Case Law[2026] ZALAC 4South Africa
Dladla and Others v Motor Industries Bargaining Council and Others (JA99/2024) [2026] ZALAC 4 (26 January 2026)
Labour Appeal Court of South Africa
4 July 2024
Headnotes
on review.
Judgment
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## Dladla and Others v Motor Industries Bargaining Council and Others (JA99/2024) [2026] ZALAC 4 (26 January 2026)
Dladla and Others v Motor Industries Bargaining Council and Others (JA99/2024) [2026] ZALAC 4 (26 January 2026)
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sino date 26 January 2026
FLYNOTES:
LABOUR
– Dismissal –
Insubordination
–
Partaking
in riotous behaviour – Instructions to return to work
reinforced by written ultimatums – Refusal constituted
insubordination – Unauthorised gathering on company premises
falls within definition of riotous behaviour – Conduct
of
chasing managers away and ignoring ultimatums amounted to gross
insubordination – Dismissal was proportionate in
light of
persistent defiance and breakdown of trust – Appeal
dismissed.
THE
LABOUR APPEAL COURT OF SOUTH AFRICA, JOHANNESBURG
Case
No: JA99/2024
(1)
Reportable: Yes/No
(2)
Of interest to other Judges: Yes/No
(3)
Revised
In
the matter between:
THULANI
DLADLA
First Appellant
THABANG
MOGASWA
Second Appellant
PHENYO
HLONGWANE
Third Appellant
TSHILILO
MAGADANI
Fourth Appellant
TSHEPISO
MABUSELA
Fifth Appellant
and
MOTOR
INDUSTRIES BARGAINING COUNCIL
First Respondent
DISPUTE
RESOLUTION CENTRE
DIALE
NTSOANE N.O
Second Respondent
FELTEX
AUTOMOTIVE (PTY) LTD
Third Respondent
HEARD:
19 August 2025
DELIVERED:
This judgment was handed down electronically by
circulation to the parties’ representatives by email, published
on the Labour
Appeal Court website, and released to SAFLII. The date
and time for hand-down is deemed to be on 26 January 2026.
CORAM
:
Mahalelo ADJP, Van Niekerk JA et Chetty
AJA
JUDGMENT
MAHALELO,
ADJP
Introduction
[1]
This is an appeal against the whole of the judgment and order of the
Labour Court delivered on 4 July 2024 in which it
dismissed an
application to review and set aside an arbitration award issued by
the third respondent (Commissioner) under the auspices
of the Motor
Industries Bargaining Council (MIBCO).
The
appellants were charged with two counts of misconduct and pursuant to
an internal disciplinary enquiry convened in accordance
with the
third respondent’s disciplinary procedure, were found guilty
and dismissed.
[2]
At the arbitration, the Commissioner found that the dismissal of the
appellants was substantively fair, which decision
was upheld on
review.
[3]
Aggrieved by the outcome of the arbitration proceedings and the
Labour Court’s order, the appellants now seek an
order from
this Court setting aside the order of the Labour Court and
substituting it with an order that their dismissal was substantively
unfair and reinstating them with retrospective effect. The appellants
also seek the costs of the review and this appeal. The third
respondent seeks the dismissal of the appeal with costs.
Factual
Background
[4]
The material facts are largely common cause. The appellants were
employed in the third respondent's Grammar Line department
which
produced headrests for BMW motor vehicles. In early 2018, BMW
cancelled the relevant order, leading the third respondent
to
contemplate the closure of the Grammar department and potential
retrenchments. Notices in terms of section 189(3) of the Labour
Relations Act
[1]
(LRA) were
issued, and consultations were held with the National Union of
Metalworkers of South Africa (NUMSA), the appellants'
union.
[5]
By 7 March 2018, the consultations had yielded a positive outcome.
The third respondent decided against retrenchments
and instead
undertook to absorb all affected employees, including the appellants,
into other departments, notably the Fehrer Department,
on their
existing terms and conditions. A list confirming this was sent out to
NUMSA, who undertook to communicate the outcome
to its members. The
affected employees were to receive on-the-job training in their new
roles.
[6]
On the morning of 12 March 2018, the appellants, along with two other
colleagues, congregated in the respondent's canteen.
When
asked why they were in the canteen by their supervisor Mr Ntladi,
they replied that they were waiting for their union organizer
Mr
Mike Futshane
to
discuss the possible retrenchments.
Management being unaware of any scheduled meeting,
confirmed
to them that Grammar Line employees were being trained in the other
areas of the factory. The appellants replied that
they could not
return to work because they were waiting for their union organizer.
Management
instructed them to
report to their workstations. The appellants had not indicated that
they were off duty. They refused,
insisting they would not move
until they had met with Mr Futshane.
[7]
The third respondent issued two written ultimatums. The first, issued
before 11:15, demanded that the employees return
to work by 11:15,
warning
them that they are participating in an "illegal
strike." The second, issued before 12:00, repeated the
instruction to
return to work and added that employees not back at
work would
be asked to leave the premises
immediately or will be escorted out of the premises.
[8]
The appellants did not comply with either ultimatum. They were
subsequently suspended from duty and charged with two acts
of
misconduct:
“
Charge
1
:
“Partaking
in riotous behaviour
in
that on Monday 12 March 2018 you took part in an unauthorized meeting
on company premises
”.
Charge
2: Failure to obey a lawful instruction and insubordination, i
n
that on 12 March 2018, despite being issued by ultimatums you did not
return to duty at Fehrer Roslyn.”
[9]
Following a disciplinary enquiry, the appellants were found guilty on
both charges and were dismissed. An internal appeal
was unsuccessful.
Their unfair dismissal dispute referred to MIBCO culminated in the
Commissioner's award, which found their dismissal
to be substantively
fair.
[10]
Aggrieved by the Commissioner’s award the appellants launched a
review application to set aside the award. They
contended before the
review court that the award did not fall within the band of
reasonableness as the Commissioner misconstrued
the nature of charge
2 and further
, the
Commissioner materially erred in finding the appellants guilty on a
proper construction of that charge as well as erred in
finding the
appellants guilty on charge
1.
The appellants’ defence
at
arbitration was that they were not rostered to work and thus they did
not need to return to their workstations. The Labour Court
rejected
the appellants’ defence on the basis that the appellants were
to adhere to the instructions regardless of being
rostered or not and
concluded that from the evidence presented, the probabilities
favoured the version that the appellants were
rostered.
The
Labour Court
dismissed the review
application, leading to this appeal.
Grounds
of Appeal and Issues for Determination
[11]
The appellants' grounds of appeal, can be distilled as follows:
11.1
The court
a quo
misconceived the nature of charge
2 by conflating the failure to "return to work" with a
failure to "vacate
the canteen," and by erroneously
reversing the onus of proof regarding whether the appellants were on
shift.
11.2
The court
a quo
erred in upholding the guilty
finding on charge 1 by disregarding the Commissioner's
factual finding that a meeting
with Mr Futshane was planned and by
failing to consider that the appellants were unaware that the meeting
was unauthorised.
11.3
In the alternative, if the appellants are found guilty, the sanction
of dismissal was inappropriate for either
charge.
[12]
The central issues for determination in this appeal relate to the
Commissioner’s findings, upheld by the Labour
Court, in respect
of the following issues:
12.1
Whether the appellants were instructed to leave the canteen and
whether the Labour Court erred in confirming
the finding of
guilt on Charge 2.
12.2
Whether the appellants were guilty of Charge 1.
12.3
If the appellants are found to be guilty on either charge, whether
the sanction of dismissal was appropriate.
The
Legal Framework for Appeals and Reviews
[13]
The test on appeal is whether the court
a quo
was
correct in its conclusion that the Commissioner's award was one that
a reasonable decision-maker could reach. This Court
must ascertain
whether the review court, in assessing and upholding the
Commissioner’s decision, arrived at a conclusion
that is
correct in law.
[14]
The constitutional standard of reasonableness, as set out in
Sidumo
and Another v Rustenburg Platinum Mines Ltd and Others
[2]
,
remains the guiding principle. As articulated in
Gold
Fields Mining South Africa (Pty) Ltd (Kloof Gold Mine) v CCMA and
Others
[3]
,
the reviewing court must ask: "
Is
the decision reached by the commissioner one that a reasonable
decision-maker could not reach?"
[15]
Furthermore, in
Head
of the Department of Education v Mofokeng and Others
[4]
,
it was held that for a review to succeed, the irregularity or
misdirection must be so material that it leads to an unreasonable
outcome. Not every error of fact or law justifies setting aside an
award.
Discussion
Charge
1 – Partaking in Riotous Behaviour
[16]
The first respondent's disciplinary Rules defines "riotous
behaviour" to include
conducting
unauthorized meetings on company property. (a meeting is a gathering
of more than three people).
Such
misconduct is sanctioned at level 2. A level 2 transgression is a
major transgression, wherein a penalty of
,
inter alia
,
dismissal with notice or summary dismissal can be imposed.
[17]
The appellants’
own version is that they congregated in the third respondent’s
canteen while waiting for Mr Mike Futshane,
however he did not
arrive. The meeting included two other employees dressed in overalls
who had not challenged their dismissal.
This constituted a meeting as
there was a gathering of more than three people in accordance with
paragraph 8.10 of the third respondent’s
Disciplinary Rules.
[18]
The appellants denied the allegation contained in charge 1 against
them. They contended that they could not have engaged
in riotous
behaviour because according to them, the meeting with their union
organizer was arranged with management. The third
respondent denied
any knowledge of the meeting with the union on its premises on 12
March 2018.
[19]
The appellants were unable to provide any evidence to support any
agreed meeting with the union.
The
appellants argued that in the award the Commissioner found that the
meeting with Mr Futshane was planned, and that the court
a
quo
erred in substituting this
finding with its own conclusion that no meeting was scheduled with
management. This argument in
my view misconstrues the Commissioner's
finding. The Commissioner used the word ‘planned’ in the
context of the appellants' belief,
but he unequivocally found
that the meeting was unauthorised and that the appellants'
gathering in the canteen constituted
an unauthorised meeting as per
the disciplinary Rules.
[20]
The court
a quo
thoroughly analysed the evidence
presented during arbitration and found, correctly in my view, that
the probabilities heavily
favoured the third respondent's version
that no meeting was scheduled or authorised by management. This is so
because the union
had already been informed days earlier that
retrenchments were off the table. The union organiser, Mr Futshane,
was notably absent
from both the disciplinary hearing and the
arbitration to corroborate the appellants' version. The shop stewards
who were on site
on the day, were unaware of any meeting. The
appellants' own reasons for the meeting, when considered against the
whole evidence
does not make sense.
[21]
The finding by the Labour Court that the meeting was unauthorised is
unassailable.
Mr
Ntladi who was employed by the third respondent as its production
manager with the appellants reporting to him, confirmed that
no
permission was given for a union meeting on the 12 March 2018. He
explained that the normal process to arrange a meeting
with the third
respondent was that the union organizer would request a meeting and
that the time would be agreed upon with the
third respondent. He
insisted that no meeting was requested and the appellants failed to
provide any evidence of this request.
[22]
An unauthorised gathering of more than three employees on company
premises during working hours, for the purpose of defying
management
instructions as the appellants did, comfortably falls within the
definition of "
riotous behaviour
" as defined by the
third respondent's disciplinary Rules. The word ‘riotous’
is not used in the disciplinary code
in the sense of a violent
disturbance of the peace; it is accorded a specific definition, one
to which the Commissioner had proper
regard and which he applied. The
purpose of such a rule is to maintain order and discipline in the
workplace.
[23]
The appellants' defence that they were unaware that the meeting was
unauthorised is not a complete defence. As employees,
and
particularly as union members, they reasonably ought to have known
the proper channels for arranging union meetings. Their
professed
ignorance does not absolve them of the objective fact that the
meeting was unauthorised.
[24]
In my view, the court
a quo
did not misconceive the
nature of the inquiry or the evidence in relation to Charge 1. Its
confirmation of the guilty finding
was rational and reasonable.
Charge
2 – Failure to obey a lawful instruction and insubordination
[25]
The appellants' primary contention here is that charge 2 was narrowly
framed as a failure to return to duty
at Fehrer Rosslyn.
They
argued that the court
a quo
and
the Commissioner impermissibly widened the charge to include failure
to vacate the canteen or leave the premises, which
were separate and
distinct acts not alleged in the charge sheet.
[26]
I find this argument to be unduly technical and without merit.
It
was not disputed that the Grammar Line where the appellants were
employed had shut permanently on 19 February 2018. Those employed
in
the Grammar Line had been redeployed to other areas of the third
respondent. Mr Van Rensburg's evidence was that the shop steward
Costa (Collen) had informed him that the appellants did not want to
continue working. The appellants were issued with two written
ultimatums to return to work which they ignored. The ultimatums were
issued after discussions with Costa. The
evidence is clear that the instruction to return to work was the
functional equivalent of an instruction to leave the canteen and
report to their designated workstations. The canteen was not their
place of work. The second ultimatum made this even more explicit
by
stating that failure to return to work would result in them being
required to leave the premises.
Of
the 13 employees employed on the Grammar Line only seven, including
the appellants did not attend their allocated workstations
on 12
March 2018 and gathered in the canteen. Under cross examination Mr
van Rensburg indicated that he had been chased away from
the meeting
on three different occasions.
[27]
The appellants alleged that they were unable to comply with the
ultimatums as they had not been allocated a place to
work. This was
denied by the third respondent and is inconsistent with other
employees being allocated different duties on the
day. At the
disciplinary inquiry, the third respondent explained that the
appellants had been allocated to the ITU shift where
they were
undergoing on the job training. At the disciplinary inquiry the
appellants did not argue that they could not return to
work as they
were not rostered for work. This was raised for the first time at
arbitration.
[28]
Even on 12 March 2018 none of the appellants informed anyone
including their own shop stewards and management that they
were not
rostered for work.
This is
confirmed by Mr Ntladi that the appellants informed him that they
were waiting Mr Futshane and that they were not going
to return to
their workstations until that happened. They did not mention to him
that they were not rostered for work.
[29]
The charge against the appellants included a failure to comply with
an instruction and insubordination. The appellants
were instructed to
return to their workstations or leave the premises but refused to do
so, instead they chased away members of
management who tried to
engage with them. This conduct confirms the refusal to obey a lawful
instruction by chasing away management
and constitutes
insubordination.
The appellants
defied both the spirit and the letter of the instruction by remaining
in the canteen.
[22]
Regarding the appellants’ argument that the Labour Court and
the Commissioner impermissibly widened the charge
to include failure
to vacate the canteen or leave the premises, which were separate and
distinct acts not alleged in the charge
sheet, the legal principles
in
EOH
Abantu
[5]
are
directly applicable and dispositive. This Court held:
‘
[15]
… courts and arbitrators must not adopt too formalistic or
technical an approach. It normally
will be sufficient if the employee
has adequate notice and information to ascertain what act of
misconduct he is alleged to have
committed. The categorisation by the
employer of the alleged misconduct is of less importance.
…
[17]
… there is no requirement that competent verdicts on
disciplinary charges should be mentioned
in the charge sheet...
Prejudice is absent if the record shows that had the employee been
alerted to the possibility of a competent
verdict on a disciplinary
charge he would not have conducted his defence any differently or
would not have had any other defence.’
[31]
The appellants' defence was that they were not rostered to work at
the time and therefore had no obligation to obey the
instruction. The
court
a quo
found this defence disingenuous and, in
any event, held that the duty to obey a lawful instruction is not
confined to an employee's
specific shift times but extends to conduct
on the employer's premises.
[32]
The workplace standard contravened by the appellants was the duty to
obey lawful and reasonable instructions. The appellants
knew that
congregating in the canteen during work hours, refusing to report for
training, and defying management's direct instructions
constituted
serious misconduct. They suffered no prejudice, as the essence of the
charge was fully ventilated during the proceedings.
[33]
I agree with the Labour Court. The third respondent's
disciplinary Rules require employees to "
obey
all lawful instructions issued in the course of business by
their work superiors
". The
events of 12 March 2018,
managing the integration of
redeployed staff i.e the appellants,
fell
squarely within the "
course of
business
." The instruction to
either report for work or leave the premises was both lawful and
reasonable.
[33]
The appellants' reliance on the dictum in
Exxaro
Coal Mpumalanga Ltd v CCMA and Others
[6]
is
apposite, but it supports the respondent's case in that the court
held:
"If
it is found that the instruction was lawful, the expectation is that
the employee to whom such instruction was issued should
have
complied. It will have little, if any, to do with whether the
instruction related to the employee’s job description..."
[34]
The appellants' argument that the court
a quo
reversed
the onus of proof is also misplaced. While the ultimate onus to prove
the fairness of the dismissal rests with the
employer under section
192 of the LRA, once the employer establishes a
prima
facie
case of misconduct, an evidential burden shifts to the
employee to provide a credible alternative version. The third
respondent
led evidence of the instructions given to the appellants
and the appellants' unequivocal refusal to comply. The appellants'
defence
that they were not on shift was, as the court
a
quo
correctly found, an assertion which they failed to
prove. This was raised for the first time at arbitration. It was also
internally
inconsistent, and it was not put to management witnesses
during cross-examination. In these circumstances, the court
a
quo
was correct to find that the defence lacked credibility.
[35]
The appellants' conduct went beyond mere refusal, it was defiant and
insubordinate. They chased away managers who attempted
to reason with
them. As held in
Independent
Risk Distributors SA (Pty) Ltd v CCMA and Others
[7]
,
for insubordination to justify dismissal, it must be gross (serious,
persistent and deliberate). The appellants' conduct, which
persisted
for over five hours despite multiple warnings, meets this
description.
[36]
Consequently, the court
a quo
committed no error in
upholding the Commissioner's finding of guilt on Charge 2.
Appropriateness
of the Sanction of Dismissal
[37]
The Code of Good Practice: Dismissal (Schedule 8 to the LRA)
recognises gross insubordination as a permissible ground
for
dismissal. The question is whether dismissal was an appropriate
sanction in the circumstances of this case.
[38]
The misconduct committed by the appellants was severe. The appellants
engaged in a concerted act of defiance. They not
only refused a
lawful instruction but did so persistently over many hours, ignoring
written ultimatums, and acted in a manner that
directly challenged
the third respondent's authority. This was not a momentary lapse in
judgment, it was a sustained and collective
challenge to the
operational requirements of the business, occurring at a sensitive
time when the third respondent was attempting
to redeploy staff and
avoid retrenchments.
[39]
The trust relationship was severely damaged. The third respondent
could not be expected to tolerate the employees who,
as a group,
openly and persistently flouted its authority. The sanction of
dismissal was within the band of reasonableness. The
Commissioner's
decision not to interfere with it, and the Labour Court's
confirmation of that decision, cannot be faulted.
Conclusion
[40]
For the reasons set out above, I find that the Labour Court was
correct in its conclusion that the Commissioner's award
was not one
that a reasonable decision-maker could not reach. The Commissioner
properly applied his mind to the evidence and the
law, and his
findings on both guilt and sanction fall comfortably within the
bounds of reasonableness. I find no reason to interfere
with the
order of the Labour Court, and consequently, the appeal must fail.
Costs
[41]
As to costs, considerations of fairness and the law are best served
with a no
order as to cost
s
in the appeal.
[42]
The following order is made:
Order
1.
The appeal is dismissed.
2.
There is no order as to costs.
MB
Mahalelo
Acting
Deputy Judge President of the Labour Appeal Court
Van
Niekerk JA and Chetty AJA concur
APPEARANCES:
For
the Appellants: Mr T
Ngobeni of TM Ngobeni Attorneys
For
the Respondent: Mr M Maeso of Shepstone &
Wylie Attorneys
[1]
Act 66 of 1995, as amended.
[2]
(2007) 28
ILJ
2405 (CC).
[3]
(2014) 35
ILJ
943 (LAC).
[4]
(2015) 36
ILJ
2802 (LAC).
[5]
EOH
Abantu(Pty) Ltd v Commission For Conciliation, Mediation and
Arbitration and Another
[2008] ZALC 40
;
2008
7 BLLR 651
(LC), (2008) 29
ILJ
2588
(LC).)
[6]
Unreported case JR269/11.
[7]
(JR 1906/19) [2022] ZALCJHB 282 (11 October 2022) at para 31.
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