judge is removed from office;
(iv) the judge ceases to be a judge of the High Court; o r
(v) the judge dies.
(b) Any other judge of the Labour Court holds office un til,
(i) the judge's period of office ends;

(ii) the judge's resignation takes effect;
(iii) the judge is removed from office; or
(iv) the judge dies.
(4) Neither the tenure of office nor the remuneration a nd terms and conditions of appointment applicable t o
a judge of the High Court in terms of the Judges' R emuneration and Conditions of Employment Act, 1989
(Act No. 88 of 1989), is affected by that judge's a ppointment and concurrent tenure of office as a jud ge
of the Labour Court.

(5)
(a) The remuneration payable to a judge of the Labour C ourt who is a person referred to in section
153(6)(a)(ii) must be the same as that payable to a judge of the High Court.

(b) The terms and conditions of appointment of a judge of the Labour Court refer,red to in paragraph
(a) must be similar to those of a judge of the High Court.
(6) A person who has been appointed a judge of the Labo ur Court and who is not a judge of the High Court
may perform the functions of a judge of the Labour Court only after having taken an oath or made a
solemn affirmation in the prescribed form before th e Judge President of the Labour Court.

(7)
(a) A judge of the Labour Court who is also a judge of the High Court,
(i) may be removed from the office of judge of the Labo ur Court only if that person has first
been removed from the office of a judge of the High Court; and

(ii) upon having been removed as judge of the High Court must be removed from office as a
judge of the Labour Court.

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(b)
The President, acting on the advice of NEDLAC, and in consultation with the Minister of Justice
and the Judge President of the Labour Court, may re move any other judge of the Labour Court
from office for misbehaviour or incapacity.

(8) Despite the expiry of the period of a person’s appo intment as a judge of the Labour Court, that person
may continue to perform the functions of a judge of that Court, and will be regarded as such in all
respects, only –
(a) for the purposes of disposing of any proceedings in which that person has taken part as a judge
of that Court and which are still pending upon the expiry of that person’s appointment or which,
having been so disposed of before or after the expi ry of that person’s appointment, have been re,
opened; and

(b) for as long as that person will be necessarily enga ged in connection with the disposal of the
proceedings so pending or re,opened.
(9) The provisions of subsections (2) to (8) apply, rea d with the changes required by the context, to acti ng
judges appointed in terms of section 153(5).

155. Officers of Labour Court
(1) The Minister of Justice, subject to the laws govern ing the public service, must appoint the following
officers of the Labour Court,
(a) a person who has experience and expertise in labour law and administration to be the registrar of
the Labour Court; and

(b) one or more deputy registrars and so many other off icers of the Labour Court as the
administration of justice requires.
(2)
(a) The officers of the Labour Court, under the supervi sion and control of the registrar of that Court
must perform the administrative functions of the La bour Court.

(b) A deputy registrar of the Labour Court may perform any of the functions of the registrar of that
Court that have been delegated generally or specifi cally to the deputy registrar.
(3) The deputy registrar of the Labour Court or, if the re is more than one, the most senior will act as
registrar of the Labour Court whenever,
(a) the registrar is absent from the Republic or from d uty, or for any reason is temporarily unable to
perform the functions of registrar; or

(b) the office of registrar is vacant.
(4) The officers of the Labour Court must provide secre tarial and administrative assistance to the Rules
Board for Labour Courts.

156. Area of jurisdiction and seat of Labour Court
(1) The Labour Court has jurisdiction 'in all the provi nces of the Republic.

(2) The Minister of Justice, acting on the advice of NE DLAC, must determine the seat of the Labour Court.
(3) The functions of the Labour Court may be performed at any place in the Republic.

157. Jurisdiction of Labour Court
(1) Subject to the Constitution and section 173, and ex cept where this Act provides otherwise, the Labour
Court has exclusive jurisdiction in respect of all matters that elsewhere in terms of this Act or in t erms of
any other law are to be determined by the Labour Co urt.

(2) The Labour Court has concurrent jurisdiction with t he High Court in respect of any alleged or threatened
violation of any fundamental right entrenched in Ch apter 2 of the Constitution of the Republic of South
Africa, 1996, and arising from –
(a) employment and from labour relations;

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(b)
any dispute over the constitutionally of any execut ive or administrative act or conduct, or any
threatened executive or administrative act or condu ct, by the State in its capacity as an
employer; and
(c) the application of any law for the administration o f which the Minister is responsible.
(3) Any reference to the court in the Arbitration Act, 1965 (Act No. 42 of 1965), must be interpreted as
referring to the Labour Court when an arbitration i s conducted under that Act in respect of any disput e
that may be referred to arbitration in terms of thi s Act.

(4)
(a) The Labour Court may refuse to determine any disput e, other than an appeal or review before the
Court, if the Court is not satisfied that an attemp t has been made to resolve the dispute through
conciliation.

(b) A certificate issued by a commissioner or a council stating that a dispute remains unresolved is
sufficient proof that an attempt has been made to r esolve that dispute through conciliation.
(5) Except as provided in section 158(2), the Labour Co urt does not have jurisdiction to adjudicate an
unresolved dispute if this Act requires the dispute to be resolved through arbitration.

158. Powers of Labour Court
(1) The Labour Court may,
(a) make any appropriate order, including
(i) the grant of urgent interim relief;

(ii) an interdict;
(iii) an order directing the performance of any particula r act which order, when implemented,
will remedy a wrong and give effect to the primary objects of this Act;
(iv) a declaratory order;
(v) an award of compensation in any circumstances conte mplated in this Act;
(vi) an award of damages in any circumstances contemplat ed in this Act; and
(vii) an order for costs;
(b) order compliance with any provision of this Act;

(c) make any arbitration award or any settlement agreem ent an order of the Court;
(d) request the Commission to conduct an investigation to assist the Court and to submit a report to
the Court;
(e) determine a dispute between a registered trade unio n or registered employers' organisation, and
any one of the members or applicants for membership thereof, about any alleged non,compliance
with –
(i) the constitution of that trade union or employers' organisation (as the case may be); or

(ii) section 26(5)(b);
(f) subject to the provisions of this Act, condone the late filing of any document with, or the late
referral of any dispute to, the Court;

(g) subject to section 145, review the performance or p urported performance of any function
provided for in this Act on any grounds that are pe rmissible in law;
(h) review any decision taken or any act performed by t he State in its capacity as employer, on such
grounds as are permissible in law;
(i) hear and determine any appeal in terms of section 3 5 of the Occupational Health and Safety Act,
1993 (Act No. 85 of 1993); and

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(j) deal with all matters necessary or incidental to pe rforming its functions in terms of this Act or any
other law.
(1A) For the purposes of subsection (1)(c), a settl ement agreement is a written agreement in settlemen t of a
dispute that a party has the right to refer to arbi tration or to the Labour Court, excluding a dispute that a
party is only entitled to refer to arbitration in t erms of section 22(4), 74(4) or 75(7).

(2) If at any stage after a dispute has been referred t o the Labour Court, it becomes apparent that the
dispute ought to have been referred to arbitration, the Court may,
(a) stay the proceedings and refer the dispute to arbit ration; or

(b) with the consent of the parties and if it is expedi ent to do so, continue with the proceedings with
the Court sitting as an arbitrator, in which case t he Court may only make any order that a
commissioner or arbitrator would have been entitled to make.
(3) The reference to "arbitration" in subsection (2) mu st be interpreted to include arbitration,
(a) under the auspices of the Commission;

(b) under the auspices of an accredited council;
(c) under the auspices of an accredited agency;
(d) in accordance with a private dispute resolution pro cedure; or

(e) if the dispute is about the interpretation or appli cation of a collective agreement.
(4)
(a) The Labour Court, on its own accord or, at the requ est of any party to the proceedings before it
may reserve for the decision of the Labour Appeal C ourt any question of law that arises in those
proceedings.

(b) A question may be reserved only if it is decisive f or the proper adjudication of the dispute.
(c) the decision of the Labour Appeal Court on any ques tion of law reserved in terms of paragraph
(a), the Labour Court may make any interim order.

159. Rules Board for Labour Courts and rules for Labour Court
(1) The Rules Board for Labour Courts is hereby establi shed.

(2) The Board consists of,
(a) the Judge President of the Labour Court, who is the chairperson;

(b) the Deputy Judge President of the Labour Court; and
(c) the following persons, to be appointed for a period of three years by the Minister of Justice,
acting on the advice of NEDLAC,
(i) a practising advocate with knowledge, experience an d expertise in labour law;

(ii) a practising attorney with knowledge, experience an d expertise in labour law;
(iii) a person who represents the interests of employees;
(iv) a person who represents the interests of employers; and
(v) a person who represents the interests of the State.
(3) The Board may make rules to regulate the conduct of proceedings in the Labour Court, including, but not
limited to,
(a) the process by which proceedings are brought before the Court, and the form and content of that
process;

(b) the period and process for noting appeals;

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(c) the taxation of bills of costs;
(d) after consulting with the Minister of Finance, the fees payable and the costs and expenses
allowable in respect of the service or execution of any process of the Labour Court, and the tariff
of costs and expenses that may be allowed in respec t of that service or execution; and
(e) all other matters incidental to performing the func tions of the Court, including any matters not
expressly mentioned in this subsection that are sim ilar to matters about which the Rules Board
for Courts of Law may make rules in terms of sectio n 6 of the Rules Board for Courts of Law Act,
1985 (Act No. 107 of 1985).
(4) The Board may alter or repeal any rule that it make s.

(5) Five members of the Board are a quorum at any meeti ng of the Board.
(6) The Board must publish any rules that it makes, alt ers or repeals in the Government Gazette.
(7)
(a) A member of the Board who is a judge of the High Co urt may be paid an allowance determined in
terms of subsection (9) in respect of the performan ce of the functions of a member of the Board.

(b) Notwithstanding anything to the contrary in any oth er law, the payment, in terms of paragraph
(a), of an allowance to a member of the Board who i s a judge of the High Court will be in addition
to any salary or allowances, including allowances f or reimbursement of travelling and subsistence
expenses, that is paid to that person in the capaci ty of a judge of that Court.

(8) A member of the Board who is not a judge of the Hig h Court nor subject to the Public Service Act, 1994,
will be entitled to the remuneration, allowances (i ncluding allowances for reimbursement of travelling
and subsistence expenses), benefits and privileges determined in terms of subsection (9).

(9) The remuneration, allowances, benefits and privileg es of the members of the Board –
(a) are determined by the Minister of Justice with the concurrence of the Minister of Finance;

(b) may vary according to the rank, functions to be per formed and whether office is held in a full,
time or part,time capacity; and
(c) may be varied by the Minister of Justice under any law in respect of any person or category of
persons.
(10)
(a) Pending publication in the Government Gazette of ru les made by the Board, matters before the
Court will be dealt with in accordance with such ge neral directions as the Judge President of the
Labour Court, or any other judge or judges of that Court designated by the Judge President for
that purpose, may consider appropriate and issue in writing;

(b) Those directions will cease to be of force on the d ate of the publication of the Board’s rules in the
Government Gazette, except in relation to proceedin gs already instituted before that date. With
regard to those proceedings, those directions will continue to apply unless the Judge President of
the Labour Court has withdrawn them in writing.

160. Proceedings of Labour Court to be carried on in ope n court
(1) The proceedings in the Labour Court must be carried on in open court.

(2) Despite subsection (1), the Labour Court may exclud e the members of the general public, or specific
persons, or categories of persons from the proceedi ngs in any case where a court of a provincial division
of the High Court could have done so.

161. Representation before Labour Court
In any proceedings before the Labour Court, a party to the proceedings may appear in person or be
represented only by – (a) a legal practitioner;

(b) a director or employee of the party;

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(c)
any member, office,bearer or official of that party 's registered trade union or registered
employers' organisation;
(d) a designated agent or official of a council; or
(e) an official of the Department of Labour.

162. Costs
(1) The Labour Court may make an order for the payment of costs, according to the requirements of the law
and fairness.

(2) When deciding whether or not to order the payment o f costs, the Labour Court may take into account,
(a) whether the matter referred to the Court ought to h ave been referred to arbitration in terms of
this Act and, if so, the extra costs incurred in re ferring the matter to the Court; and

(b) the conduct of the parties,
(i) in proceeding with or defending the matter before t he Court; and

(ii) during the proceedings before the Court.
(3) The Labour Court may order costs against a party to the dispute or against any person who represented
that party in those proceedings before the Court.

163. Service and enforcement of orders of Labour Court
Any decision, judgment or order of the Labour Court may be served and executed as if it were a decision,
judgment or order of the High Court.
164. Seal of Labour Court
(1) The Labour Court for use as occasion may require wi ll have an official seal of a design prescribed by the
President by proclamation in the Government Gazette .

(2) The registrar of the Labour Court must keep custody of the official seal of the Labour Court.

165. Variation and rescission of orders of Labour Court
The Labour Court, acting of its own accord or on th e application of any affected party may vary or rescind a
decision, judgment or order – (a) erroneously sought or erroneously granted in the ab sence of any party affected by that judgment
or order;

(b) in which there is an ambiguity, or an obvious error or omission, but only to the extent of that
ambiguity, error or omission; or
(c) granted as a result of a mistake common to the part ies to the proceedings.

166. Appeals against judgment or order of Labour Court
(1) Any party to any proceedings before the Labour Cour t may apply to the Labour Court for leave to appeal
to the Labour Appeal Court against any final judgme nt or final order of the Labour Court.

(2) If the application for leave to appeal is refused, the applicant may petition the Labour Appeal Court for
leave to appeal.
(3) Leave to appeal may be granted subject to any condi tions that the Court concerned may determine.
(4) Subject to the Constitution and despite any other l aw, an appeal against any final judgment or final
order of the Labour Court in any matter in respect of which the Labour Court has exclusive jurisdiction
may be brought only to the Labour Appeal Court.

Part E – Labour Appeal Court

167. Establishment and status of Labour Appeal Court

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(1) The Labour Appeal Court is hereby established as a court of law and equity.

(2) The Labour Appeal Court is the final court of appea l in respect of all judgments and orders made by th e
Labour Court in respect of the matters within its e xclusive jurisdiction.
(3) The Labour Appeal Court is a superior court that ha s authority, inherent powers and standing, in relation
to matters under its equal to that which the Suprem e Court of Appeal has in relation to matters under its
jurisdiction.
(4) The Labour Appeal Court is a court of record.

168. Composition of Labour Appeal Court
(1) The Labour Appeal Court consists of,
(a) the Judge President of the Labour Court, who by vir tue of that office is Judge President of the
Labour Appeal Court;

(b) the Deputy Judge President, who by virtue of that o ffice is Deputy Judge President of the Labour
Appeal Court; and
(c) such number of other judges who are judges of the H igh Court, as may be required for the
effective functioning of the Labour Appeal Court.
(2) The Labour Appeal Court is constituted before any t hree judges whom the Judge President designates
from the panel of judges contemplated in subsection (1).

(3) No judge of the Labour Appeal Court may sit in the hearing of an appeal against a judgment or an order
given in a case that was heard before that judge.

169. Appointment of judges of Labour Appeal Court
(1) The President, acting on the advice of NEDLAC,AC an d the Judicial Service Commission after
consultation with the Minister of Justice and the J udge President of the Labour Appeal Court, must
appoint the three judges of the Labour Appeal Court referred to in section 168(l)(c).

(2) The Minister of Justice, after consultation with th e Judge President of the Labour Appeal Court, may
appoint one or more judges of the High Court to ser ve as acting judges of the Labour Appeal Court.

170. Tenure, remuneration and terms and conditions of ap pointment of Labour Appeal Court judges
(1) A judge of the Labour Appeal Court must be appointe d for a fixed term determined by the President at
the time of appointment.

(2) A judge of the Labour Appeal Court may resign by gi ving written notice to the President.
(3)
(a) A judge of the Labour Appeal Court holds office unt il,
(i) the judge's term of office in the Labour Appeal Cou rt ends;

(ii) the judge's resignation takes effect;
(iii) the judge is removed from office;
(iv) the judge ceases to be a judge of the High Court; o r
(v) the judge dies.
(b) The Judge President and the Deputy Judge President of the Labour Appeal Court hold their offices
for as long as they hold their respective offices o f Judge President and Deputy Judge President of
the Labour Court.

(4) Neither the tenure of office nor the remuneration a nd terms and conditions of appointment applicable t o
a judge of the High Court in terms of the Judges' R emuneration and Conditions of Employment Act, 1989
(Act No. 88 of 1989), is affected by that judge's a ppointment and concurrent tenure of office as a jud ge
of the Labour Appeal Court.

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(5)
A judge of the Labour Appeal Court,
(a) may be removed from the office of judge of the Labo ur Appeal Court only if that person has first
been removed from the office of a judge of the High Court; and

(b) upon having been removed as judge of the High Court must be removed from office as a judge of
the Labour Appeal Court.
(6) Despite the expiry period of a person’s appointment as a judge of the Labour Appeal Court, that person
may continue to perform the functions of a judge of that Court, and will be regarded as such in all
respects, only –
(a) for the purposes of disposing of any proceedings in which that person has taken part as a judge
of that Court and which are still pending upon the expiry of that person’s appointment or which,
having been so disposed of before or after the expi ry of that person’s appointment, have been re,
opened; and

(b) for as long as that person will be necessarily enga ged in connection with the disposal of the
proceedings so pending or re,opened
(7) The provisions of subsections (2) to (6) apply, rea d with the changes required by the context, to acti ng
judges appointed in terms of section 169(2).

171. Officers of Labour Appeal Court
(1) The registrar of the Labour Court is also the regis trar of the Labour Appeal Court.

(2) Each of the deputy registrars and other officers of the Labour Court also holds the corresponding offi ce
in relation to the Labour Appeal Court.
(3)
(a) The officers of the Labour Appeal Court, under the supervision and control of the registrar of that
Court must perform the administrative functions of the Labour Appeal Court.

(b) A deputy registrar of the Labour Appeal Court may p erform any of the functions of the registrar
of that Court that have been delegated generally or specifically to the deputy registrar.
(4) The deputy registrar of the Labour Appeal Court or, if there is more than one, the most senior will act as
registrar of the Labour Appeal Court whenever,
(a) the registrar is absent from the Republic or from d uty, or for any reason is temporarily unable to
perform the functions of registrar; or

(b) the office of registrar is vacant.

172. Area of jurisdiction and seat of Labour Appeal Cour t
(1) The Labour Appeal Court has jurisdiction in all the provinces of the Republic.

(2) The seat of the Labour Court is also the seat of th e Labour Appeal Court.
(3) The functions of the Labour Appeal Court may be per formed at any place in the Republic.

173. Jurisdiction of Labour Appeal Court
(1) Subject to the Constitution and despite any other l aw, the Labour Appeal Court has exclusive
jurisdiction,
(a) to hear and determine all appeals against the final judgments and the final orders of the Labour
Court; and

(b) to decide any question of law reserved in terms of section 158 (4).
(2) [Deleted]

(3) [Deleted] (4) A decision to which any two judges of the Labour Ap peal Court agree is the decision of the Court.

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174.
Powers of Labour Appeal Court on hearing of appeals
The Labour Appeal Court has the power,
(a) on the hearing of an appeal to receive further evid ence, either orally or by deposition before a
person appointed by the Labour Appeal Court, or to remit the case to the Labour Court for further
hearing, with such instructions as regards the taki ng of further evidence or otherwise as the
Labour Appeal Court considers necessary; and

(b) to confirm, amend or set aside the judgment or orde r that is the subject of the appeal and to give
any judgment or make any order that the circumstanc es may require.

175. Labour Appeal Court may sit as court of first insta nce
Despite the provisions of this Part, the Judge Pres ident may direct that any matter before the Labour Court be
heard by the Labour Appeal Court sitting as a court of first instance, in which case the Labour Appeal Court is
entitled to make any order that the Labour Court wo uld have been entitled to make.

176. Rules for Labour Appeal Court
(1) The Rules Board for Labour Courts established by se ction 159 may make rules to regulate the conduct of
proceedings in the Labour Appeal Court.

(2) The Board has all the powers referred to in section 159 when it makes rules for the Labour Appeal Cour t.
(3) The Board must publish in the Government Gazette an y rules that it makes, alters or repeals.

177. Proceedings of Labour Appeal Court to be carried on in open court
(1) The proceedings in the Labour Appeal Court must be carried on in open court.

(2) Despite subsection (1), the Labour Appeal Court may exclude the members of the general public, or
specific persons, or categories of persons from the proceedings in any case where a High Court could
have done so.

178. Representation before Labour Appeal Court
Any person who, in terms of section 161, may appear before the Labour Court has the right to appear before
the Labour Appeal Court.

179. Costs
(1) The Labour Appeal Court may make an order for the p ayment of costs, according to the requirements of
the law and fairness.

(2) When deciding whether or not to order the payment o f costs, the Labour Appeal Court may take into
account,
(a) whether the matter referred to the Court should hav e been referred to arbitration in terms of this
Act and, if so, the extra costs incurred in referri ng the matter to the Court; and

(b) the conduct of the parties,
(i) in proceeding with or defending the matter before t he Court; and

(ii) during the proceedings before the Court.
(3) The Labour Appeal Court may order costs against a p arty to the dispute or against any person who
represented that party in those proceedings before the Court.

180. Service and enforcement of orders

Any decision, judgment or order of the Labour Appea l Court may be served and executed as if it were a
decision, judgment or order of the High Court.
181. Seal of Labour Appeal Court
(1) The Labour Appeal Court for use as the occasion may require will have an official seal of a design
prescribed by the President by proclamation in the Government Gazette.

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(2)
The registrar of the Labour Appeal Court must keep custody of the official seal of the Labour Appeal
Court.

182. Judgments of Labour Appeal Court binding on Labour Court
A judgment of the Labour Appeal Court is binding on the Labour Court.

183. Labour Appeal Court final court of appeal
Subject to the Constitution and despite any other l aw, no appeal lies against any decision, judgment o r order
given by the Labour Appeal Court in respect of, (a) any appeal in terms of section 173(l)(a);

(b) its decision on any question of law in terms of sec tion 173(l)(b); or
(c) any judgment or order made in terms of section 175.

Part F – General Provisions Applicable To Courts Es tablished By This Act

184. General provisions applicable to courts established by this Act

Sections 5,
4118, 42 25, 4330, 4431, 4539, 4640 47 and 42 48 of the Supreme Court Act, 1959 (Act No. 59 of 1959 )
apply, read with the changes required by the contex t, in relation to the Labour Court, or the Labour Appeal
Court, or both, to the extent that they are not inc onsistent with this Act.

41. Scope and execution of process.
42. Certified copies of court records admissible a s evidence.
43. No process to be issued against judge except w ith consent of court.
44. Manner of securing attendance of witnesses or the production of any document.
45. Manner in which witness may be dealt with on r efusal to give evidence or produce document.
46. Property not liable to be seized in execution.
47. Offences relating to execution.
48. Witness fees.

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CHAPTER VIII
UNFAIR DISMISSAL AND UNFAIR LABOUR PRACTICE
185. Right not to be unfairly dismissed or subjected to unfair labour practice
Every employee has the right not to be (a) unfairly dismissed; and

(b) subjected to unfair labour practice.

186. Meaning of dismissal and unfair labour practice
(1) "Dismissal" means that,
(a) an employer has terminated a contract of employment with or without notice;

(b) an employee reasonably expected the employer to ren ew a fixed term contract of employment on
the same or similar terms but the employer offered to renew it on less favourable terms, or did
not renew it;
(c) an employer refused to allow an employee to resume work after she,

(i) took maternity leave in terms of any law, collectiv e agreement or her contract of
employment; or

(ii) was absent from work for up to four weeks before th e expected date, and up to eight
weeks after the actual date, of the birth of her ch ild;
(d) an employer who dismissed a number of employees for the same or similar reasons has offered
to re,employ one or more of them but has refused to re,employ another; or

(e) an employee terminated a contract of employment wit h or without notice because the employer
made continued employment intolerable for the emplo yee.
(f) an employee terminated a contract of employment wit h or without notice because the new
employer, after a transfer in terms of section 197 or section 197A, provided the employee with
conditions or circumstances at work that are substa ntially less favourable to the employee than
those provided by the old employer.
(2) “Unfair labour practice” means any unfair act or om ission that arises between an employer and an
employee involving –
(a) unfair conduct by the employer relating to the prom otion, demotion, probation (excluding
disputes about dismissals for a reason relating to probation) or training of an employee or
relating to the provision of benefits to an employe e;

(b) unfair suspension of an employee or any other unfai r disciplinary action short of dismissal in
respect of an employee;
(c) a failure or refusal by an employer to reinstate or re,employ a former employee in terms of any
agreement; and
(d) an occupational detriment, other than dismissal, in contravention of the Protected Disclosures
Act, 2000 (Act No. 26 of 2000), on account of the e mployee having made a protected disclosure
defined in that Act.

187. Automatically unfair dismissals
(1) A dismissal is automatically unfair if the employer , in dismissing the employee, acts contrary to sect ion
5
49 or, if the reason for the dismissal is,
(a) that the employee participated in or supported, or indicated an intention to participate in or
support, a strike or protest action that complies w ith the provisions of Chapter IV;
50

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(b)
that the employee refused, or indicated an intentio n to refuse, to do any work normally done by
an employee who at the time was taking part in a st rike that complies with the provisions of
Chapter IV or was locked out, unless that work is n ecessary to prevent an actual danger to life,
personal safety or health;
(c) to compel the employee to accept a demand in respec t of any matter of mutual interest between
the employer and employee;
(d) that the employee took action, or indicated an inte ntion to take action, against the employer by,
(i) exercising any right conferred by this Act; or

(ii) participating in any proceedings in terms of this A ct;
(e) the employee's pregnancy, intended pregnancy, or an y reason related to her pregnancy;

(f) that the employer unfairly discriminated against an employee, directly or indirectly, on any
arbitrary ground, including, but not limited to rac e, gender, sex, ethnic or social origin, colour,
sexual orientation, age, disability, religion, cons cience, belief, political opinion, culture, language,
marital status or family responsibility;
(g) a transfer, or a reason related to a transfer, cont emplated in section 197 or 197A; or
(h) a contravention of the Protected Disclosures Act, 2 000, by the employer, on account of an
employee having made a protected disclosure defined in that Act.
(2) Despite subsection (1)(f),
(a) a dismissal may be fair if the reason for dismissal is based on an inherent requirement of the
particular job;

(b) a dismissal based on age is fair if the employee ha s reached the normal or agreed retirement age
for persons employed in that capacity.

49. Section 5 confers protections relating to the right to freedom of association and on members of
workplace forums.
50. Chapter IV deals with industrial action and conduct in support of industrial action. Section 67(4) and (5)
provide,
(4) An employer may not dismiss an employee for par ticipating in a protected strike or for any conduct in
contemplation or in furtherance of a protected stri ke.
(5) Subsection (4) does not preclude an employer fr om fairly dismissing an employee in compliance with
the provisions of Chapter VIII for a reason related to the employee's conduct during the strike, or fo r a
reason based on the employer's operational requirem ents."
Section 77(3) provides,
"A person who takes part in protest action or in an y conduct in contemplation or in furtherance of pro test
action that complies with subsection (1), enjoys th e protections conferred by section 67."

188. Other unfair dismissals
(1) A dismissal that is not automatically unfair, is un fair if the employer fails to prove,
(a) that the reason for dismissal is a fair reason,
(i) related to the employee's conduct or capacity; or

(ii) based on the employer's operational requirements; a nd
(b) that the dismissal was effected in accordance with a fair procedure.

(2) Any person considering whether or not the reason fo r dismissal is a fair reason or whether or not the
dismissal was effected in accordance with a fair pr ocedure must take into account any relevant code of
good practice issued in terms of this Act.
51

51. See Schedule 8, the Code of Good Practice: Dismissa l.
188A. Agreement for pre-dismissal arbitration

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(1)
An employer may, with the consent of the employee, request a council, an accredited agency or the
Commission to conduct an arbitration into allegatio ns about the conduct or capacity of that employee.

(2) The request must be in the prescribed form.
(3) The council, accredited agency or the Commission mu st appoint an arbitrator on receipt of –
(a) payment by the employer of the prescribed fee; and

(b) the employee’s written consent to the inquiry.
(4)
(a) An employee may only consent to a pre,dismissal arb itration after the employee has been
advised of the allegation referred to in subsection (1) and in respect of a specific arbitration.

(b) Despite subparagraph (a), an employee earning more than the amount determined by the
Minister in terms of section 6(3) of the Basic Conditions of Employment Act, may consent to the
holding of a pre,dismissal arbitration in a contrac t of employment.
(5) In any arbitration in terms of this section a party to the dispute may appear in person or be represen ted
only by –
(a) a co,employee

(b) a director or employee, if the party is a juristic person
(c) any member, officer bearer or official of that part y’s registered trade union or registered
employers’ organisation; or
(d) a legal practitioner, o agreement between the parti es.
(6) Section 138, read with the changes required by the context, applies to any arbitration in terms of this
section.

(7) An arbitrator appointed in terms of this section ha s all the powers conferred on a commissioner by
section 142(1)(a) to (e), (2) and (7) to (9), read with the changes required by the context, and any
reference in that section to the director for the p urpose of this section, must be read as a reference to –
(a) the secretary of the council, it the arbitration is held under the auspices of the council;

(b) the director of the accredited agency, if the arbit ration is held under the auspices of an accredited
agency.
(8) The provision of sections 143 to 146 apply to any a ward made by an arbitrator in terms of this section.

(9) An arbitrator conducting an arbitration in terms of this section must, in the light of the evidence
presented and by reference to the criteria of fairn ess in the Act, direct what action, if any, should be
taken against the employee.
(10)
(a) A private agency may only conduct an arbitration in terms of this section if it is accredited for this
purpose by the Commission.

(b) A council may only conduct an arbitration in terms of this section in respect of which the employer
or the employee is not a party to the council, if t he council has been accredited for this purpose by
the Commission.

189. Dismissals based on operational requirements
(1) When an employer contemplates dismissing one or mor e employees for reasons based on the
employer's operational requirements, the employer m ust consult,
(a) any person whom the employer is required to consult in terms of a collective agreement;

(b) if there is no collective agreement that requires c onsultation –
(i) a workplace forum, if the employees likely to be af fected by the proposed dismissals are
employed in a workplace in respect of which there i s a workplace forum; and

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(ii)
any registered trade union whose members are likely to be affected by the proposed
dismissals;
(c) if there is no workplace forum in the workplace in which the employees likely to be affected by
the proposed dismissals are employed, any registere d trade union whose members are likely to
be affected by the proposed dismissals; or

(d) if there is no such trade union, the employees like ly to be affected by the proposed dismissals or
their representatives nominated for that purpose.
(2) The employer and the other consulting parties must, in the consultation envisaged by subsections (1)
and (3), engage in a meaningful joint consensus,see king process and attempt to reach consensus on –
(a) appropriate measures,
(i) to avoid the dismissals;

(ii) to minimise the number of dismissals;
(iii) to change the timing of the dismissals; and
(iv) to mitigate the adverse effects of the dismissals;
(b) the method for selecting the employees to be dismis sed; and

(c) the severance pay for dismissed employees.

(3) The employer must issue a written notice inviting t he other consulting party to consult with it and
disclose in writing all relevant information, inclu ding, but not limited to,
(a) the reasons for the proposed dismissals;

(b) the alternatives that the employer considered befor e proposing the dismissals, and the reasons
for rejecting each of those alternatives;
(c) the number of employees likely to be affected and t he job categories in which they are employed;
(d) the proposed method for selecting which employees t o dismiss;
(e) the time when, or the period during which, the dism issals are likely to take effect;
(f) the severance pay proposed;
(g) any assistance that the employer proposes to offer to the employees likely to be dismissed;
(h) the possibility of the future re,employment of the employees who are dismissed;
(i) the number of employees employed by the employer; a nd
(j) the number of employees that the employer has dismi ssed for reasons based on its operation
requirements in the preceding 12 months.
(4)
(a) The provisions of section 16 apply, read with the c hanges required by the context, to the
disclosure of information in terms of subsection (3 ).

(b) In any dispute in which in which an arbitrator or t he Labour Court is required to decide whether
or not any information is relevant, the onus is on the employer to prove that any information that
it has refused to disclose is not relevant for the purposes for which it is sought.
(5) The employer must allow the other consulting party an opportunity during consultation to make
representations about any matter dealt with in subs ections (2), (3) and (4), as well as any other matter
relating to the proposed dismissals.

(6)
(a) The employer must consider and respond to the repre sentations made by the other consulting
party and, if the employer does not agree with them , the employer must state the reasons for
disagreeing.

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(b)
If any representation is made in writing, the emplo yer must respond in writing.
(7) The employer must select the employees to be dismis sed according to selection criteria,
(a) that have been agreed to by the consulting parties; or

(b) if no criteria have been agreed, criteria that are fair and objective.

189A. Dismissals based on operational requirements by employers with more than 50 employees
(1) This section applies to employers employing more th an 50 employees if –
(a) the employer contemplates dismissing by reason of t he employer’s operational requirements, at
least –
(i) 10 employees, if the employer employs up to 200 emp loyees;

(ii) 20 employees, if the employer employs more than 200 , but not more than 300
employees;
(iii) 30 employees, if the employer employs more than 300 , but not more than 400,
employees;
(iv) 40 employees, if the employer employs more than 400 , but not more than 500,
employees; or
(v) 50 employees if the employer employs more than 500 employees; or
(b) the number of employees that the employer contempla tes dismissing, together with the number of
employees that have been dismissed by reason of the employer’s operational requirements in the
12 months prior to the employer issuing a notice in terms of section 189(3), is equal to or exceeds
the relevant number specified I paragraph (a).

(2) In respect of any dismissal covered by this section –
(a) an employer must give notice of termination of empl oyment in accordance with the provisions of
this section;

(b) despite section 65(1)(c), an employee may participa te in a strike and an employer may lock out in
accordance with the provisions of this section;
(c) the consulting parties may agree to vary the time p eriods for facilitation or consultation.
(3) The Commission must appoint a facilitator in terms of any regulations made under subsection (6) to
assist the parties engaged in consultations if –
(a) the employer has in its notice in terms of section 189(3) requested facilitation; or

(b) consulting parties representing the majority of emp loyees whom the employer contemplates
dismissing have requested facilitation and have not ified the Commission within 15 days of the
notice.
(4) This section does not prevent an agreement to appoi nt a facilitator in circumstances not contemplated in
subsection (3).

(5) If a facilitator is appointed in terms of subsectio n (3) or (4) the facilitation must be conducted in terms of
any regulations made by the Minister under subsecti on (6) for the conduct of such facilitations.
(6) The Minister, after consulting NEDLAC and the Commi ssion, may make regulations relating to –
(a) the time period and the variation of time periods, for facilitation;

(b) the powers and duties of facilitators;
(c) the circumstances in which the Commission may charg e a fee for appointing a facilitator and the
amount of the fee; and
(d) any other matter necessary for the conduct of facil itations.

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(7)
If a facilitator is appointed in terms of subsectio n (3) or (4), and 60 days have elapsed from the dat e on
which notice was given in terms of section 189(3) –
(a) the employer may give notice to terminate the contr acts of employment in accordance with
section 37(1) of the Basic Conditions of Employment Act ; and

(b) a registered trade union or the employees who have received notice of termination may either –
(i) give notice of a strike in terms of section 64(1)(b ) or (d); or

(ii) refer a dispute concerning whether there is a fair reason for the dismissal to the Labour
Court in terms of section 191(11).
(8) If a facilitator is not appointed –
(a) a party may not refer a dispute to a council or the Commission unless a period of 30 days has
lapsed from the date on which notice was given in t erms of section 189(3); and

(b) once the periods mentioned in section 64(1)(a) have elapsed –
(i) the employer may give notice to terminate the contr acts of employment in accordance
with section 37(1) of the Basic Conditions of Employment Act ; and

(ii) a registered trade union or the employees who have received notice of termination may –
(aa) give notice of a strike in terms of section 64(1)(b ) or (d); or

(bb) refer a dispute concerning whether there is a fair reason for the dismissal to the
Labour Court in terms of section 191(11).
(9) Notice of the commencement of a strike may be given if the employer dismisses or gives notice of
dismissal before the expiry of the periods referred to in subsections (7)(a) or (8)(b)(i).

(10)
(a) A consulting party may not –
(i) give notice of a strike in terms of this section in respect of a dismissal, if it has referred a
dispute concerning whether there is a fair reason f or that dismissal to the Labour Court;

(ii) refer a dispute about whether there is a fair reaso n for a dismissal to the Labour Court, if
it has given notice of a strike in terms of this se ction in respect of that dismissal.
(b) If a trade union gives notice of a strike in te rms of this section ,
(i) no member of that trade union and no employee, to w hom a collective agreement
concluded by that trade union dealing with consulta tion or facilitation in respect of
dismissals by reason of the employers’ operational requirements has been extended in
terms of section 23(1)(d), may refer a dispute conc erning whether there is a fair reason
for dismissal to the Labour Court;

(ii) any referral to the Labour Court contemplated by su bparagraph (i) that has been made is
deemed to be withdrawn.
(11) The following provisions of Chapter IV apply to any strike or lock,out in terms of this section:
(a) Section 64(1) and (3)(a) to (d), except that –
(i) section 64(1)(a) does not apply if a facilitator is appointed in terms of this section;

(ii) an employer may only lock out in respect of a dispu te in which a strike notice has been
issued;
(b) subsection (2)(a), section 65(1) and (3);
(c) section 66, except that written notice of any propo sed secondary strike must be given at least 14
days prior to the commencement of the strike;

(d) sections 67, 68, 69 and 76.

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(12)

(a) During the 14,day period referred to in subsection (11)(c), the director must, if requested by an
employer who has received notice of any intended se condary strike, appoint a commissioner to
attempt to resolve any dispute between the employer and the party who gave the notice, through
conciliation.

(b) A request to appoint a commissioner or the appointm ent of a commissioner in terms of paragraph
(a) does not affect the right of employees to strik e on the expiry of the 14,day period.

(13) If an employer does not comply with a fair procedur e, a consulting party may approach the Labour Court
by way of an application for an order –
(a) compelling the employer to comply with a fair proce dure;

(b) interdicting or restraining the employer from dismi ssing an employee prior to complying with a fair
procedure;
(c) directing the employer to reinstate an employee unt il it has complied with a fair procedure;
(d) make an award of compensation, if an order in terms of paragraphs (a) to (c) is not appropriate.
(14) Subject to this section, the Labour Court may make any appropriate order referred to in section
158(1)(a).

(15) An award of compensation made to an employee in ter ms of subsection (14) must comply with section
194.

(16) The Labour Court may not make an order in respect o f any matter concerning the disclosure of
information in terms of section 189(4) that has bee n the subject of an arbitration award in terms of
section 16.
(17)
(a) An application in terms of subsection (13) must be brought not later than 30 days after the
employer has given notice to terminate the employee ’s services or, if notice is not given, the date
on which the employees are dismissed.

(b) The Labour Court may, on good cause shown, condone a failure to comply with the time limit
mentioned in paragraph (a).
(18) The Labour Court may not adjudicate a dispute about the procedural fairness of a dismissal based on the
employer’s operational requirements in any dispute referred to it in terms of section 191(5)(b)(ii).

(19) In any dispute referred to the labour Court in ter ms of section 191(5)(b)(ii) that concerns the dismi ssal
of the number of employees specified in subsection (1), the Labour Court must find that the employee
was dismissed for a fair reason if –
(a) the dismissal was to give effect to a requirement b ased on the employer’s economic, technological,
structural or similar needs;

(b) the dismissal was operationally justifiable on rati onal grounds;
(c) there was a proper consideration of alternatives; a nd
(d) selection criteria were fair and objective.
(20) For the purposes of this section, an ‘employer’ in the public service is the executing authority of a
national department, provincial administration, pro vincial department or organisational component
contemplated in section 7(2) of the Public Service Act, 1994 (promulgated by Proclamation No. 103 of
1994).

190. Date of dismissal
(1) The date of dismissal is the earlier of,
(a) the date on which the contract of employment termin ated; or

(b) the date on which the employee left the service of the employer.
(2) Despite subsection (i),

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(a) if an employer has offered to renew on less favoura ble terms, or has failed to renew, a fixed,term
contract of employment, the date of dismissal is th e date on which the employer offered the less
favourable terms or the date the employer notified the employee of the intention not to renew
the contract;

(b) if the employer refused to allow an employee to res ume work, the date of dismissal is the date on
which the employer first refused to allow the emplo yee to resume work;
(c) if an employer refused to reinstate or re,employ th e employee, the date of dismissal is the date
on which the employer first refused to reinstate or re,employ that employee.

191. Disputes about unfair dismissals and unfair labour practices
52
(1)
(a) If there is a dispute about the fairness of a dismi ssal or a dispute about an unfair labour practice,
the dismissed employee or the employee alleging the unfair labour practice may refer the dispute
in writing within to,
(i) a council, if the parties to the dispute fall withi n the registered scope of that council; or

(ii) the Commission, if no council has jurisdiction.
(b) A referral in terms of paragraph (a) must be made w ithin –
(i) 30 days of the date of a dismissal or, if it is a l ater date, within 30 days of the employer
making a final decision to dismiss or uphold the di smissal;

(ii) 90 days of the date of the act or omission which al legedly constitutes the unfair labour
practice or, if it is a later date, within 90 days of the date on which the employee became
aware of the act or occurrence.
(2) If the employee shows good cause at any time, the c ouncil or the Commission may permit the employee
to refer the dispute after the relevant time limit in subsection (1) has expired.

(2A) Subject to subsections (1) and (2), an employe e whose contract of employment is terminated by notice,
may refer the dispute to the council or the Commiss ion once the employee has received that notice.

(3) The employee must satisfy the council or the Commis sion that a copy of the referral has been served on
the employer.

(4) The council or the Commission must attempt to resol ve the dispute through conciliation.
(5) If a council or a commissioner has certified that t he dispute remains unresolved, or if 30 days have
expired since the council or the Commission receive d the referral and the dispute remains unresolved,
(a) the council or the Commission must arbitrate the di spute at the request of the employee if,
(i) the employee has alleged that the reason for dismis sal related to the employee's conduct
or capacity, unless paragraph (b)(iii) applies;

(ii) the employee has alleged that the reason for dismis sal is that the employer made
continued employment intolerable or the employer pr ovided the employee with
substantially less favourable conditions or circums tances at work after a transfer in terms
of section 197 or 197A, unless the employee alleges that the contract of employment was
terminated for a reason contemplated in section 187 ;
(iii) the employee does not know the reason for dismissal ; or
(iv) the dispute concerns an unfair labour practice; or
(b) the employee may refer the dispute to the Labour Co urt for adjudication if the employee has
alleged that the reason for dismissal is,
(i) automatically unfair;

(ii) based on the employer's operational requirements;

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(iii)
the employee's participation in a strike that does not comply with the provisions of
Chapter IV; or

(iv) because the employee refused to join, was refused m embership of or was expelled from a
trade union party to a closed shop agreement.
(5A) Despite any other provision in the Act, the co uncil or Commission must commence the arbitration
immediately after certifying that the dispute remai ns unresolved if the dispute concerns –
(a) the dismissal of an employee for any reason relatin g to probation;

(b) any unfair labour practice relating to probation;
(c) any other dispute contemplated in subsection (5)(a) in respect of which no party has objected to
the matter being dealt with in terms of this subsec tion.
(6) Despite subsection (5)(a) or (5A), the director mus t refer the dispute to the Labour Court, if the director
decides, on application by any party to the dispute , that to be appropriate after considering,
(a) the reason for dismissal;

(b) whether there are questions of law raised by the di spute;
(c) the complexity of the dispute;
(d) whether there are conflicting arbitration awards th at need to be resolved;
(e) the public interest.
(7) When considering whether the dispute should be refe rred to the Labour Court, the director must give the
parties to the dispute and the commissioner who att empted to conciliate the dispute, an opportunity to
make representations.

(8) The director must notify the parties of the decisio n and refer the dispute,
(a) to the Commission for arbitration; or

(b) to the Labour Court for adjudication.
(9) The director's decision is final and binding.

(10) No person may apply to any court of law to review t he director's decision until the dispute has been
arbitrated or adjudicated, as the case may be.
(11)
(a) The referral, in terms of subsection (5)(b), of a d ispute to the Labour Court for adjudication must
be made within 90 days after the council or (as the case may be) the commissioner has certified
that the dispute remains unresolved.

(b) However, the Labour Court may condone non,observanc e of that timeframe on good cause
shown.
(12) If an employee is dismissed by reason of the employ er’s operational requirements following a
consultation procedure in terms of section 189 that applied to that employee only, the employee may
elect to refer the dispute either to arbitration or to the Labour Court.

(13)
(a) An employee may refer a dispute concerning an alleg ed unfair labour practice to the Labour Court
for adjudication if the employee has alleged that t he employee has been subjected to an
occupational detriment by the employer in contraven tion of section 3 of the Protected Disclosures
Act, 2000 , for having made a protected disclosure defined in that Act.

(b) A referral in terms of paragraph (a) is deemed to b e made in terms of subsection (5)(b).

52. See flow diagrams Nos. 10, 11, 12 and 13 in Schedul e 4.
192. Onus in dismissal disputes

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(1)
In any proceedings concerning any dismissal, the em ployee must establish the existence of the
dismissal.

(2) If the existence of the dismissal is established, t he employer must prove that the dismissal is fair.

193. Remedies for unfair dismissal and unfair labour pra ctice
(1) If the Labour Court or an arbitrator appointed in t erms of this Act finds that a dismissal is unfair, the
Court or the arbitrator may,
(a) order the employer to reinstate the employee from a ny date not earlier than the date of
dismissal;

(b) order the employer to re,employ the employee, eithe r in the work in which the employee was
employed before the dismissal or in other reasonabl y suitable work on any terms and from any
date not earlier than the date of dismissal; or
(c) order the employer to pay compensation to the emplo yee.
(2) The Labour Court or the arbitrator must require the employer to reinstate or re,employ the employee
unless,
(a) the employee does not wish to be reinstated or re,e mployed;

(b) the circumstances surrounding the dismissal are suc h that a continued employment relationship
would be intolerable;

(c) it is not reasonably practicable for the employer t o reinstate or re,employ the employee; or
(d) the dismissal is unfair only because the employer d id not follow a fair procedure.
(3) If a dismissal is automatically unfair or, if a dis missal based on the employer's operational requirem ents
is found to be unfair, the Labour Court in addition may make any other order that it considers
appropriate in the circumstances.
53

(4) An arbitrator appointed in terms of this Act may de termine any unfair labour practice dispute referred to
the arbitrator, on terms that the arbitrator deems reasonable, which may include ordering
reinstatement, re,employment or compensation.

53. The Court, for example, in the case of a dismissal that constitutes an act of discrimination, may wish to
issue an interdict obliging the employer to stop th e discriminatory practice in addition to one of the other
remedies it may grant.

194. Limits on compensation
(1) The compensation awarded to an employee whose dismi ssal is found to be unfair either because the
employer did not prove that the reason for dismissa l was a fair reason relating to the employee’s
conduct or capacity or the employer’s operational r equirements or the employer did not follow a fair
procedure, or both, must be just and equitable in a ll the circumstances, but may not be more than the
equivalent of 12 months’ remuneration calculated at the employee’s rate of remuneration on the date of
dismissal.

(2) [Deleted] (3) The compensation awarded to an employee whose dismi ssal is automatically unfair must be just and
equitable in all the circumstances, but not more th an the equivalent of 24 months' remuneration
calculated at the employee's rate of remuneration o n the date of dismissal.
(4) The compensation awarded to an employee in respect of an unfair labour practice must be just and
equitable in all the circumstances, but not more th an the equivalent of 12 months’ remuneration.

195. Compensation is in addition to any other amount
An order or award of compensation made in terms of this Chapter is in addition to, and not a substitute for, any
other amount to which the employee is entitled in t erms of any law, collective agreement or contract o f
employment.

196. Severance pay

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(1) An employer must pay an employee who dismissed for reasons based on the employer's operational
requirements severance pay equal to at least one we ek's remuneration for each completed year of
continuous service with that employer, unless the e mployer has been exempted from the provisions of
this subsection.

(2) The Minister, after consulting NEDLAC and the Publi c Service Co,ordinating Bargaining Council, may var y
the amount of severance pay in terms of subsection (1) by notice in the Government Gazette.
(3) An employee who unreasonably refuses to accept the employer's offer of alternative employment with
that employer or any other employer is not entitled to severance pay in terms of subsection (1).
(4) The payment of severance pay in compliance with thi s section does not affect an employee's right to any
other amount payable according to law.
(5) An employer or a category of employers may apply to the Minister for exemption from the provisions of
subsection (1) as if the application is one in term s of the Basic Conditions of Employment Act and the
Minister may grant an exemption as if it were an ex emption granted in terms of that Act.
(6) If there is a dispute only about the entitlement to severance pay in terms of this section, the employ ee
may refer the dispute in writing to,
(a) a council, if the parties to the dispute fall withi n the registered scope of that council; or

(b) the Commission, if no council has jurisdiction
(7) The employee who refers the dispute to the council or the Commission must satisfy it that a copy of the
referral has been served on all the other parties t o the dispute.

(8) The council or the Commission must attempt to resol ve the dispute through conciliation.
(9) If the dispute remains unresolved, the employee may refer it to arbitration.
(10) If the Labour Court is adjudicating a dispute about a dismissal based on the employer's operational
requirements, the Court may inquire into and determ ine the amount of any severance pay to which the
dismissed employee may be entitled and the Court ma y make an order directing the employer to pay
that amount.

197. Transfer of contract of employment
(1) In this section and in section 197A –
(a) ‘business’ includes the whole or a part of any business, trad e, undertaking or service; and

(b) ‘transfer’ means the transfer of a business by one employer ( ‘the old employer’) to another
employer (‘the new employer’) as a going concern.
(2) If a transfer of a business takes place, unless oth erwise agreed in terms of subsection (6) –
(a) the new employer is automatically substituted in th e place of the old employer in respect of all
contracts of employment in existence immediately be fore the date of transfer;

(b) all the rights and obligations between the old empl oyer and an employee at the time of the
transfer continue in force as if they had been righ ts and obligations between the new employer
and the employee;
(c) anything done before the transfer by or in relation to the old employer, including the dismissal of
an employee or the commission of an unfair labour p ractice or act of unfair discrimination, is
considered to have been done by or in relation to t he new employer; and
(d) the transfer does not interrupt an employee’s conti nuity of employment, and an employee’s
contract of employment continues with the new emplo yer as if with the old employer.
(3)
(a) The new employer complies with subsection (2) if th at employer employs transferred employees
on terms and conditions that are on the whole not l ess favourable to the employees than those
on which they were employed by the old employer.

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(b)
Paragraph (a) does not apply to employees if any of their conditions of employment are
determined by a collective agreement.
(4) Subsection (2) does not prevent an employee from be ing transferred to a pension, provident, retirement
or similar fund other than the fund to which the em ployee belonged prior to the transfer, if the criteria in
section 14(1)(c) of the Pension Funds Act, 1956 (Act No. 24 of 1956), are satisfied
53a.

(5)
(a) For the purposes of this subsection, the collective agreements and arbitration awards referred to
in paragraph (b) are agreements and awards that bou nd the old employer in respect of the
employees to be transferred, immediately before the date of transfer.

(b) Unless otherwise agreed in terms of subsection (6), the new employer is bound by –
(i) any arbitration award made in terms of this Act, th e common law or any other law;

(ii) any collective agreement binding in terms of sectio n 23; and
(iii) any collective agreement binding in terms of sectio n 32, unless a commissioner acting in
terms of section 62 decides otherwise.
(6)
(a) An agreement contemplated in subsection (2) must be in writing and concluded between –
(i) either the old employer, the new employer, or the o ld and new employers acting jointly,
on the one hand; and

(ii) the appropriate person or body referred to in secti on 189(1), on the other.
(b) In any negotiations to conclude an agreement contem plated by paragraph (a), the employer or
employers contemplated in subparagraph (i), all rel evant information that will allow it to engage
effectively in the negotiations.
(c) Section 16(4) to (14) applies, read with the change s required by the context, to the disclosure of
information in terms of paragraph (b).
(7) The old employer must –
(a) agree with the new employer to a valuation as at th e date of transfer of –
(i) the leave pay accrued to the transferred employees of the old employer;

(ii) the severance pay that would have been payable to t he transferred employees of the old
employer in the event of a dismissal by reason of t he employer’s operational
requirements; and
(iii) any other payments that have accrued to the transfe rred employees but have not been
paid to employees of the old employer.
(b) conclude a written agreement that specifies –
(i) which employer is liable for paying any amount refe rred to in paragraph (a), and in the
case of the apportionment of liability between them , the terms of the apportionment; and

(ii) what provision has been made for any payment contem plated in paragraph (a) if any
employee becomes entitled to receive a payment;
(c) disclose the terms of the agreement contemplated in paragraph (b) to each employee who after
the transfer becomes employed by the new employer; and

(d) take any other measure that may be reasonable in th e circumstances to ensure that adequate
provision is made for any obligation on the new emp loyer that may arise in terms of paragraph
(a).
(8) For a period of 12 months after the date of the tra nsfer, the old employer is jointly and severally liable
with the new employer to any employee who becomes e ntitled to receive a payment contemplated in
subsection (7)(a) as a result of the employee’s dis missal for a reason relating to the employer’s
operational requirements or the employer’s liquidat ion or sequestration, unless the old employer is able
to show that it has complied with the provisions of this section.

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(9) The old and new employer are jointly and severally liable in respect of any claim concerning any term or
condition of employment that arose prior to the tra nsfer.
(10) This section does not affect the liability of any p erson to be prosecuted for, convicted of and senten ced
for, any offence.

53a. Section 14(1)(c) of the Pensions Funds Act req uires the registrar to be satisfied that any scheme to
amalgamate or transfer funds is reasonable and equi table, and accords full recognition to the rights and
reasonable benefit expectations of the persons conc erned in terms of the fund rules, and to additional
benefits which have become established practice.

197A Transfer of contract of employment in circumst ances of insolvency
(1) This section applies to the transfer of a business –
(a) if the old employer is insolvent; or

(b) if a scheme of arrangement or compromise is being e ntered into to avoid winding up
sequestration for reasons of insolvency.
(2) Despite the Insolvency Act, 1936 (Act No. 24 of 1936), if a transfer of a business t akes place in the
circumstances contemplated in subsection (1), unles s otherwise agreed in terms of section 197(6) –
(a) the new employer is automatically substituted in th e place of the old employer in all contracts of
employment in existence immediately before the old employer’s provisional winding up or
sequestration;

(b) all the rights and obligations between the old empl oyer and each employee at the time of the
transfer remain rights and obligations between the old employer and each employee;
(c) anything done before the transfer by the old employ er in respect of each employee is considered
to have been done by the old employer;
(d) the transfer does not interrupt the employee’s cont inuity of employment and the employee’s
contract of employment continues with the new emplo yer as if with the old employer.
(3) Section 197(3), (4), (5) and (10) applies to a tran sfer in terms of this section any reference to an
agreement in that section must be read as a referen ce to an agreement contemplated in section 197(6).

(4) Section 197(5) applies to a collective agreement or arbitration binding on the employer immediately
before the employer’s provisional winding up or seq uestration.
(5) Section 197(7), (8) and (9) does not apply to a tra nsfer in accordance with this section.

197B Disclosure of information concerning insolvenc y
(1) An employer that is facing financial difficulties t hat may reasonably result in the winding up or
sequestration of the employer must advise a consult ing party contemplated in section 189(1).

(2)
(a) An employer that applies to be wound up or sequestr ated, whether in terms of the Insolvency
Act, 1936 or any other law, must at the time of making appli cation, provide a consulting party
contemplated in section 189(1) with a copy of the a pplication.

(b) An employer that receives an application for its wi nding up or sequestration must supply a copy
of the application to any consulting party contempl ated in section 189(1), within two days of
receipt, or if the proceedings are urgent, within 1 2 hours.

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CHAPTER IX
GENERAL PROVISIONS
198. Temporary Employment Services
(1) In this section, "temporary employment service" mea ns any person who, for reward, procures for or
provides to a client other persons,
(a) who render services to, or perform work for, the cl ient; and

(b) who are remunerated by the temporary employment ser vice.
(2) For the purposes of this Act, a person whose servic es have been procured for or provided to a client by a
temporary employment service is the employee of tha t temporary employment service, and the
temporary employment service is that person's emplo yer.

(3) Despite subsections (1) and (2), a person who is an independent contractor is not an employee of a
temporary employment service, nor is the temporary employment service the employer of that person.
(4) The temporary employment service and the client are jointly and severally liable if the temporary
employment service, in respect of any of its employ ees, contravenes,
(a) a collective agreement concluded in a bargaining co uncil that regulates terms and conditions of
employment;

(b) a binding arbitration award that regulates terms an d conditions of employment;
(c) the Basic Conditions o Employment Act; or
(d) a determination made in terms of the Wage Act.
(5) Two or more bargaining councils may agree to bind t he following persons, if they fall within the
combined registered scope of those bargaining counc ils, to a collective agreement concluded in any one
of them,
(a) temporary employment service;

(b) a person employed by a temporary employment service ; and
(c) a temporary employment service client.
(6) An agreement concluded in terms of subsection (5) i s binding only if the collective agreement has been
extended to non,parties within the registered scope of the bargaining council.

(7) Two or more bargaining councils may agree to bind t he following persons, who fall within their combined
registered scope, to a collective agreement,
(a) temporary employment service;

(b) a person employed by a temporary employment service ; and
(c) a temporary employment service's client.
(8) An agreement concluded in terms of subsection (7) i s binding only if,
(a) each of the contracting bargaining councils has req uested the Minister to extend the agreement
to non,parties falling within its registered scope;

(b) the Minister is satisfied that the terms of the agr eement are not substantially more onerous than
those prevailing in the corresponding collective ag reements concluded in the bargaining councils;
and
(c) the Minister, by notice in the Government Gazette, has extended the agreement as requested by
all the bargaining councils that are parties to the agreement.

199. Contracts of employment may not disregard or waive collective agreements or arbitration awards

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(1)
A contract of employment, whether concluded before or after the coming into operation of any applicable
collective agreement or arbitration award, may not,
(a) permit an employee to be paid remuneration that is less than that prescribed by that collective
agreement or arbitration award;

(b) permit an employee to be treated in a manner, or to be granted any benefit, that is less
favourable than that prescribed by that collective agreement or arbitration award; or
(c) waive the application of any provision of that coll ective agreement or arbitration award.
(2) A provision in any contract that purports to permit or grant any payment, treatment, benefit, waiver o r
exclusion prohibited by subsection (1) is invalid.

200. Representation of employees or employers
(1) A registered trade union or registered employers' o rganisation may act in any one or more of the
following capacities in any dispute to which any of its members is a party,
(a) in its own interest;

(b) on behalf of any of its members;
(c) in the interest of any of its members.
(2) A registered trade union or a registered employers' organisation is entitled to be a party to any
proceedings in terms of this Act if one or more of its members is a party to those proceedings.

200A. Presumption as to who is employee (1) Until the contrary is proved, a person, who works f or or renders services to any other person, is
presumed, regardless of the form of the contract, t o be an employee, if any one or more of the followi ng
factors are present:
(a) the manner in which the person works is subject to the control or direction of another person;

(b) the person’s hours of work are subject to the contr ol or direction of another person;
(c) in the case of a person who works for an organisati on, the person forms part of that organisation;
(d) the person has worked for that other person for an average of at least 40 hours per month over
the last three months;
(e) the person is economically dependent on the other p erson for whom he or she works or renders
services;
(f) the person is provided with tools of trade or work equipment by the other person; or
(g) the person only works for or renders services to on e person.
(2) Subsection (1) does not apply to any person who earns in excess of the amount determined by the
Minister in terms of section 6(3) of the Basic Conditions of Employment Act.

(3) If a proposed or existing work arrangement invo lves persons who earn amounts equal to or below the
amounts determined by the Minister in terms of sect ion 6(3) of the Basic Conditions of Employment Act ,
any of the contracting parties may approach the Com mission for an advisory award on whether the
persons involved in the arrangement are employees.
(4) NEDLAC must prepare and issue a Code of Good Pr actice that sets out guidelines for determining whether
persons, including those who earn in excess of the amount determined in subsection (2) are employees.

201. Confidentiality
(1) A person commits an offence by disclosing any infor mation relating to the financial or business affairs of
any other person or any business, trade or undertak ing if the information was acquired by the first,
mentioned person in the performance of any function or exercise of any power in terms of this Act, in
any capacity, by or on behalf of,
(a) a council;

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(b)
any independent body established by a collective ag reement or determination to grant
exemptions from the provisions of the collective ag reement or determination;

(c) the registrar;
(d) the Commission; and
(e) an accredited agency.
(2) Subsection (1) does not apply if the information wa s disclosed to enable a person to perform a function
or exercise a power in terms of this Act.

(3)
(a) A person convicted of an offence in terms of this s ection may be sentenced to a fine not
exceeding R10 000.

(b) The Minister, in consultation with the Minister of Justice, may from time to time by notice in the
Government Gazette, amend the maximum amount of the fine referred to in paragraph (a).

202. Service of documents
(1) If a registered trade union or a registered employe rs' organisation acts on behalf of any of its members
in a dispute, service on that trade union or employ ers' organisation of any document directed to those
members in connection with that dispute, will be su fficient service on those members for the purposes of
this Act.

(2) Service on the Office of the State Attorney of any legal process directed to the State in its capacity as an
employer is service on the State for the purposes o f this Act.

203. Codes of good practice
(1) NEDLAC may,
(a) prepare and issue codes of good practice; and

(b) change or replace any code of good practice.
(2) Any code of good practice, or any change to or repl acement of a code of good practice, must be
published in the Government Gazette.

(3) Any person interpreting or applying this Act must t ake into account any relevant code of good practice .
(4) A Code of Good Practice issued in terms of this sec tion may provide that the code must be taken into
account in applying or interpreting any employment law.

204. Collective agreement, arbitration award or wage det ermination to be kept by employer
Unless a collective agreement, arbitration award or determination made in terms of the Basic Conditions of
Employment Act provides otherwise, every employer on whom the col lective agreement, arbitration award, or
determination is binding must, (a) keep a copy of that collective agreement, arbitrati on award or determination available in the
workplace at all times;

(b) make that copy available for inspection by any empl oyee; and
(c) give a copy of that collective agreement, arbitrati on award or determination,
(i) to an employee who has paid the prescribed fee; and

(ii) free of charge, on request, to an employee who is a trade union representative or a
member of a workplace forum.

205. Records to be kept by employer
(1) Every employer must keep the records that an employ er is required to keep in compliance with any
applicable,
(a) collective agreement;

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(b)
arbitration award;
(c) determination made in terms of the Wage Act.
(2) An employer who is required to keep records in term s of subsection (1) must,
(a) retain those records in their original form or a re produced form for a period of three years from
the date of the event or end of the period to which they relate; and

(b) submit those records in their original form or a re produced form in response to a demand made
at any reasonable time, to any agent of a bargainin g council, commissioner or any person whose
functions in terms of this Act include the resoluti on of disputes.
(3)
(a) An employer must keep a record of the prescribed de tails of any strike, lock,out or protest action
involving its employees.

(b) An employer must submit those records in the prescr ibed manner to the registrar.

206. Effect of certain defects and irregularities
(1) Despite any provision in this Act or any other law, a defect does not invalidate,
(a) the constitution or the registration of any registe red trade union, registered employers'
organisation or council;

(b) any collective agreement or arbitration award that would otherwise be binding in terms of this
Act;
(c) any act of a council; or
(d) any act of the director or a commissioner.
(2) A defect referred to in subsection (1) means,
(a) a defect in, or omission from, the constitution of any registered trade union, registered
employers' organisation or council;

(b) a vacancy in the membership of any council; or
(c) any irregularity in the appointment or election of,
(i) a representative to a council;

(ii) an alternate to any representative to a council;
(iii) a chairperson or any other person presiding over an y meeting of a council or a committee
of a council; or
(iv) the director or a commissioner.

207. Ministers empowered to add and change to Schedules
(1) The Minister, after consulting NEDLAC, by notice in the Government Gazette, may change, replace or
add to Schedules 2 and 4 to this Act and the Schedu le envisaged in subsection (3).

(2) [Deleted] (3) The Minister, after consulting NEDLAC, by notice in the Government Gazette, may add to this Act a
further Schedule containing a model constitution fo r a statutory council.
(4) The Minister for the Public Service and Administrat ion, after consulting the Public Service Co,ordinating
Bargaining Council, by notice in the Government Gaz ette, may add to this Act a further schedule
regulating the establishment and the constitutions of workplace forums in the public service.
(5) The Minister may add to, change or replace any page header or f ootnote.

208. Regulations

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The Minister, after consulting NEDLAC and when appr opriate, the Commission, may make regulations not
inconsistent with this Act relating to, (a) any matter that in terms of this Act may or must be prescribed; and

(b) any matter that the Minister considers necessary or expedient to prescribe or have governed by
regulation in order to achieve the primary objects of this Act.

208A. Delegations (1) The Minister, in writing, may delegate to the D irector,General or any other officer of the Department of
Labour any power, function or duty conferred or imp osed upon the Minister in terms of this Act, except
the powers, functions and duties contemplated in se ction 32 (but excluding subsection (6)), and sections
44, 207 and 208.
(2) A delegation in terms of subsection (1) does not li mit or restrict the competence of the Minister to
exercise or perform any power, function or duty tha t has been delegated.

(3) The Minister may make a delegation subject to any c onditions or restrictions that are deemed fit.
(4) The Minister may at any time –
(a) withdraw a delegation made in terms of subsection ( 1); and

(b) withdraw or amend any decision made by a person in exercising a power or performing a function
or duty delegated in terms of subsection (1).

209. This Act binds the State
This Act binds the State.
210. Application of Act when in conflict with other laws
If any conflict, relating to the matters dealt with in this Act, arises between this Act and the provi sions of any
other law save the Constitution or any act expressl y amending this Act, the provisions of this Act will prevail.

211. Amendment of laws
Each of the laws referred to in items I and 2 of Sc hedule 5 is hereby amended to the extent specified in those
items.

212. Repeal of laws, and transitional arrangements
(1) Each of the laws referred to in the first two colum ns of Schedule 6 is hereby repealed to the extent
specified opposite that law in the third column of that Schedule.

(2) The repeal of those laws does not affect any transi tional arrangements made in Schedule 7.
(3) The transitional arrangements in Schedule 7 must be read and applied as substantive provisions of this
Act.

213. Definitions.
In this Act, unless the context otherwise indicates –
" area " includes any number of areas, whether or not cont iguous;
"auditor " means any person who is registered to practise in the Republic as a public accountant and auditor;
" bargaining council " means a bargaining council referred to in section 27 and includes, in relation to the
public service, the bargaining councils referred to in section 35;

" Basic Conditions of Employment Act " means the Basic Conditions of Employment Act, 1997 (Act No.75 of
1997); " code of good practice " means a code of practice issued by NEDLAC in term s of section 203(1) of this Act;

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"
collective agreement " means a written agreement concerning terms and co nditions of employment or any
other matter of mutual interest concluded by one or more registered trade unions, on the one hand and, on the
other hand, (a) one or more employers;

(b) one or more registered employers' organisations; or
(c) one or more employers and one or more registered em ployers' organisations; " council" includes
a bargaining council and a statutory council;
"director " means the director of the Commission appointed in terms of section II 8(1) and includes any
acting director appointed in terms of section 119; "dismissal" means dismissal as defined in section 1 86;
"dispute " includes an alleged dispute;
" employee "
54 means –
(a) any person, excluding an independent contractor, wh o works for another person or for the State
and who receives, or is entitled to receive, any re muneration; and

(b) any other person who in any manner assists in carry ing on or conducting the business of an
employer, and "employed" and "employment" have mean ings corresponding to that of "
employee";

54. "Employee" is given a different and specific me aning in section 78 in Chapter V.

" employers’ organisation " means any number of employers associated together for the purpose, whether
by itself or with other purposes, of regulating rel ations between employers and employees or trade uni ons;
“ employment law ” includes this Act, any other act the administrati on of which has been assigned to the
Minister, and nay of the following acts: (a) the Unemployment Insurance Act, 1966 (Act No. 30 of 1966);

(b) the Skills Development Act, 1998 (Act No. 97 of 199 8);
(c) the Employment Equity Act, 1998 (Act No. 55 of 1998 );
(d) the Occupational Health and Safety Act, 1993 (Act N o. 85 of 1993); and
(e) the Compensation for Occupational Injuries and Dise ases Act, 1993 (Act No. 130 of 1993);
“essential service” means –
(a) a service the interruption of which endangers the l ife, personal safety or health of the whole or
any part of the population;

(b) the Parliamentary service;
(c) the South African Police Services;
"issue in dispute ", in relation to a strike or lock,out, means the d emand, the grievance, or the dispute that
forms the subject matter of the strike or lock,out;
" legal practitioner " means any person admitted to practise as an advoc ate or an attorney in the Republic;
" lock out " means the exclusion by an employer of employees f rom the employer's workplace, for the purpose
of compelling the employees to accept a demand in r espect of any matter of mutual interest between
employer and employee, whether or not the employer breaches those employees' contracts of employment in
the course of or for the purpose of that exclusion;
" Minister " means the Minister of Labour;
" NEDLAC " means the National Economic Development and Labou r Council established by section 2 of the
National Economic, Development and Labour Council A ct, 1994 (Act No. 35 of 1994);

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"
office-bearer " means a person who holds office in a trade union, employers' organisation, federation of
trade unions, federation of employers' organisation s or council and who is not an official;
" official ", in relation to a trade union, employers' organis ation, federation of trade unions or federation of
employers' organisations means a person employed as the secretary, assistant secretary or organiser of a
trade union, employers' organisation or federation, or in any other prescribed capacity, whether or not that
person is employed in a full,time capacity. And, in relation to a council means a person employed by a council
as secretary or in any other prescribed capacity, w hether or not that person is employed in a full,time
capacity; " operational requirements " means requirements based on the economic, technol ogical, structural or
similar needs of an employer;
"prescribed " means prescribed from time to time by regulation in terms of section 208;
" protest action " means the partial or complete concerted refusal t o work, or the retardation or obstruction
of work, for the purpose of promoting or defending the socio,economic interests of workers, but not for a
purpose referred to in the definition of strike; " public service " means the national departments, provincial admini strations, provincial departments and
organisational components contemplated in section 7 (2) of the Public Service Act, 1994 (promulgated by
Proclamation No. 103 of 1994), but excluding, (a) the members of the South African National Defence F orce;

(b) the National Intelligence Agency; and

(c) the South African Secret Service.

“registered scope” means,
(a) in the case of the Public Service Co,ordinating Bar gaining Council, the public service as a whole,
subject to section 36;

(b) in the case of bargaining councils established for sectors in the public service, the sector
designated by the Public Service Co,ordinating Barg aining Council in terms of section 37(1);
(c) in the case of any other council, the sector and ar ea in respect of which it is registered in terms of
this Act;
"registrar " means the registrar of labour relations appointed in terms of section 108 and includes,
(a) any deputy registrar appointed in terms of that sec tion when acting on the direction or under a
general or special delegation of the registrar; and

(b) any acting registrar appointed in terms of that sec tion;
"remuneration " means any payment in money or in kind, or both in money and in kind, made or owing to
any person in return for that person working for an y other person, including the State, and "remunerat e" has
a corresponding meaning;
“Republic” ,
(a) when used to refer to the State as a constitutional entity, means the Republic of South Africa as
defined in section I of the Constitution; and

(b) when used in the territorial sense, means the natio nal territory of the Republic as defined in
section I of the Constitution;
"sector " means, subject to section 37, an industry or a se rvice;
" serve " means to send by registered post, telegram, tele x, telefax or to deliver by hand;
" statutory council" means a council established in terms of P art E of Chapter 111;
" strike " means the partial or complete concerted refusal t o work, or the retardation or obstruction of work,
by persons who are or have been employed by the sam e employer or by different employers, for the purpose
of remedying a grievance or resolving a dispute in respect of any matter of mutual interest between em ployer

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and employee, and every reference to "work" in this
definition includes overtime work, whether it is voluntary
or compulsory; " this Act " includes the section numbers, the Schedules, exce pt Schedules 4 and 8, and any regulations made
in terms of section 208, but does not include the p age headers, the headings or footnotes;
" trade union " means an association of employees whose principal purpose is to regulate relations between
employees and employers, including any employers' o rganisations;
" trade union representative " means a member of a trade union who is elected to represent employees in a
workplace,, " Wage Act " means the Wage Act, 1957 (Act No. 5 of 1957);
" working hours " means those hours during which an employee is obl iged to work;

“workplace” ,
(a) in relation to the public service –
(i) for the purposes of collective bargaining and dispu te resolution, the registered scope of
the Public Service Co,ordinating Bargaining Council or a bargaining council in a sector in
the public service, as the case may be; or

(ii) for any other purpose, a national department, provi ncial administration, provincial
department or organisational component contemplated in section 7(2) of the Public
Service Act, 1994 (promulgated by Proclamation No. 103 of 1994 ), or any other part of
the public service that the Minister for Public Ser vice and Administration, after consultation
with the Public Service Co,ordinating Bargaining Co uncil, demarcates as a workplace.;
(c) in all other instances means the place or places wh ere the employees of an employer work. If an
employer carries on or conducts two or more operati ons that are independent of one another by
reason of their size, function or organisation, the place or places where employees work in
connection with each independent operation, constit utes the workplace for that operation; and
"workplace forum " means a workplace forum established in terms of C hapter V.

214. Short title and commencement
(1) This Act is called the Labour Relations Act, 1995 .

(2) This Act will come into operation on a date to be d etermined by the President by proclamation in the
Government Gazette, except in the case of any provi sion in relation to which some other arrangement
regarding commencement is made elsewhere in this Ac t.

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SCHEDULE I
ESTABLISHMENT OF BARGAINING COUNCILS FOR PUBLIC SERVICE
1. Definitions for this Schedules
In this Schedule, unless the context otherwise indi cates
" Education Labour Relations Act " means the Education Labour Relations Act, 1993 (Act No. 146 of 1993);
" Education Labour Relations Council " means the council established by section 6(1) of the Education
Labour Relations Act ;
" National Negotiating Forum " means the National Negotiating Forum established for the South African
Police Service by the South African Police Service Labour Relations Regulations, 1995;
" Public Service Bargaining Council " means the council referred to in section 5(l) of the Public Service
Labour Relations Act ;
" Public Service Labour Relations Act " means the Public Service Labour Relations Act, 19 94 (promulgated
by Proclamation No. 105 of 1994).
2. Establishment of Public Service Co-ordinating Barga ining Council

(1) As soon as practicable after the commencement of th is Act, the Commission, by notice in the
Government Gazette, must invite the employee and em ployer representatives in the Education Labour
Relations Council, the National Negotiating Forum a nd the central chamber of the Public Service
Bargaining Council to attend a meeting, with a view to those representatives agreeing on a constitution
for the Public Service Co,ordinating Bargaining Cou ncil.

(2) The Commission must appoint a commissioner to chair the meeting and facilitate the conclusion of an
agreement on a constitution that meets the requirem ents of section 30, read with the changes required
by the context.
(3) The parties to the Education Labour Relations Counc il, the National Negotiating Forum and the central
chamber of the Public Service Bargaining Council wi ll be the founding parties to the Public Service Co,
ordinating Bargaining Council.
(4) If an agreement is concluded and the registrar is s atisfied that the constitution meets the requiremen ts
of section 30, the registrar must register the Publ ic Service Co,ordinating Bargaining Council by ente ring
its name in the register of councils.
(5) If no agreement is concluded on a constitution, the registrar must,
(a) determine the constitution for the Public Service C o,ordinating Bargaining Council;

(b) register the Public Service Co,ordinating Bargainin g Council by entering its name in the register
of councils; and
(c) certify the constitution as the constitution of the Public Service Co,ordinating Bargaining Council.
(6) After registering the Public Service Co,ordinating Bargaining Council, the registrar must,
(a) issue a certificate of registration that must speci fy the registered scope of the Public Service Co,
ordinating Bargaining Council; and

(b) send the certificate and a certified copy of the co nstitution to the Public Service Co,ordinating
Bargaining Council.

3. Establishment of bargaining councils in sectors
(1) The departmental and provincial chambers of the Pub lic Service Bargaining Council are deemed to be
bargaining councils established in terms of section 37(3)(a) of this Act, subject to any designation in
terms of section 37(l) of this Act.

(2) The Education Labour Relations Council is deemed to be a bargaining council established in terms of
section 37(3)(b) of this Act.

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(3)
The National Negotiating Forum is deemed to be a ba rgaining council established for a sector designated
in terms of section 37(2).
(4) If the President designates a sector in terms of se ction 37(2), the President must inform the Commissi on
and instruct it to convene a meeting of the represe ntatives of the registered trade unions with member s
employed in the sector.
(5) The Commission must publish a notice in the Governm ent Gazette inviting registered trade unions with
members employed in the sector to attend the meetin g.
(6) The Commission must appoint a commissioner to chair the meeting and facilitate the conclusion of an
agreement on,
(a) the registered trade unions to be parties to the ba rgaining council; and

(b) a constitution that meets the requirements of secti on 30, read with the changes required by the
context.
(7) If agreement is concluded, the registrar must,
(a) admit the registered trade unions as parties to the bargaining council; and

(b) if satisfied that the constitution meets the requir ements of section 30, register the bargaining
council by entering its name in the register of cou ncils.
(8) If no agreement is concluded on,

(a) the registered trade unions to be admitted, the Com mission must decide which trade unions
should be admitted;

(b) a constitution, the registrar, in accordance with t he decisions made by the Commission in
paragraph (a), must determine a constitution that m eets the requirements of section 30, read
with the changes required by the context.
(9) The registrar must register the bargaining council for the sector by entering its name in the register of
councils.

(10) After registering the bargaining council, the regis trar must,
(a) issue a certificate of registration that must speci fy the registered scope of the bargaining council;
and
(b) send the certificate and a certified copy of the co nstitution to the bargaining council.

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SCHEDULE 2
GUIDELINES FOR CONSTITUTION OF WORKPLACE FORUM
1. Introduction
(1) This Schedule contains guidelines for the constitut ion of a workplace, forum. It Is intended to guide
representative trade unions that wish to establish a workplace forum, employers and commissioners.

(2) This Act places the highest value on the establishm ent of workplace forums by agreement between a
representative trade union and an employer. The rol e of the commissioner is to facilitate an agreement
establishing the structure and functions of a workp lace forum. If agreement is not possible, either in
whole or in part, the commissioner must refer to th is Schedule, using its guidelines in a manner that best
suits the particular workplace involved.
(3) For convenience, the guidelines follow the sequence of the paragraphs in section 82 of this Act.

2. Number of seats in workplace forums (section 82(1)( a))
The formula to determine the number of seats in the workplace forum should reflect the size, nature,
occupational structure and physical location of the workplace. A guideline may be,
(a) in a workplace in which 100 to 200 employees are em ployed, five members;

(b) in a workplace in which 201 to 600 employees are em ployed, eight members;
(c) in a workplace in which 601 to 1 000 employees are employed, IO members;
(d) in a workplace in which more than 1 000 employees a re employed, 10 members for the first 1
000 employees, plus an additional member for every additional 500 employees, up to a
maximum of 20 members.

3. Distribution of seats to reflect occupational struc ture (section 82(1)(b))
The formula to determine the distribution of seats in the workplace forum must reflect the I occupatio nal
structure of the workplace.
Example :

There are 300 employees in a workplace. The occupat ional structure is as follows: 200 employees are manual
employees; 50 are administrative and clerical emplo yees; and 50 are supervisory, managerial and techni cal
employees. The six seats may be distributed as foll ows4 seats for members to be elected from candidate s
nominated from among the manual employees
I seat for members to be elected from candidates no minated from among the administrative and clerical
employees
I seat for members to be elected from candidates no minated from among the supervisory, managerial and
technical employees.
4. Elections (section 82(1)(c), (d), (g), (h), (i) and (j))
(1) The constitution must include provisions concerning the appointment of an election officer.

Example: (a) Every election or by,election in relation to a work place forum must be conducted by an election
officer appointed by agreement between the represen tative trade union and the employer.

(b) If the trade union and the employer cannot agree, t he trade union may apply to the Commission
to appoint an election officer.
(c) The Commission must appoint an election officer to conduct a by,election only if it is satisfied that
the workplace forum cannot function adequately with out a by,election.
(2) The constitution must set out what the election off icer should do and the procedure for an election.

Example:

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(a) Thirty days before each election of members of the workplace forum, the election officer must,
(i) prepare a list of all employees in the workplace; a nd

(ii) call for nominations for members of the workplace, forum.
(b) Any employee may be nominated as a candidate for el ection as a member of the workplace forum
by,
(i) any registered trade union with members employed in the work, place;

(ii) a petition signed by not less than 20 per cent of t he employees in the workplace or 100
employees, whichever number of employees is the sma ller.
(c) Any employee who is a member or has previously serv ed as a member of a workplace forum is
eligible for re,election.

(d) Fourteen days before each election of members of th e workplace forum, the election officer must,
(i) confirm that the nominated candidates qualify for e lection;

(ii) publish a list of all qualified candidates who have been properly nominated; and
(iii) prepare a ballot for the election, listing the nomi nated candidates in alphabetical order by
surname.

(e) Voting must be by secret ballot.

Every employee is entitled to vote in the election of the workplace forum during working hours at the
employer's premises. (f) Every employee in the workplace is entitled to cast a number of votes equal to the number of
members to be elected to the workplace forum.

(g) Every employee may cast one or more of those votes in favour of any candidate.

5. Terms of office (section 82(1)(k), (l) and (m) )
(1) The constitution must provide that the members of a workplace forum remain in office until the first
meeting of the newly elected workplace forum.

(2) The constitution must include provisions allowing t he members to resign as well as provisions for the
removal of members from office.
Example :
(a) A member of a workplace forum may resign by giving written notice to the chairperson.

(b) A member of a workplace forum must vacate that offi ce,
(i) when the member's resignation takes effect;

(ii) if the member is promoted to senior managerial stat us;
(iii) if the member is transferred from the workplace;
(iv) if the member's employment is terminated;
(v) as a result of an award of a commissioner; or
(vi) if the representative trade union that nominated a member removes the member.
(c) The representative trade union, the employer, or th e workplace forum may apply to the
Commission to have a member of the workplace forum removed from office on the grounds of
gross dereliction of the duties of office.

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(d)
Twenty percent of the employees in the workplace ma y submit a signed petition to the
Commission applying for the removal from office of a member of the workplace forum on the
grounds of gross dereliction of the duties of offic e.
(e) An application to remove a member of a workplace fo rum from office must be decided by
arbitration under the auspices of the Commission.
A by,election to fill any vacancy in the workplace forum must be conducted by an election officer.

6. Meetings of workplace forum (section 82(1)(n))
The constitution must include provisions governing meetings of the workplace forum.

Example:
(a) The first meeting of a newly elected workplace foru m must be convened by the election officer
as soon as practicable after the election.

(b) At that meeting the members of the workplace forum must elect from among their number a
chairperson and a deputy chairperson.
(c) The workplace forum must meet whenever necessary, b ut at least once a month.
(d) A quorum of the workplace forum must be a majority of the members of the workplace forum
holding office at any time.
(e) A decision of the majority of the members of the wo rkplace forum present at the meeting must
be the decision of the workplace forum.
The meetings between members of the workplace forum and the employees should be at least four times a
year.
Example 1:
In a workplace that is a single place, the meetings with the employees should be with all the members of the
workplace forum.
Example 2:
In a workplace that is geographically dispersed, th e meetings with the employees need not be with all the
members of the workplace forum, but with one or mor e members of the workplace forum.

7. Time off for members of workplace forum (secti on 82(1)(p))
The constitution must include provisions governing time off for members to perform their functions.

Example:
(a) A member of a workplace forum is entitled to take r easonable time off during working hours
with pay for the purpose of
(i) performing the functions and duties of a member; an d

(ii) undergoing training relevant to the performance of those functions and duties.
(b) The right to time off is subject to conditions that are reasonable, so as to prevent the undue
disruption of work.

(c) The costs associated with the training must be paid by the employer, if those costs are
reasonable, having regard to the size and capabilit ies of the employer.

8. Facilities to be provided to workplace forum ( section 82(1)(r))
The constitution must require the employer to provi de adequate facilities to the workplace forum to perform its
functions.
Example:
(a) The employer must provide, at its cost,

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(i)
fees, facilities and materials that are necessary f or the conduct of elections and by,
elections of the workplace forum; and

(ii) administrative and secretarial facilities that are appropriate to enable the members of the
workplace forum to perform their functions and duti es.
(b) These facilities must include, but are not limited to, a room in which the workplace forum may meet
and access to a telephone.

(c) The costs incurred by the employer in complying wit h the provisions of paragraphs (a) and (b) must
be reasonable, having regard to the size and capabi lities of the employer.

9. Experts (section 82(1)(t)) The constitution may provide for the use of experts .

Example: (a) A workplace forum may ask experts to assist it in t he performance of any of its functions.

(b) An expert must ensure that there is no conflict of interest between the assistance given to one
workplace forum and another.
(c) An expert may attend any meeting of the workplace f orum and, at its request, address any
meetings of the workplace forum including a meeting with the employer or the employees.
(d) An expert is entitled to any information to which t he workplace forum is entitled and may inspect
and copy any document.

10. Establishment of coordinating and subsidiary workplace forums (section 82(2)(b))
(1) Where an employer carries on or conducts two or mor e operations that are independent of each other by
reason of their size, function or organisation, the constitution may provide for the establishment of a
coordinating workplace forum with jurisdiction over those matters mentioned in sections 84 and 86 that
affect the employees generally and for the establis hment of a subsidiary workplace forum in each of th e
workplaces with jurisdiction over those matters tha t affect only the employees in that workplace.

(2) Where the employer has a workplace that is geograph ically dispersed and there are matters that are of
local interest rather than general interest, the co nstitution may establish a coordinating workplace f orum
with general jurisdiction and subsidiary workplace forums with local interest jurisdiction.
Example:
A bank with a head office may have many branches di spersed around the country.

If the branches are not regarded as separate workpl aces, the bank may have one workplace forum for all its
employees or the constitution may allow for the est ablishment of a coordinating workplace forum at hea d office
level and in certain or all of the branches allow t he establishment of subsidiary workplace forums tha t will deal
with matters that affect only the employees in thos e branches.

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SCHEDULE 3
COMMISSION FOR CONCILIATION, MEDIATION & AMP; ARBITRATION
1. Remuneration and allowances of members of governing body
The Minister, after consulting the Minister of Fina nce, must determine the remuneration and allowances and any
other terms and conditions of appointment of member s of the governing body.

2. Resignation and removal from office of member of go verning body
(1) A member of the governing body may resign by giving notice to the governing body.

(2) The Minister, acting on the advice of NEDLAC, may r emove a member of the governing body from office
for
(a) serious misconduct;

(b) incapacity; or
(c) being absent from three consecutive meetings of the governing body without good cause or prior
permission from the chairperson.

3. Vacancies in governing body
(1) A vacancy in the governing body exists whenever
(a) a member's term of office ends;

(b) a member's resignation takes effect;
(c) a member is removed from office; or
(d) a member dies.
(2) The Minister must fill a vacancy in the governing b ody as soon as is practicable.

In the meantime, the Commission's proceedings and d ecisions continue to be valid.

(3) If a vacancy,
(a) is owing to the end of a member's term of office, t he Minister may reappoint the member, or
appoint another person nominated by NEDLAC in accor dance with section 116(2) and (3);

(b) is owing to any other cause, the Minister must appo int another person nominated by NEDLAC in
accordance with section 116(2) and (3) to replace t he member and serve the unexpired portion
of the replaced member's term of office.

4. Proceedings of governing body
(1) The governing body must determine procedures for it s meetings.

(2) A quorum for a meeting of the governing body is thr ee members of the governing body. The quorum
must include,
(a) one member who was nominated by those voting member s of NEDLAC who represent organised
business;

(b) one member who was nominated by those voting member s of NEDLAC who represent organised
labour; and
(c) one member who was nominated by those voting member s of NEDLAC who represent the State.
(3) Despite subitem (2), a meeting of the governing bod y may be held in the absence of any member
representing organised business or organised labour or the State, if those members have agreed to the
meeting proceeding in the absence of that member an d to the issues which may be dealt with in the
absence of that member.

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(4)
If the chairperson is absent from a meeting of the governing body, the members present must elect one
of themselves to preside at that meeting, and at th at meeting that member may exercise or perform any
function of the chairperson.
(5) A defect or error in the appointment of a member of the Commission does not affect the validity of the
Commission's proceedings or decisions.

5. Director of Commission
(1) The director may resign by giving written notice to the governing body.

(2) The governing body may remove the director from off ice for,
(a) serious misconduct;

(b) incapacity;
(c) a material violation of the Commission's code of co nduct; or
(d) being absent from three consecutive meetings of the governing body without good cause or prior
permission from the chairperson.
(3) A vacancy in the office of director exists whenever ,
(a) the director reaches the age of 65;

(b) the director's resignation takes effect;
(c) the governing body removes the director from office ; or
(d) the director dies.
(4) The governing body must appoint a director in accor dance with the provisions of section II 8 as soon as
practicable after the office of the director become s vacant.

6. Bank account.
The governing body must open and maintain an accoun t in the name of the Commission with a bank registered
in the Republic, or with another registered financi al institution approved by the Minister of Finance and, subject
to item 7, must
(a) deposit to that account any money that the Commissi on receives; and

(b) make all payments on behalf of the Commission from that account.

7. Investment of surplus money
The governing body may resolve to invest any money that the Commission does not immediately require to
meet current expenditure or contingencies
(a) on call or short,term deposit with any bank that me ets the requirements stated in item 6;

(b) if the Minister, with the concurrence of the Minist er of Finance, gives written approval of the
duration and other terms of the investment, in an i nvestment account with the Corporation for
Public Deposits.

8. Accounting and auditing
The Commission must, to the standards of generally accepted accounting practice, principles and procedures
(a) keep books and records of its income, expenditure, assets and liabilities;

(b) as soon as practicable after the end of each financ ial year, prepare financial statements, including
at least a statement of income and expenditure for the previous financial year and a balance
sheet showing its assets, liabilities and financial position as at the end of the previous financial
year,, and

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(c)
each year, arrange for the Auditor,General to audit its books and records of account and its
financial statements.

9. Annual report
(1) As soon as practicable after the end of each financ ial year, the Commission must provide the Minister
with a report concerning the activities and the fin ancial position of the Commission during the previo us
financial year.

(2) The Minister must table the Commission's annual rep ort in Parliament within 14 days of receiving it from
the Commission, but if Parliament is not in session at that time, the Minister must table the report within
14 days of the beginning of the next session of Par liament.

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SCHEDULE 4
DISPUTE RESOLUTION: FLOW DIAGRAMS
This Schedule contains flow diagrams that provide guidelines to the procedures for the resolution of some of the more
important disputes that may arise under this Act. T his Schedule is not part of this Act. It does not have the force of
law. The flow diagrams are intended only to provide assistance to those parties who may become involve d in a
dispute.
The flow diagrams do not indicate the rights that p arties may have to seek urgent interim relief, nor do they indicate
the right of review or appeal that parties have to the Labour Court or the Labour Appeal Court in cert ain cases. This
Act sets out the circumstances in which these right s are available.

Awards and determinations by arbitrators are enforc eable ultimately by the Labour Court.

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FLOW DIAGRAMS I TO 14
[Currently unavailable ]

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SCHEDULE 5
AMENDMENT OF LAWS
1. Amendment of section 1 of Basic Conditions of Employment Act

Section 1 of the Basic Conditions of Employment Act is hereby amended by the substitution for subsecti on (3) of the
following subsection –
"(3) The Mines and Works Act, 1956 (Act No. 27 of 1956), the Wage Act, 1957 (Act No. 5 of 1957), the Manpower
Training Act , 1981 (Act No. 56 of 1981) and the Labour Relations Act, 1995, as well as any matter regulated under
any of them in respect of an employee, shall not be affected by this Act, but this Act shall apply in respect of any such
employee in so far as a provision thereof provides for any matter which is not regulated by or under a ny of the said
Acts in respect of such employee.".
2. Amendment of section 35 of Occupational Health and Safety Act, 1993

Section 35 of the Occupational Health and Safety Act, 1993 (Act No. 85 of 1993), is hereby amended,
(a) by the substitution for the words "Industrial court ", wherever they occur in subsection (3), of the
words "Labour Court"; and

(b) by the substitution for subsection (4) of the follo wing subsection,

"(4) Any person who wishes to appeal in terms of su bsection (3), shall within 60 days after the
chief inspector's decision was given, lodge the app eal with the registrar of the Labour Court in
accordance with the Labour Relations Act, 1995, and the rules of the Labour Court. ".

3. Amendment of section 2 of Pension Funds Act, 1956

Section 2 of the Pension Funds Act, 1956 (Act No. 24 of 1956), is hereby amended by the sub stitution for subsection
(1) of the following subsection:
(1) The provisions of this Act shall not apply in relation to any pension fund which has been established or
continued in terms of a collective agreement conclu ded in a council in terms of the Labour Relations Act 1995
(Act No. 66 of 1995), before the Labour Relations Amendment Act, 1998 , has come into operation, nor in
relation to a pension fund so established or contin ued and which, in terms of a collective agreement
concluded in that council after the coming into ope ration of the labour Relations Amendment Act, 1998 , is
continued or further continued (as the case may be) . However, such a pension fund shall from time to time
furnish the Registrar with such statistical informa tion as may be requested by the Minister.

4. Amendment of section 2 of Medical Schemes Act, 1967

Section 2(1) of the Medical Schemes Act, 1967 (Act No. 72 of 1967), is hereby amended by the sub stitution for
paragraph (g) of the following paragraph: (f) shall, subject to the provisions of subsection (2A) apply with reference to ,
(i) a particular medical scheme established or continue d in terms of a collective agreement
concluded in a council in terms of the Labour Relations Act, 1995 (Act No. 66 of 1995),
before the Labour Relations Amendment Act, 1998 , has come into operation;

(ii) a particular medical scheme which was established o r continued in the circumstances
mentioned in subparagraph (i) and which, in terms o f a collective agreement so concluded
in that council after the coming into operation of the Labour Relations Amendment Act,
1998 , is continued or further continued (as the case ma y be), only if the Minister, at the
request of the Minister of Labour and by notice in the Gazette, has declared the said
provisions to be applicable with reference to such a particular medical scheme;

5. Amendment of section 1 of Insurance Act, 1943

Section 1(1) of the Insurance Act, 1943 (Act No. 27 of 1943), is hereby amended by the subs titution for paragraph (d)
of the definition of ‘insurance business’ of the fo llowing paragraph:
‘(d) any transaction under the Labour Relations Act, 1995 (Act No. 66 of 1995);’

6. Amendment of section 2 of Friendly Societies Act, 1 956

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Section 2(1) of the
Friendly Societies Act, 1956 (Act No. 25 of 1956), is hereby amended by the sub stitution for
paragraph (g) of the following paragraph: ‘(g) the relief or maintenance of members, or any g roup of members, when unemployed or in distressed
circumstances, otherwise than in consequence of the existence of a strike or lockout as defined in section
213 of the Labour Relations Act, 1995 (Act No. 66 of 1995);’

7. Amendment of section 3 of Friendly Societies Act, 1 956

Section 3(1) of the Friendly Societies Act, 1956 , is hereby amended by the substitution for paragra ph (a) of the
following paragraph: ‘(a) which has been established or continued in ter ms of a collective agreement concluded in a council in
terms of the Labour Relations Act, 1995 . However, such a friendly society shall from time to time furnish
the registrar with such statistical information as may be requested by the Minister;’

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SCHEDULE 6
LAWS REPEALED BY SECTION 212
Number and year of law Short title Extent of repeal

Act No.28 of 1956 Labour Relations Act, 1956 The whole

Act No.41 of 1959 Industrial Conciliation Amendment Act, 1959 The whole

Act No.18 of 1961 Industrial Conciliation Amendment Act, 1961 The whole

Act No.43 of 1966 Industrial Conciliation Amendment Act, 1966 The whole

Act No.61 of 1966 Industrial Conciliation Further Amendment Act, 196 6 The whole

Act No.104 of 1967 Industrial Conciliation Amendment Act, 1967 The whole

Act No.21 of 1970 Industrial Conciliation Amendment Act, 1970 The whole

Act No.94 of 1979 Industrial Conciliation Amendment Act, 1979 The whole

Act No.95 of 1980 Industrial Conciliation Amendment Act, 1980 The whole

Act No.57 of 1981 Labour Relations Amendment Act, 1981 The whole

Act No.51 of 1982 Labour Relations Amendment Act, 1982 The whole

Act No. 2 of 1983 Labour Relations Amendment Act, 1983 The whole

Act No.81 of 1984 Labour Relations Amendment Act, 1984 The whole

Act No.83 of 1988 Labour Relations Amendment Act, 1988 The whole

Act No. 9 of 1991 Labour Relations Amendment Act, 1991 The whole

Act No.129 of 1993 General Law Third Amendment Act, 1993 Section 9 only

Act No.146 of 1993 Education Labour Relations Act, 1993 The whole

Act No.147 of 1993 Agricultural Labour Act, 1993 Chapter I only

Act No.50 of 1994 Agricultural Labour Amendment Act, 1994 Section I only

Proclamation No.105 Public Service Labour Relations Act, 1994 The whole of 1994

Proclamation No.128 Education Labour Relations Act, Amendment The whole except of 1994

Proclamation , 1994 section 6

Proclamation No.134 Sections 1 and 2 only of 1994

South African Police Service Labour Relations Regul ations, The whole 1995

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SCHEDULE 7
TRANSITIONAL ARRANGEMENTS
Part A – Definitions for this Schedule

Definitions for this Schedule
In this Schedule, unless the context otherwise indicates –
"Agricultural Labour Act " means the Agricultural Labour Act, 1993 (Act No. 147 of 1993);
" Education Labour Relations Act " means the Education Labour Relations Act, 1993 (Act No. 146 of 1993);
" Education Labour Relations Council " means the council established by section 6(1) of the Education Labour
Relations Act ;
" Labour Relations Act " means the Labour Relations Act, 1956 (Act No. 28 of 1956);
" labour relations laws " means the Labour Relations Act, the Education Lab our Relations Act, Chapter I of the
Agricultural Labour Act and the Public Service Labo ur Relations Act;
" National Negotiating Forum " means the National Negotiating Forum established for the South African Police
Service by the South African Police Service Labour Relations Regulations, 1995;
" pending " means pending immediately before this Act comes i nto operation;
" public service " does not include the education sector;
" Public Service Bargaining Council " means the bargaining council referred to in secti on 5(1) of the Public
Service Labour Relations Act ;
" Public Service Labour Relations Act " means the Public Service Labour Relations Act, 19 94 (promulgated by
Proclamation No. 105 of 1994); " registrar " means the registrar of labour relations designate d in terms of section 108; and
" trade union " includes an employee organisation.

Part B – Unfair labour practices

Part C – Provisions Concerning Existing Trade Union s, Employers’ Organisations, Industrial
Councils And Conciliation Boards

5. Existing registered trade unions and employers’ organisations
(1) A trade union or employers' organisation registered or deemed to be registered in terms of the labour
relations laws immediately before the commencement of this Act will be deemed to be a registered trade
union or registered employers' organisation under t his Act and continues to be a body corporate.

(2) As soon as practicable after the commencement of th is Act, the registrar must enter,
(a) the name of the trade union in the register of trad e unions;

(b) the name of the employers' organisation in the regi ster of employers' organisations.
(3) A trade union or employers' organisation whose name has been entered in the appropriate register must
be issued with a new certificate of registration.

(4) If any provision of the constitution of the trade u nion or employers' organisation does not comply wit h
the requirements of section 95, the registrar may d irect that trade union or employers' organisation, in
writing, to rectify its constitution and submit it to the registrar within a period specified in the d irection,
which period may not be shorter than three months.
(5) If a trade union or employers' organisation falls t o comply with a direction issued to it in terms of
subitem (4), the registrar must notify the trade un ion or employers' organisation that cancellation of its

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registration is being considered because of the fai
lure, and give the trade union or employers'
organisation an opportunity to show cause why its r egistration should not be cancelled within 30 days of
the notice.
(6) If, when the 30,day period expires, the relevant tr ade union or employers' organisation has not shown
cause why its registration should not be cancelled, the registrar must cancel the registration of that
trade union or employers' organisation by removing its name from the appropriate register or take other
lesser steps that are appropriate and not inconsist ent with this Act.
(7) The registrar must notify the relevant trade union or employers' organisation whether the registration of
the trade union or employers' organisation has been cancelled.
(8) Cancellation in terms of subitem (6) takes effect,
(a) if the trade union or the employers' organisation h as failed, within the time contemplated in
section 111 (3), to appeal to the Labour Court agai nst the cancellation, when that period expires;
or
(b) if the trade union or the employers' organisation h as lodged an appeal, when the decision of the
registrar has been confirmed by the Labour Court.

6. Pending applications by trade unions or employe rs’ organisations for registration, variation of
scope, alteration of constitution or name
(1) Any pending application in terms of the labour rela tions laws for the registration, variation of scope of
registration or alteration of the constitution or n ame of a trade union or an employers' organisation must
be dealt with by the registrar as if the applicatio n had been made in terms of this Act.

(2) The registrar appointed in terms of the Public Serv ice Labour Relations Act and the secretary of the
Education Labour Relations Council appointed in ter ms of the Education Labour Relations Act must
forward any pending application referred to in subi tem (1) to the registrar.
(3) In any pending appeal in terms of section 16 of the Labour Relations Act or in terms of section 11 of the
Education Labour Relations Act or in terms of section 11 of the Public Service Labour Relations Act , the
Minister or the registrar of the industrial court o r the registrar of the High Court, as the case may be,
must refer the matter back to the registrar who mus t deal with the application as if it were an application
made in terms of this Act.
(4) When dealing with any application referred to in su bitem (1) or (2), the registrar,
(a) may condone any technical non,compliance with the p rovisions of this Act; and

(b) may require the applicant to amend its application within 60 days in order to comply with the
provisions of this Act.

7. Industrial councils (1) An industrial council registered or deemed to be re gistered in terms of the Labour Relations Act
immediately before the commencement of this Act wil l be deemed to be a bargaining council under this
Act and continues to be a body corporate.

(2) As soon as practicable after the commencement of th is Act, the registrar must enter the name of the
bargaining council in the register of councils.
(3) A bargaining council whose name has been entered in the register of councils must be issued with a
certificate of registration.
(4) If any provision of the constitution of a bargainin g council does not comply with the requirements of
section 30, the registrar may direct the bargaining council, in writing, to rectify its constitution and
submit it to the registrar within a period specifie d in the direction, which period may not be shorter than
three months.
(5) If a bargaining council fails to comply with a dire ction issued to it in terms of subitem (4), the reg istrar
must notify the bargaining council that cancellatio n of its registration is being considered because of the
failure, and give the bargaining council an opportu nity to show cause why its registration should not be
cancelled within 30 days of the notice.
(6) If, when the 30,day period expires, the bargaining council has not shown cause why its registration
should not be cancelled, the registrar must cancel the registration of that bargaining council by removing

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its name from the register of councils or take othe
r lesser steps that are appropriate and not inconsistent
with this Act.
(7) The registrar must notify the bargaining council wh ether the registration of the bargaining council has
been cancelled.
(8) Cancellation in terms of subitem (6) takes effect,
(a) if the bargaining council has failed, within the ti me contemplated in section 111(3), to appeal to
the Labour Court against the cancellation, when tha t period expires; or

(b) if the bargaining council has lodged an appeal, whe n the decision of the registrar has been
confirmed by the Labour Court.

8. Pending applications by industrial councils for registration and variation of scope
(1) Any pending application for the registration or the variation of the scope of registration of an industrial
council in terms of the Labour Relations Act must be dealt with as if it were an application ma de in terms
of this Act.

(2) In any pending appeal in terms of section 16 of the Labour Relations Act against the refusal to register or
vary the scope an industrial council, the Minister or the registrar of the Supreme [High] Court, as th e
case may be, must refer the matter to the registrar of labour relations who must consider the application
anew as if it were an application for registration made in terms of this Act.
(3) When dealing with the application referred to in su bitem (1) or (2), the registrar may,

(a) require the applicant to amend its application with in 60 days in order to comply with the
provisions of this Act; and

(b) condone technical non,compliance with the provision s of this Act.

8A. Pending enquiries by industrial registrar Any pending inquiry conducted by the industrial reg istrar under section 12(3) of the Labour Relations Act must,
after the commencement of this Act, be continued an d dealt with further by the same person in terms of the
Labour Relations Act as if it had not been repealed.

9. Pending applications by industrial councils for alteration of constitution or name
The provisions in item 6 apply, read with the chang es required by the context, to any pending application for
the alteration of the constitution or the name of a n industrial council in terms of the Labour Relations Act.

10. Pending applications for admission of parties to industrial councils
(1) Any pending application for admission of a party to an industrial council in terms of section 21 A of the
Labour Relations Act must be dealt with by the industrial council as if it were an application made in
terms of this Act.

(2) Any pending appeal before the industrial court agai nst a decision of an industrial council in terms of
section 21 A of the Labour Relations Act must be with by council in the industrial court as if the
application had been made for admission as a party to a bargaining council in terms of this Act.
(3) An appeal against a decision of an industrial counc il as contemplated in section 21 A of the Labour
Relations Act may, despite the repeal of that Act, be instituted after the commencement of this Act, and
must be heard by the Labour Court and dealt with as if the application for admission had been made in
terms of this Act.

11. Pending applications to wind up and cancel reg istration of trade unions, employers’ organisations
and industrial councils
Any pending application to wind up or to cancel the registration of a trade union, employers' organisation or
industrial council registered in terms of any labou r relations law must be dealt with by the registrar as if the
labour relations laws had not been repealed.
12. Existing agreements and awards of industrial c ouncils and conciliation boards
(1)

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(a)
Any agreement promulgated in terms of section 48, a ny award binding in terms of sections 49
and 50, and any order made in terms of section 51A, of the Labour Relations Act and in force
immediately before the commencement of this Act, re mains in force and enforceable, subject to
paragraphs (b) and (c) of this subitem, and to subi tem (5B), for a period of 18 months after the
commencement of this Act or until the expiry of tha t agreement, award or order, whichever is
the shorter period, in all respects, as if the Labour Relations Act had not been repealed.
(b) On the request of any Council deemed by item 7(1) t o be a bargaining council, an agreement
referred to in paragraph (a) that had been conclude d in that council –
i. if it expires before the end of the 18,month period referred to in paragraph (a) may be
extended or declared effective in accordance with t he provisions of subsection (4)(a) of
section 48 of the Labour Relations Act, for a perio d ending before or on the expiry of that
18,month period, which provisions, as well as any o ther provisions of the Labour Relations
Act relating to the industrial council agreements e xtended or declared effective in terms of
that subsection, will apply in all respects, read w ith the changes required by the context, in
relation to any agreement extended or declared effe ctive on the authority of this
subparagraph as if those various provisions had not been repealed. However, the Minister
may not on the authority of this subparagraph decla re an agreement to be effective if it
expires after 31 March 1997;

ii. may be cancelled, in whole or in part, in accordanc e with the provisions of subsection (5) of
section 48 of the Labour Relations Act, which provi sions, as well as any other provisions of
the Labour Relations Act relating to industrial cou ncil agreements wholly or partly cancelled
in terms of that subsection, will apply in all resp ects, read with the changes required by the
context, in relation to any agreement wholly or par tly cancelled on the authority of this
subparagraph as if those various provisions had not been repealed.
(c) An agreement referred to in paragraph (a) that had been concluded by parties to a conciliation
board –
i. if it expires before the end of the 18,month period referred to in paragraph (a), may, at the
request of the parties that were represented on tha t conciliation board at the time of the
conclusion of that agreement, be extended in accord ance with, and in the manner provided
for in, paragraph (b)(i) which will apply, read wit h the changes required by the context, in
relation to the extension of agreements of that nat ure;

ii. may, at the request of those parties, be cancelled, in whole or in part, in accordance with
paragraph (b)(ii), which will apply, read with the changes required by the context, in
relation to the cancellation of agreements of that nature.
(1A) (a) An agreement referred to in subitem (1) that had be en concluded in a council deemed by item
7(1) to be a bargaining council, may be amended or amplified by a further agreement concluded
in that bargaining council and promulgated in accor dance with the provisions of subsections (1)
and (2) of section 48 of the Labour Relations Act, which provisions will apply, in all respects,
read with the changes required by the context, for the purposes of this paragraph as if they had
not been repealed.

(b) Subitems (1)(b), (3) and (8)(a) will apply to any f urther agreement concluded and promulgated
on the authority of paragraph (a) of this subitem, in all respects, as if it were an agreement
referred to in subitem (1)(a).
(2) An agreement promulgated in terms of section 12 of the Education Labour Relations Act and in force
immediately before the commencement of this Act rem ains in force for a period of 18 months after the
commencement of this Act or until the expiry of tha t agreement, whichever is the shorter period, as if
the provisions of that Act had not been repealed.

(3) Despite the provisions of subitem (1), an agreement referred to in section 24(l)(x) of the Labour
Relations Act that is in force immediately before t he commencement of this Act will be deemed to be a
closed shop agreement concluded in compliance with section 26 of this Act except that,
(a) the requirements in section 26(3)(d) and section 98 (2)(b)(ii) become applicable at the
commencement of the next financial year of the trad e union party to the agreement; and

(b) the commencement date of the closed shop agreement shall be deemed to be the
commencement date of this Act.

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(4)
Any pending request for the promulgation of an agre ement in terms of section 48 of the Labour
Relations Act must be dealt with as if the Labour Relations Act h ad not been repealed.

(5) Any request made before the expiry of six months af ter the commencement of this Act for the
promulgation of an agreement entered into before th e commencement of this Act must be dealt with as
if the Labour Relations Act had not been repealed.
(5A) Any exemption from an agreement or award, or from an order, contemplated in subitem (1), that was in
force immediately before the commencement of this A ct, will remain in force for a period of 18 months
after the commencement of this Act or until the per iod for which the exemption has been granted, has
expired, whichever is the shorter period, as if the Labour Relations Act had not been repealed.

(5B) Any one or more of or all the provisions of a n order referred to in subitem (1)(a) may be cancelled,
suspended or amended by the Minister in accordance with the provisions of section 51A(4)(a) if the
Labour Relations Act, which provisions will apply f or the purposes of this subitem as if they had not been
repealed.
(6) Any pending application for an exemption from all o r any of the provisions of any agreement or award
remaining in force in terms of subitem (1), or for an exemption from any provision of an order remaini ng
in force in terms of that subitem, must –
(a) in the case if that agreement or award, be dealt wi th in terms of the provisions of section 51 and,
whenever applicable, any other relevant provisions, of the Labour Relations Act, in all respects,
read with the changes required by the context, as i f the provisions in question had not been
repealed;

(b) in the case of that order, be dealt with in terms o f the provisions of section 51A and whenever
applicable, any other relevant provisions of the La bour Relations Act, as if the provisions in
question had not been repealed.
(7) An exclusion granted in terms of section 51(12) of the Labour Relations Act will remain in force until it is
withdrawn by the Minister.

(8) After the commencement of this Act and despite the repeal of the Labour Relations Act –
(a) any person or class of persons bound by an agreemen t or award remaining in force in terms of
subitem (1) may apply, in accordance with the provi sions of section 51 of the Labour Relations
Act, for an exemption from all or any of the provis ions of that agreement or award (as the case
may be). Any application so made must be dealt wit h in terms of the provisions of section 51
and, whenever applicable, any other relevant provis ions of the Labour Relations Act, in all
respects, as if the provisions in question had not been repealed;

(b) any person, bound by an order remaining in force in terms of subitem (1), may apply, in
accordance with the provisions of section 51A of th e Labour Relations Act, for an exemption from
any provision of that order. Any application so ma de must be dealt with in terms of the
provisions of section 51A and, whenever applicable, any other relevant provisions of the Labour
Relations Act, in all respects, as if the provision s in question had not been repealed.

12A. Designated agents (1) Any person appointed under section 62 of the Labour Relations Act as a designated agent of an industrial
council deemed by item 7(1) to be a bargaining coun cil, who holds that office immediately before the
commencement of this Act, will be deemed to be a de signated agent appointed for the bargaining council
under section 33 of this Act.

(2) The certificate of appointment that had been issued in terms of section 62(2) of the Labour Relations Act
to that designated agent, will be deemed to have be en issued in terms of section 33(2) of this Act.

13. Existing agreements including recognition agre ements
(1) For the purposes of this section, an agreement,
(a) includes a recognition agreement;

(b) excludes an agreement promulgated in terms of secti on 48 of the Labour Relations Act;
(c) means an agreement about terms and conditions of em ployment or any other matter of mutual
interest entered into between one or more registere d trade unions, on the one hand, and on the
other hand,

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(i) one or more employers;

(ii) one or more registered employers' organisations; or
(iii) one or more employers and one or more registered em ployers' organisations.
(2) Any agreement that was in force immediately before the commencement of this Act is deemed to be a
collective agreement concluded in terms of this Act .

(3) Any registered trade union that is party to an agre ement referred to in subitems (1) and (2) in terms of
which that trade union was recognised for the purpo ses of collective bargaining is entitled to the
organisational rights conferred by sections I I to 16 of Chapter III and in respect of employees that it
represents in terms of the agreement, for so long a s the trade union remains recognised in terms of th e
agreement as the collective bargaining agent of tho se employees.
(4) If the parties to an agreement referred to in subse ction (1) or (2) have not provided for a procedure to
resolve any dispute about the interpretation or app lication of the agreement as contemplated in sectio n
24(l), the parties to the agreement must attempt to agree a procedure as soon as practicable after the
commencement of this Act.
(5) An existing non,statutory agency shop or closed sho p agreement is not binding unless the agreement
complies with the provisions of this item. Section s 25 and 26 of this Act become effective 180 days a fter
the commencement of this item.

Part D-Matters Concerning Public Service

14. Public Service Bargaining Council (1) The Public Service Bargaining Council will continue to exist, subject to item 20.

(2) The departmental and provincial chambers of the Pub lic Service Bargaining Council will continue to exist,
subject to item 20.
(3) Within 30 days after the commencement of this Act, the chambers of the Public Service Bargaining
Council must furnish the registrar with copies of t heir constitutions signed by their authorised
representatives.
(4) The constitutions of the chambers of the Public Ser vice Bargaining Council, are deemed to be in
compliance with section 30. However, where any prov ision of the constitution of a chamber does not
comply with the requirements of section 30, the reg istrar may direct the chamber to rectify its
constitution and re,submit the rectified constituti on within the period specified in the direction, wh ich
period may not be shorter than three months.
(5) If a chamber fails to comply with a direction issue d to it in terms of subitem (5), the registrar must,
(a) determine the amendments to the constitution in ord er to meet the requirements of section 30;
and

(b) send a certified copy of the constitution to the ch amber.
(6) A chamber of the Public Service Bargaining Council must deal with any pending application for admissio n
of a party to it in terms of section 10 of the Public Service Labour Relations Act as if the application had
been made in terms of this Act.

(7) Any pending appeal before the industrial court or a n arbitrator against a decision of the Public Service
Bargaining Council in terms of section 10 of the Public Service Labour Relations Act must, despite the
repeal of any of the labour relations laws, be deal t with by the industrial court or arbitrator as if the
application had been made in terms of this Act.
(8) Despite the repeal of the Public Service Labour Relations Act , an appeal in terms of section 10 of that Act
against a decision of a chamber of the Public Servi ce Bargaining Council may be instituted after the
commencement of this Act and must be heard by the L abour Court and dealt with as if the application
had been made in terms of this Act.

15. Collective agreements in the public service

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The following provisions, read with the changes req
uired by the context, of the Public Service Labour Relations
Act, despite the repeal of that Act, will have the effect and status of a collective agreement binding on the State,
the parties to the chambers of the Public Service B argaining Council and all employees in the public service,
(a) section I for the purposes of this item unless the context otherwise indicates;

(b) section 4(10);
(c) section 5(2), (3), (4)(a) and (5);
(d) section 7;
(e) section 8, except that the reference to section 5(l ) should be a reference to item 14(l);
(f) section 9(3);
(g) section 10(4) and (5);
(h) section 12;
(i) section 13, except that the reference to agreements should be a reference to collective
agreements including the collective agreement conte mplated in this item;
(j) sections 14, 15 and 16(2);
(k) section 17, except that the following subsection mu st be substituted for subsection (4)(b), "If
the application of a trade union for recognition is refused, the trade union, within 90 days of the
notice of the refusal, may refer the dispute to arb itration."; and
(l) section 18, except that,
(i) the following subsection must be substituted for su b, section (10)(a), "An employee who
or the employee organisation which in terms of subs ection (1) has declared a dispute,
requested that a conciliation board be established and submitted the completed prescribed
form, may refer the dispute to arbitration or to th e Labour Court in terms of the provisions
of this Act and, in respect of a dispute not contem plated by this Act, to any other court if,
(i) a meeting of a conciliation board is not conve ned as contemplated in
subsection (3);
(ii) the head of department concerned falls to request t he appointment of a
chairperson in terms of subsection (5);

(iii) where applicable, the Commission fails to appoint a chairperson of the
conciliation board in terms of subsection (5);
(iv) the parties involved in the conciliation board have failed to agree to extend
the period of office of the conciliation board in t erms of subsection (7) until
a settlement is reached;
(v) the conciliation board does not succeed in settling the dispute within the
period contemplated in subsection (7); or
(vi) the parties to the dispute agree that they will not be able to settle the
dispute and submit written proof thereof to the Com mission or relevant
court."; and
(ii) any reference to the Department of Labour shou ld be a reference to Commission.

16. Education Labour Relations Council (1) The Education Labour Relations Council will continu e to exist, subject to item 20.

(2) The registered scope of the Education Labour Relati ons Council is the State and those employees in
respect of which the Educators' Employment Act, 199 4 (Proclamation No. 138 of 1994), applies.
(3) Within 30 days after the commencement of this Act, the Education Labour Relations Council must furnish
the registrar with a copy of its constitution signe d by its authorised representatives, and with the o ther
information or documentation.

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(4) The constitution agreed on between the parties to t he Education Labour Relations Council is deemed to
be in compliance with this Act: However, where any provision of the constitution does not comply with
the requirements of section 30, the registrar may d irect the Council to rectify its constitution and re,
submit the rectified constitution within the period specified in the direction, which period may not b e
shorter than three months.
(5) If the Education Labour Relations Council fails to comply with a direction issued to It in terms of su bitem
(5), the registrar must,
(a) determine the amendments to the constitution in ord er to meet the requirements of section 30;
and

(b) send a certified copy of the constitution to the Co uncil.
(6) The Education Labour Relations Council must deal wi th any pending application for admission to it in
terms of the Education Labour Relations Act as if the application had been made in terms of th is Act.

(7) Any pending appeal before the industrial court or a n arbitrator against a decision of the Education Labour
Relations Council must, despite the repeal of any o f the labour relations laws, be dealt with by the
industrial court or arbitrator as if the applicatio n had been made in terms of this Act.
(8) Despite the repeal of the Education Labour Relation s Act, any appeal against a decision of the Education
Labour Relations Council may be instituted after th e commencement of this Act and must be heard by
the Labour Court and dealt with as if the applicati on had been made in terms of this Act.

17. Education sector collective agreements The following provisions, read with the changes req uired by the context, of the Education Labour Relations Act,
despite the repeal of that Act, will have the effec t and status of a collective agreement binding on t he State, the
parties to the Education Labour Relations Council a nd all employees within registered scope,
(a) section 6(2) and (3);

(b) section 8(3), (4) and (5)(a);

(c) section 10(3) and (4);

(d) section 12(1) to (4), except that the disputes refe rred to in subsections (2) and (4) may be
referred to arbitration only; and
(e) section 13 and section 14(2).

18. Negotiating Forums in South African Police Ser vice
(1) The National Negotiating Forum will continue to exi st subject to item 20.

(2) The registered scope of the National Negotiating Fo rum is the State and those employees in respect of
whom the South African Police Service Rationalisati on Proclamation, 1995 and the Act contemplated in
section 214 of the Constitution applies.
(3) Within fourteen days of the commencement of this Ac t, or signing of its constitution by its authorised
representatives, whichever is the later, the Nation al Negotiating Forum must furnish the registrar wit h a
copy of its constitution signed by its authorised r epresentatives, and with the other information or
documentation.
(4) The constitution agreed to by the National Negotiat ing Forum is deemed to be in compliance with this
Act. However where any provision of the constitutio n does not comply with the requirements of section
30, the registrar may direct the National Negotiati ng Forum to rectify its constitution and re,submit the
rectified constitution within fourteen days.
(5) The National Commissioner of the South African Poli ce Service must deal with any pending application for
registration and recognition in terms of the South made' African Police Service Labour Regulations as if
the application had been in terms of this Act

19. Collective agreement in South African Police S ervice
The provisions of the South African Police Service Labour Relations Regulations, read with the changes required
by the context, despite the repeal of those regulat ions, will have the effect and status of a collective agreement

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binding on the State, the parties to the National N
egotiating Forum and all the employees within its r egistered
scope.

20. Consequences for public service bargaining ins titutions when Public Service Co-ordinating
Bargaining Council is established
When the Public Service Co,ordinating Bargaining Co uncil is established in terms of item 2 of Schedule I,
(a) the Public Service Bargaining Council and its chamb er at central level will cease to exist; and

(b) the following chambers of the former Public Service Bargaining Council will continue to exist as
juristic persons, despite paragraph (a), namely,
(i) the chamber for each department, which will be deemed to be a bargaining council that has
been established under section 37(3)(a) of this Act for that department;
(ii) the chamber for each provincial administration, whi ch will be deemed to be a bargaining
council that has been established under section 37( 3)(a) for that provincial administration;
and
(c) the Education Labour Relations Council will be deem ed to be a bargaining council that has been
established in terms of section 37(3)(b) of this Ac t for the education sector;

(d) the National Negotiating Forum will be deemed to be a bargaining council that has been
established in terms of section 37(3)(b) of this Ac t for the South African Police Service.

Part E-Disputes And Courts

21. Disputes arising before commencement of this A ct
(1) Any dispute contemplated in the labour relations la ws that arose before the commencement of this Act
must be dealt with as if those laws had not been re pealed.

(2) Despite subsection (1), a strike or lock,out that c ommences after this Act comes into operation will b e
dealt with in terms of this Act. This rule applies even if the dispute giving rise to the strike or lock,out
arose before this Act comes into operation.
(3) For the purposes of a strike or lock,out referred t o in subitem (2), compliance with section 65(l)(d) of the
Labour Relations Act, section 19(l)(b) of the Public Service Labour Relations Act and section 15(l)(b) of
the Education Labour Relations Act will be deemed to be compliance with section 64(l) (a) of this Act.

21A. Dispute resolution by councils before their a ccreditation
(1) Despite the provisions of section 52, a council may attempt to resolve through conciliation –
(a) any dispute that may be referred to it in terms of this Act before 1 December 1996; and

(b) if the council has applied for accreditation in ter ms of section 127 of this Act before 1 December
1996, also any dispute so referred to it after 1 De cember 1996 but before the governing body of
the Commission has made a decision on that applicat ion in terms of section 127(5) of this Act.
(2) For the purposes of subitem (1), any person appoint ed by a council to perform on its behalf the dispute
resolution function referred to in that subitem wil l be competent to exercise any of the powers confer red
on a commissioner by section 142 of this Act, excep t the powers contemplated in subsection (1)(c) and
(d) of that section. In applying that section for the purposes of this subitem, that section must be read
with the changes required by the context, and any r eference in that section to the director must be read
as a reference to the secretary of the council.

(3) A council must refer to the Commission, for arbitra tion, any dispute that –
(a) was referred to the council in terms of this Act on the authority of subitem (1); and

(b) remains unresolved after the council has attempted to resolve it through conciliation; and
(c) is by this Act required to be resolved through arbi tration.

22. Courts

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(1) In any pending dispute in respect of which the indu strial court or the agricultural labour court had
jurisdiction and in respect of which proceedings ha d not been instituted before the commencement of th is
Act, proceedings must be instituted in the industri al court or agricultural labour court (as the case may
be) and dealt with as if the labour relations laws had not been repealed. The industrial court or the
agricultural labour court may perform or exercise a ny of the functions and powers that it had in terms of
the labour relations laws when it determines the di spute.

(2) Any dispute in respect of which proceedings were pe nding in the industrial court or the agricultural labour
court must be proceeded with as if the labour relat ions laws had not been repealed.
(2A) In relation to any proceedings which, in terms of this Schedule, are brought or continued before the
industrial court, the rules which, immediately befo re the commencement of this Act, were in force unde r
the provisions of paragraphs (c ) or (d) of section 17(22) of the Labour Relations Act will apply as if those
provisions had not been repealed, subject to subite m (2B).

(2B) The Minister, after consultation with the pres ident of the industrial court, may make rules in accordance
with the provisions of paragraph (c ) of section 17 (22) of the Labour Relations Act and, in accordance
with the provisions of paragraph (d) of that sectio n, may repeal or alter any rule so made, as well as any
of the rules contemplated in subitem (2A), as if th ose provisions had not been repealed and the Minist er
where the Board contemplated in those provisions.
(3) Any pending appeal before the Labour Appeal Court e stablished by section 17A of the Labour Relations
Act must be dealt with by the Labour Appeal Court a s if the labour relations laws had not been repealed.

(4) Any pending appeal from a decision of that Labour A ppeal Court or any appeal to the Appellate Division
from a decision of the Labour Appeal Court in terms of section 17C and section 64 of the Labour
Relations Act must be dealt with as if the labour r elations laws had not been repealed.
(5) Any appeal from a decision of the industrial court or the agricultural labour court in terms of subitem (1)
or (2), must be made to the Labour Appeal Court est ablished by section 167 of this Act, and that Labour
Appeal Court must deal with the appeal as if the la bour relations laws had not been repealed.
(6) Despite the provisions of any other law, but subjec t to the Constitution, no appeal will lie against any
judgement or order given or made by the Labour Appe al Court established by this Act in determining any
appeal brought in terms of subitem (5).

22A. Minister may authorise Commission to perform industrial court’s functions
(1) The Minister, after consulting the Commission, may authorise the Commission, by notice in the
Government Gazette, to perform the industrial court ’s functions in terms of item 22(1) –
(a) in respect of the Republic as a whole or any provin ce specified in the notice; and
(b) with effect from a date so specifies.
(2) The authorisation of the Commission in terms of sub item (1) –
(a) does not affect the competence of the industrial co urt in terms of item 22(1) to decide and finalise
all pending matters that are partly heard by it as at the date when the authorisation takes effect,
nor does it relieve that court of its functions, du ties and responsibility with regard to those
matters;

(b) does not empower the Commission to perform any of t he industrial court’s functions with regard to
the matters mentioned in paragraph (a); and
(c) has the effect of substituting the Commission for t he industrial court in so far as all other pending
matters are concerned.

(3) In the application of this item –
(a) the provisions of item 22(1) will apply to the Comm ission in all respects as if it were the industrial
court; and
(b) the rules governing the proceedings at the industri al court in terms of item 22(2A) and (2B) will
apply to the proceeding at all pending matters to b e decided by the Commission by virtue of its
authorisation in terms of this item.

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Part F-Pension Matters

23. Continuation of existing pension rights of sta
ff members of Commission upon assuming employment
(1) Any staff member of the Commission who, immediately before assuming employment with the
Commission, is a member of the Government Service P ension Fund, the Temporary Employees Pension
Fund or any other pension fund or scheme administer ed by the Department of Finance (hereinafter
referred to as an officer or employee), may upon as suming that employment,
(a) choose to remain a member of that pension fund, and from the date of exercising the choice,
the officer or employee, despite the provisions of any other law, will be deemed to be a dormant
member of the relevant pension fund within the cont emplation of section 15(l)(a) of the General
Pensions Act, 1979 (Act No. 29 of 1979);

(b) request to become a member of the Associated Instit utions Pension Fund established under the
Associated Institutions Pension Fund Act, 1963 (Act No. 41 of 1963), as if the Commission had
been declared an associated institution under secti on 4 of that Act; or
(c) request to become a member of any other pension fun d registered under the Pension Funds Act,
1956 (Act No. 24 of 1956).
(2) In the case where an officer or employee becomes a member of a fund after making a request in terms
of subitem (1)(b) or (c),
(a) the pension fund of which the officer or employee w as a member ("the former fund") must
transfer to the pension fund of which the officer o r employee becomes a member of ("the new
fund") an amount equal to the funding level of the former fund multiplied by its actuarial liability
in respect of that officer or employee at the date the officer or employee assumes office with the
Commission, increased by the amount of interest cal culated on that amount at the prime rate of
interest from the date when employment with the Com mission commenced up to the date of
transfer of the amount;

(b) membership of the officer or employee of the former fund will lapse from the date when
employment with the Commission commenced, and from that date the officer or employee will
cease to have any further claim against the former fund except as provided in paragraph (a);
and
(c) the former fund must transfer any claim it may have against the officer or employee, to the new
fund.
(3) In the case where an officer or employee becomes a member of a new fund after a request in terms of
subitem (1)(c) the State must pay the new fund an a mount equal to the difference between the actuarial
liability of the former fund in respect of the offi cer or employee as on the date of the commencement of
employment with the Commission, and the amount tran sferred in terms of subitem (2)(c) to the new
fund, increased by the amount of interest thereon c alculated at the prime rate from the date of
commencement of employment up to the date of the tr ansfer of the amount.

(4) Subitems (2) and (3) will apply, read with the chan ges required by the context, in respect of any officer
or employee who, by reason of having made a choice in terms of subitem (1)(a), has become a dormant
member and thereafter requests that the pension ben efits that had accrued, be transferred in terms of
section 15A(1) of the General Pensions Act, 1979, t o another pension fund referred to in that Act or a
pension fund registered in terms of the Pension Funds Act, 1956.

(5) If, after an officer or employee has become a membe r of any other pension fund, by reason of having
made a choice in terms of subitem (1)(c), a lump su m benefit has become payable by that pension fund
by reason of the death, or the withdrawal or resign ation from the pension fund, or retirement, of the
officer or employee, or the winding,up of the pensi on fund, then, for the purposes of paragraph (e) of the
definition of "gross income" in section I of the Income Tax Act, 1962 (Act No. 58 of 1962), the pension
fund will be deemed, in relation to such officer or employee, to be a fund referred to in paragraph (a ) of
the definition of "pension fund" in section I of th at Act.

(6) For the purposes of this item,
"actuarial liability " of a pension fund in respect of a particular memb er or a group of members of the
fund, means the actuarial liability that is determi ned by an actuary who the Minister has nominated fo r
that purpose;

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"funding level ", in relation to a pension fund, means the market value of the assets of the fund stated
as a percentage of the total actuarial liability of the fund, after those assets and liabilities have been
reduced by the amount of the liabilities of the fun d in respect of all its pensioners, as determined at the
time of the most recent actuarial valuation of the fund or any review thereof carried out under direct ion
of the responsible Minister; and " prime rate of interest " means the average prime rate of interest of the t hree largest banks in the
Republic.
Part G – Essential Services

24. Essential ser vices in the public service (1) An essential service contemplated in section 20(1) of the Public Service Labour Relations Act will be
deemed to have been designated an essential service in terms of this Act for a period ending on a date
10 months after the commencement of this Act or on the date of the publication of the notice of
designation mentioned in subitem (2), in the Govern ment Gazette, whichever date occurs first
(2) The essential services committee must, in the case of the services contemplated in section 20(1) of the
Public Service Labour Relations Act, as soon as pos sible after the commencement of this Act, make a ne w
designation, under section 71 of this Act, of servi ces that are essential services. Such a designatio n will
be effective from the date of the publication of th e notice of designation in the Government Gazette i n
terms of section 71(8) of this Act.

25. Essential services provided for in Labour Rela tions Act
(1) The services, in which employers referred to in par agraphs (a) and (b) of section 46(1) of the Labour
Relations Act, and employees referred to in paragra phs (e) and (f) of that section, are engaged, as well
as any service contemplated in paragraphs (a) or (b ) of section 46 (7) of that Act in which the employers
and employees to whom a notice in terms of the latt er section applied immediately before the
commencement of this Act, are engaged, will be deem ed to have been designated essential services in
terms of this Act for a period ending on a date 10 months after the commencement of this Act or on the
date of the publication of the notice of designatio n mentioned in subitem (2), in the Government Gazet te,
whichever date occurs first
(2) The essential services committee must, in the case of the services contemplated in subitem (1), as soon
as possible after the commencement of this Act, mak e a new designation, under section 71 of this Act, of
services that are essential services. Such a desig nation will be effective from the date of the publication
of the notice of the designation in the Government Gazette in terms of section 71 (8) of this Act.

Part H –Transitional provisions arising out of the application of the Labour Relations
Amendment Act, 2002

26. Definitions
In this part – ‘Act’ means the Labour Relations Act, 1995 (Act No. 66 of 1995); and

‘Amendment Act’ means the Labour Relations Amendment Act, 2002.

27. Representation in conciliation and arbitration (1) Until such time as rules made by the Commission in terms of section 115(2A)(m) of the Act come into
force –
(a) sections 135(4), 138(4) and 140(1) of the Act remai n in force as if they had not been repealed,
and any reference in this item to those sections is a reference to those sections prior to
amendment by this Amendment Act;

(b) a bargaining council may be represented in arbitrat ion proceedings in terms of section 33A of the
Act by a person specified in section 138(4) of the Act or by a designated agent or an official of the
council;

(c) the right of any party to be represented in proceed ings in terms of section 191 of the Act must be
determined by –
(i) section 138(4) read with section 140(1) of the Act for disputes about a dismissal; and

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(ii) section 138(4) of the Act for disputes about a
n unfair labour practice.

(2) Despite subitem 1(a), section 138(4) of the Act doe s not apply to an arbitration conducted in terms of
section 188A of the Act.

28. Order for costs in arbitration Section 138(10) of the Act, before amendment by the Amendment Act, remains in effect as if it had not been
amended until such time as the rules made by the Co mmission in terms of section 115(2A)(j) of the Act came
into effect.
29. Arbitration in terms of section 33A (1) Until such time as the Minister promulgates a notic e in terms of section 33A(13) of the Act, an arbitrator
conducting an arbitration in terms of section 33A o f the Act may impose a fine in terms of section
33A(8)(b) of the Act subject to the maximum fines s et out in Table One and Two of this item.

(2) The maximum fine that may be imposed by an arbitrat or in terms of section 33A(8)(b) of the Act –
(a) for a failure to comply with a provision of a colle ctive agreement not involving a failure to pay any
amount of money, it the fine determined in terms of Table One; and
(b) involving a failure to pay an amount due in terms o f a collective agreement, is the greater of the
amounts determined in terms of Table One and Table Two.

TABLE ONE: MAXIMUM PERMISSABLE FINE NOT INVOLVING AN UNDERPAYMENT

No previous failure to comply R100 per employee in respect of whom the failure
to comply occurs
A previous failure to comply in respect of the
same provision R200 per employee in respect of whom the failure
to comply occurs
A previous failure to comply within the previous
12 months or two previous failures to comply in
respect of the same provisions within three years R300 per employee in respect of whom the failure
to comply occurs
Three previous failures to comply in respect of
the same provision within three years
R400 per employee in respect of whom the failure
to comply occurs
Four or more previous failures to comply in
respect of the same provision within three years R500 per employee in respect of whom the failure
to comply occurs

TABLE TWO: MAXIMUM PERMISSIBLE FINE INVOLVING AN U
NDERPAYMENT

No previous failure to comply 25% of the amount due , including any interest
owing on the amount at the date of the order
A previous failure to comply in respect of the
same provision 50% of the amount due, including any interest
owing on the amount at the date of the order
A previous failure to comply within the previous
12 months or two previous failures to comply in
respect of the same provisions within three years 75% of the amount due, including any interest
owing on the amount at the date of the order
Three previous failures to comply in respect of
the same provision within three years
100% of the amount due, including any interest
owing on the amount at the date of the order
Four or more previous failures to comply in
respect of the same provision within three years
200% of the amount due, including any interest
owing on the amount at the date of the order

30. Unfair labour practice
(1) Any dispute about an unfair labour practice referre d to a council or Commission in accordance with ite ms
3(1) and (2) of this Schedule prior to the commence ment of the Amendment Act must be dealt with as if
items 2,3 and 4 of this Schedule had not been repea led.

(2) (a) A dispute concerning any act or omission constituti ng an alleged unfair labour practice that
occurred prior to the commencement of the Amendment Act that had not been referred to a
council or Commission in terms of item 3(1) and 3(2 ) prior to the commencement of the
Amendment Act must be dealt with in terms of sectio n 191 of the Act.

(b) If a dispute contemplated in paragraph (a) is not r eferred to conciliation in terms of section 191(a)
of the Act within 90 days of the commencement of th e Amendment Act, the employee alleging the
unfair labour practice must apply for condonation i n terms of section 191(2) of the Act.

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(c) Subitem (a) does not apply to an unfair labour prac tice in relation to probation.

31. Bargaining councils in public service Any bargaining council that was established or deem ed to be established in terms of section 37(3) of the Act
prior to the Amendment Act coming into force is dee med to have been established in terms of section 37(2) of
the Act.
32. Expedited applications in terms of section 189A (13)
Until such time as rules are made in terms of secti on 159 of the Act –
(a) the Labour Court may not grant any order in terms o f section 189A(13) or (14) of the Act unless
the applicant has given at least four days’ notice to the respondent of an application for an order
in terms of subsection (1). However, the Court may permit a sorter period of notice if –
(i) the applicant has given written notice to the r espondent of the applicant’s intention to
apply for the granting of an order;

(ii) the respondent has been given a reasonable opp ortunity to be heard before a decision
concerning that application is taken; and

(iii) the applicant has shown good cause why a peri od shorter than four days should be
permitted;
(b) an application made in terms of section 189A(13) mu st be enrolled by the Labour Court on an
expedited basis.

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SCHEDULE 8
CODE OF GOOD PRACTICE: DISMISSAL
1. Introduction
(1) This code of good practice deals with some of the k ey aspects of dismissals for reasons related to
conduct and capacity. It is intentionally general. Each case is unique, and departures from the norms
established by this Code may be justified in proper circumstances. For example, the number of
employees employed in an establishment may warrant a different approach.

(2) This Act emphasises the primacy of collective agree ments. This Code is not intended as a substitute for
disciplinary codes and procedures where these are t he subject of collective agreements, or the outcome
of joint decision,making by an employer and a workp lace forum.
(3) The key principle in this Code is that employers an d employees should treat one another with mutual
respect. A premium is placed on both employment jus tice and the efficient operation of business. While
employees should be protected from arbitrary action , employers are entitled to satisfactory conduct and
work performance from their employees.

2. Fair reasons for dismissal (1) A dismissal is unfair if it is not effected for a f air reason and in accordance with a fair procedure, even if it
complies with any notice period in a contract of em ployment or in legislation governing employment.
Whether or not a dismissal is for a fair reason is determined by the facts of the case, and the
appropriateness of dismissal as a penalty. Whether or not the procedure is fair is determined by referring
to the guidelines set out below.

(2) This Act recognises three grounds on which a termin ation of employment might be legitimate. These are:
the conduct of the employee, the capacity of the em ployee, and the operational requirements of the
employer's business.
(3) This Act provides that a dismissal is automatically unfair if the reason for the dismissal is one that
amounts to an infringement of the fundamental right s of employees and trade unions, or if the reason is
one of those listed in section 187.
The reasons include participation in a lawful strik e, intended or actual pregnancy and acts of
discrimination.
(4) In cases where the dismissal is not automatically u nfair, the employer must show that the reason for
dismissal is a reason related to the employee's con duct or capacity, or is based on the operational
requirements of the business. If the employer fails to do that, or fails to prove that the dismissal was
effected in accordance with a fair procedure, the d ismissal is unfair.

3. Disciplinary measures short of dismissal Disciplinary procedures prior to dismissal
(1) All employers should adopt disciplinary rules that establish the standard of conduct required of their
employees. The form and content of disciplinary rul es will obviously vary according to the size and nature
of the employer's business.
In general, a larger business will require a more f ormal approach to discipline. An employer's rules m ust
create certainty and consistency in the application of discipline. This requires that the standards of
conduct are clear and made available to employees i n a manner that is easily understood. Some rules or
standards may be so well established and known that it is not necessary to communicate them.
(2) The courts have endorsed the concept of corrective or progressive discipline.
This approach regards the purpose of discipline as a means for employees to know and understand what
standards are required of them. Efforts should be m ade to correct employees' behaviour through a
system of graduated disciplinary measures such as c ounselling and warnings.

(3) Formal procedures do not have to be invoked every t ime a rule is broken or a standard is not met.
Informal advice and correction is the best and most effective way for an employer to deal with minor
violations of work discipline. Repeated misconduct will warrant warnings, which themselves may be
graded according to degrees of severity. More serio us infringements or repeated misconduct may call fo r
a final warning, or other action short of dismissal . Dismissal should be reserved for cases of serious
misconduct or repeated offences.

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Dismissals for misconduct
(4)
Generally, it is not appropriate to dismiss an empl oyee for a first offence, except if the misconduct is
serious and of such gravity that it makes a continu ed employment relationship intolerable. Examples of
serious misconduct, subject to the rule that each c ase should be judged on its merits, are gross
dishonesty or wilful damage to the property of the employer, wilful endangering of the safety of others,
physical assault on the employer, a fellow employee , client or customer and gross insubordination.
Whatever the merits of the case for dismissal might be, a dismissal will not be fair if it does not meet the
requirements of section 188.

(5) 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, previous disciplinary record and personal circumstances), the nature of the job and the
circumstances of the infringement itself.
(6) The employer should apply the penalty of dismissal consistently with the way in which it has been applied
to the same and other employees in the past, and co nsistently as between two or more employees who
participate in the misconduct under consideration.

4. Fair procedure (1) Normally, the employer should conduct an investigat ion to determine whether there are grounds for
dismissal. This does not need to be a formal enquir y. The employer should notify the employee of the
allegations using a form and language that the empl oyee can reasonably understand. The employee
should be allowed the opportunity to state a case i n response to the allegations. The employee should be
entitled to a reasonable time to prepare the respon se and to the assistance of a trade union
representative or fellow employee. After the enquir y, the employer should communicate the decision
taken, and preferably furnish the employee with wri tten notification of that decision.

(2) Discipline against a trade union representative or an employee who is an office,bearer or official of a
trade union should not be instituted without first informing and consulting the trade union.
(3) If the employee is dismissed, the employee should b e given the reason for dismissal and reminded of any
rights to refer the matter to a council with jurisd iction or to the Commission or to any dispute resol ution
procedures established in terms of a collective agr eement.
(4) In exceptional circumstances, if the employer canno t reasonably be expected to comply with these
guidelines, the employer may dispense with pre,dism issal procedures.

5. Disciplinary records Employers should keep records for each employee spe cifying the nature of any disciplinary transgressions, the
actions taken by the employer and the reasons for t he actions.

6. Dismissals and industrial action (1) Participation in a strike that does not comply with the provisions of Chapter IV is misconduct. Howeve r,
like any other act of misconduct, it does not alway s deserve dismissal. The substantive fairness of
dismissal in these circumstances must be determined in the light of the facts of the case, including,
(a) the seriousness of the contravention of this Act;

(b) attempts made to comply with this Act; and
(c) whether or not the strike was in response to unjust ified conduct by the employer.
(2) Prior to dismissal the employer should, at the earl iest opportunity, contact a trade union official to
discuss the course of action it intends to adopt. T he employer should issue an ultimatum in clear and
unambiguous terms that should state what is require d of the employees and what sanction will be
imposed if they do not comply with the ultimatum. T he employees should be allowed sufficient time to
reflect on the ultimatum and respond to it, either by complying with it or rejecting it. If the employer
cannot reasonably be expected to extend these steps to the employees in question, the employer may
dispense with them.

7. Guidelines in cases of dismissal for misconduct
Any person who is determining whether a dismissal f or misconduct is unfair should consider,

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(a)
whether or not the employee contravened a rule or s tandard regulating conduct in, or of
relevance to, the workplace; and

(b) if a rule or standard was contravened, whether or n ot,
(i) the rule was a valid or reasonable rule or standard ;

(ii) the employee was aware, or could reasonably be expe cted to have been aware, of the rule
or standard;
(iii) the rule or standard has been consistently applied by the employer; and
(iv) dismissal was an appropriate sanction for the contr avention of the rule or standard.

8. Incapacity: Poor work performance (1) Probation
(a) An employer may require a newly,hired employee to serve a period of probation before the
appointment of the employee is confirmed.

(b) The purpose of the probation is to give the emp loyer an opportunity to evaluate the employee’s
performance before confirming the appointment.

(c) Probation should not be used for purposes not c ontemplated by this Code to deprive employees of
the status of permanent employment. For example, a practice of dismissing employees who
complete their probation periods and replacing them with newly,hired employees, is not consistent
with the purpose of probation and constitutes an un fair labour practice.

(d) The period of probation should be determined in advance and be of reasonable duration. The
length of the probationary period should be determi ned with reference to the nature of the job and
the time it takes to determine the employee’s suita bility for continued employment.

(e) During the probationary period, the employee’s performance should be assessed. An employer
should give an employee reasonable evaluation, inst ruction, training, guidance or counselling in
order to allow the employee to render a satisfactor y service.

(f) If the employer determines that the employee’s performance is below standard, the employer
should advise the employee of any aspects in which the employer considers the employee to be
failing to meet the required performance standards. If the employer believes that the employee is
incompetent, the employer should advise the employe e of the respects in which the employee is
not competent. The employer may either extend the probationary period or dismiss the employee
after complying with subitems (g) or (h), as the ca se may be.

(g) The period of probation may only be extended fo r a reason that relates to the purpose of
probation. The period of extension should not be d isproportionate to the legitimate purpose that
the employer seeks to achieve.

(h) An employer may only decide to dismiss an emplo yee or extend the probationary period after the
employer has invited the employee to make represent ations and has considered any
representations made. A trade union representative or fellow employee may make the
representations on behalf of the employee.

(i) If the employer decides to dismiss the employee or to extend the probationary period, the
employer should advise the employee of his or her r ights to refer the matter to a council having
jurisdiction, or to the Commission.

(j) Any person making a decision about the fairness of a dismissal of an employee for poor work
performance during or on expiry of the probationary period ought to accept reason for dismissal
that may be less compelling than would be the case in dismissals effected after the completion of
the probationary period.

(2) After probation, an employee should not be dismisse d for unsatisfactory performance unless the
employer has,
(a) given the employee appropriate evaluation, instruct ion, training, guidance or counselling; and

(b) after a reasonable period of time for improvement, the employee continues to perform
unsatisfactorily.

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(3) The procedure leading to dismissal should include a n investigation to establish the reasons for the
unsatisfactory performance and the employer should consider other ways, short of dismissal, to remedy
the matter.

(4) In the process, the employee should have the right to be heard and to be assisted by a trade union
representative or a fellow employee.

9. Guidelines in cases of dismissal for poor work performance
Any person determining whether a dismissal for poor work performance is unfair should consider –
(a) whether or not the employee failed to meet a p erformance standard; and

(b) if the employee did not meet a required perfor mance standard whether or not,
(i) the employee was aware, or could reasonably be expected to have been aware, of the
required performance standard;

(ii) the employee was given a fair opportunity to m eet the required performance standard; and

(iii) dismissal was an appropriate sanction for not meeting the required performance standard.

10. Incapacity: Ill health or injury (1) Incapacity on the grounds of ill health or injury m ay be temporary or permanent. If an employee is
temporarily unable to work in these circumstances, the employer should investigate the extent of the
incapacity or the injury. If the employee is likely to be absent for a time that is unreasonably long in the
circumstances, the employer should investigate all the possible alternatives short of dismissal. When
alternatives are considered, relevant factors might include the nature of the job, the period of absence,
the seriousness of the illness or injury and the po ssibility of securing a temporary replacement for t he ill
or injured employee. In cases of permanent incapac ity, the employer should ascertain the possibility of
securing alternative employment, or adapting the du ties or work circumstances of the employee to
accommodate the employee's disability.

(2) In the process of the investigation referred to in subsection (1) the employee I should be allowed the
opportunity to state a case in response and to be a ssisted by a trade union representative or fellow
employee.
(3) The degree of incapacity is relevant to the fairnes s of any dismissal. The cause of the incapacity may also
be relevant. In the case of certain kinds of incapa city, for example alcoholism or drug abuse, counsel ling
and rehabilitation may be appropriate steps for an employer to consider.
(4) Particular consideration should be given to employe es who are injured at work or who are incapacitated
by work,related illness. The courts have indicated that the duty on the employer to accommodate the
incapacity of the employee is more onerous in these circumstances.

11. Guidelines in cases of dismissal arising from i ll health or injury
Any person determining whether a dismissal arising from ill health or injury is unfair should consider,
(a) whether or not the employee is capable of performin g the work; and

(b) if the employee is not capable, (i) the extent to which the employee is able to pe rform the work;

(ii) the extent to which the employee's work circu mstances might be adapted to accommodate
disability, or, where this is not possible, the ext ent to which the employee's duties might be
adapted; and

(iii) the availability of any suitable alternative work.

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SCHEDULE 10
POWERS OF DESIGNATED AGENT OF BARGAINING COUNCIL

(Section 33)
(1) A designated agent may, without warrant or notice a t any reasonable time, enter any workplace or any
other place where an employer carries on business o r keeps employment records, that is not a home, in
order to monitor or enforce compliance with a colle ctive agreement concluded in the bargaining council .

(2) A designated agent may only enter a home or any pla ce other than a place referred to in subitem (1) –
(a) with the consent of the owner or occupier; or

(b) if authorised to do so by the Labour Court in terms of subitem (3);

(3) The Labour Court may issue an authorisation contemp lated in subitem (2)(b) only on written application
by a designated agent who states under oath or affi rmation the reasons for the need to enter a place, in
order to monitor or enforce compliance with a colle ctive agreement concluded in the bargaining council .

(4) If it is practicable to do so, the employer and a t rade union representative must be notified that the
designated agent is present at a workplace and of t he reason for the designated agent’s presence.
(5) In order to monitor or enforce compliance with a co llective agreement, a designated agent may –
(a) require a person to disclose information, either or ally or in writing, and either alone or in
the presence of witnesses, on a matter to which a c ollective agreement relates, and require
that disclosure to be under oath or affirmation;

(b) inspect and question a person about any record or d ocument to which a collective
agreement relates;

(c) copy any record or document referred to in paragrap h (b) or remove these to make copies
or extracts;

(d) require a person to produce or deliver to a place s pecified by the designated agent any
record or document referred to in paragraph (b) for inspection;

(e) inspect, question a person about, and if necessary remove, an article, substance or
machinery present at a place referred to in subitem s (1) and (2);

(f) question a person about any work performed; and

(g) perform any other prescribed function necessary for monitoring or enforcing compliance
with a collective agreement.
(6) A designated agent may be accompanied by an interpr eter and any other person reasonably required to
assist in conducting an inspection.

(7) A designated agent must –
(a) produce on request a copy of the authorisation refe rred to in subitem (3);

(b) provide a receipt for any record or document remove d in terms of subitem (5)(e); and
(c) return any removed record, document or item within a reasonable time.

(8) Any person who is questioned by a designated agent in terms of subitem (5) must answer all questions
lawfully put to that person truthfully and to the b est of that person’s ability.

(9) An answer by any person to a question by a designat ed agent in terms of this item may not be used
against that person in any criminal proceedings, ex cept proceedings in respect of a charge of perjury or
making a false statement.
(10) Every employer and each employee must provide any f acility and assistance at a workplace that is
reasonably required by a designated agent to effect ively perform the designated agent’s functions.
(11) The bargaining council may apply to the Labour Cour t for an appropriate order against any person who –

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(a) refuses or fails to answer all questions lawful ly put to that person truthfully and to the best
of that person’s ability;

(b) refuses or fails to comply with any requirement of the designated agent in terms of this
item; or

(c) hinders the designated agent in the performance of the agent’s functions in terms of this
item.

(12) For the purposes of this Schedule, a collective agr eement is deemed to include any basic condition of
employment which constitutes a term of a contract o f employment in terms of section 49(1) of the Basic
Conditions of Employment Act .

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