Case Law[2025] ZALAC 23South Africa
Glencore Operations South Africa (Pty) Ltd v Taala and Others (JA 52/24) [2025] ZALAC 23; [2025] 6 BLLR 559 (LAC) (27 March 2025)
Labour Appeal Court of South Africa
27 March 2025
Headnotes
the arbitrator’s award. With the leave of that Court, the appellant appeals against the Labour Court’s order.
Judgment
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## Glencore Operations South Africa (Pty) Ltd v Taala and Others (JA 52/24) [2025] ZALAC 23; [2025] 6 BLLR 559 (LAC) (27 March 2025)
Glencore Operations South Africa (Pty) Ltd v Taala and Others (JA 52/24) [2025] ZALAC 23; [2025] 6 BLLR 559 (LAC) (27 March 2025)
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sino date 27 March 2025
FLYNOTES:
LABOUR
– Dismissal –
Crane
accident
–
Crane
operator provided employee with incorrect load chart –
Causing R5,6 million in damages – Alleged that employee
was
negligent for failing to verify rigging details – Absence of
any written rule or procedure mandating such verification
–
Failure to lead evidence directly concerned with source of
obligation – Evidence did not unequivocally establish
employee’s negligence – Inconsistent discipline –
Award reasonable – No misdirection – Appeal
dismissed.
THE LABOUR APPEAL
COURT OF SOUTH AFRICA, JOHANNESBURG
Not Reportable
case
no:
JA 52/24
In
the matter between:
GLENCORE OPERATIONS
SOUTH AFRICA (PTY) LTD
Appellant
and
THOKOZANI
TAALA
First
Respondent
NATIONAL
UNION OF MINEWORKERS
Second Respondent
COMMISSION
FOR CONCILIATION
MEDIATION
& ARBITRATION
Third Respondent
COMMISSIONER
ALFRED MASHEGOANA
N.O
Fourth Respondent
Heard
:
18 March 2025
Delivered
:
27
March 2025
Coram:
Van Niekerk JA, Nkuta Nkotwana JA
et
Sutherland AJA
JUDGMENT
VAN NIEKERK, JA
Introduction
[1]
This appeal has its genesis in an incident
that occurred on one of the appellant’s mining operations at
15:21 on 23 November
2016, when a crane in the process of lifting a
Pit Viper drill mast toppled over, causing a loss of some R5.6
million. The accident
occurred because the drill mast was too heavy
for the crane’s selected parameters – the wrong
counterweight had been
selected and fitted to the crane in relation
to the load to be lifted.
[2]
An investigation into the incident revealed
that the crane operator had furnished the first respondent
(employee), a rigger, with
the incorrect load chart for the
counterweight fitted to the crane. The appellant alleged that the
employee was negligent because
he had failed to verify the rigging
details furnished to him by the crane operator against the actual
crane configuration. The
employee was found guilty of the charge and
dismissed.
[3]
The employee disputed the fairness of his
dismissal and ultimately referred the matter to an arbitration
hearing conducted by the
fourth respondent (arbitrator). The
arbitrator found that the employee’s dismissal was
substantively unfair because the appellant
had failed to prove that
the employee was required to verify the crane operator’s
selection on the crane’s load chart
and secondly, on account of
the appellant’s failure to take disciplinary action against
other employees whom the employee
alleged should also bear
culpability for the incident. The arbitrator ordered that the
employee be reinstated into his position
without loss of benefit.
[4]
The appellant sought to have the
arbitrator’s award reviewed and set aside. The Labour Court
(per Dave AJ) dismissed the application
and upheld the arbitrator’s
award. With the leave of that Court, the appellant appeals against
the Labour Court’s order.
The arbitration
proceedings
[5]
At the arbitration hearing, the employee
disputed the fairness of his dismissal on two grounds; first, that he
was under no duty
to verify the correctness of the load chart
selection provided by the crane operator (specifically, that there
was no written rule
which required him to do so) and secondly, that
the appellant had failed to act consistently in the exercise of
discipline because
the supervisor who signed the permit had not been
dismissed.
[6]
It was not in dispute that the direct cause
of the accident was that the crane had been fitted with a
counterweight of 16.7 tons,
an insufficient weight to balance the
crane when lifting 25.6 tons, the weight of the drill mast. The
resulting imbalance caused
the crane to topple forward when it
attempted to lift the drill mast. The first witness to testify on
behalf of the appellant,
Mr Neil van Zyl, read from a statement
prepared at the time of the accident. He testified that the crane was
operated by Mr Sam
Serage. The electronic control system (the LICCON
system) used in the crane displayed a load chart in the cabin,
indicating that
the operator had used code 0027, which represented a
counterweight of 46.5 tons. The actual counterweight fitted to the
crane was
16.7 tons, corresponding to code 0021. The crane operator
had furnished the employee with a load chart that indicated a
counterweight
of 46.7 tons, sufficient to safely conduct the lifting
operation. Van Zyl testified that it was not for the employee simply
to
accept the information given to him by the crane operator –
“
[H]e must confirm that it is the
correct detail that he puts on his rigging study
”.
[7]
Mr Dudley Lotter, an engineering manager
who led the team that investigated the accident, spoke to the report
and testified that
the direct cause of the accident was that the
drill mast was too heavy for the crane’s selected parameters.
The rigging study
calculation had been correctly performed by the
employee, but the incorrect load chart information had been supplied
to him by
the crane operator. The crane operator had given the
employee information that was used for the 46.7-ton counterweight
instead
of the actual 16.7 that had been fitted to the crane. In
other words, the crane operator had selected the wrong load chart for
the counterweight of 16.7 tons fitted to the crane.
[8]
The report prepared by the investigation
team made a number of findings. The first was that the direct cause
of the accident had
been that the rigging study calculation was
correctly done by the rigger (the employee), but the wrong load chart
information was
supplied to him by the crane operator, resulting in
the wrong counterweight being selected. Further, the crane operator
had selected
the wrong load chart for the counterweight fitted to the
crane. Under the heading ‘
Absent
or failed defences
’, the report
indicates the following:
‘
2.
The Lifting and Cranage COP, procedures and PTO as well as the
lifting and cranage permit do not require the actual
counterweight
and the actual load chart to be matched as a check.
3. The
crane’s safety system (LICCON) requires operator to select the
correct chart for the counterweight fitted,
thereby providing an
opportunity to override the safety system through a manual input.
4. The
rigging study calculation was correctly done by the rigger, but the
wrong load chart information was supplied
to him by the crane
operator resulting in the wrong counterweight being selected.
5. Not all
supervisors taking charge of lifting activities and the permit have
specific training on the rigging studies
and more technical aspects
of the lifting and crane each process.
Contributing Factors-
Individual or Team Actions (Human Factors)
6. The
rigging study calculation was correctly done by the rigger the wrong
load chart information was supplied to him
by the crane operator
resulting in the wrong counterweight being selected.
7. The crane
operator selected the incorrect load chart code for the counterweight
fitted to the crane (16.7T).
8. At the end
of the shift, the initial guide rope handlers went home resulting in
the risk assessment not being discussed
with the new guide rope
handlers by the rigger…
11.
The Lifting and Cranage COP, procedures and PTO as well as the
lifting and cranage permit do not require
an actual counter weight
and the load chart to be matched as a check….’
[9]
Item 11 was identified as a key
corrective/preventative action to avoid a repeat incident. One of the
other corrective actions identified
in the report was “
Consequence
management for failure to perform the rigging study correctly to
ensure crane operator selected the correct load chart
for counter
weight fitted (Rigger)”
.
[10]
Lotter described the duties of a rigger.
These include the preparation of a lifting plan, which defines where
the crane must be
positioned, the load to be lifted, the weight of
the load, and the swing radius. The rigger calculates the
counterweight needed
to lift the specified load. In the present case,
the employee calculated that the weight required was 25.8 tons, with
an allowance
of up to 35.5 tons. The crane was thus set up with a
safety factor of more than 25%. Lotter testified that at Tweefontein,
two
counterweights were in use: for smaller loads, a 16.9-ton
counterweight was used; for heavier loads, a 46.5-ton counterweight
was
used. In the present instance, the 16.9-ton counterweight was
utilised. That counterweight was selected in circumstances where the
chart selected the 46.5-ton counterweight.
[11]
Lotter’s testimony was that it was
the employee’s responsibility to ensure that the load chart and
the counterweight
matched. He testified that the employee was
culpable on account of the following:
‘
So
he never physically went and checked in the crane on the system what
it is which should have happened because that is part of
responsibility to ensure that he has got the right load chart and
that he has got the right counterweight fitted for that load
chart on
the crane.’
Put another way, for
Lotter, the source of the obligation to verify the information
furnished to him by the crane operator lay in
the employee’s
appointment as the competent person and his overall responsibility
for the lifting procedure:
‘
Well,
number 6 is really, it is contributing. It is the same point but it
says rigging study calculation was correctly done by the
rigger but
the wrong load chart information was supplied to him by the operator
resulting in the wrong counterweights being selected.
So based on
that point if he then actually checked in the cab and said, whoa, you
know, this is the chart you selected but that
is not the
counterweight at the back you selected, you know, he could have
actually then said, it is not correct.
[12]
After Lotter’s evidence, and after
the appellant’s third witness, De Bruyn, had been called, the
arbitrator made clear
that:
‘…
the
company’s case if I understand it correctly was that the
applicant was supposed to verify the information received from
the
operator. Now the question is becoming whether or not and lead
evidence whether or not that is in terms of his job description,
in
terms of his standard operating procedure. That is what is needed to
prove or disprove the other party’s case.’
[13]
By the time of that intervention, the
parties could have been under no illusion that the central issue in
dispute was the source
of any obligation on the part of the employee
to verify the information furnished by the crane operator and that it
was necessary
to lead evidence to establish that source. De Bruyn’s
evidence centered on the qualifications demanded of a rigger, a level
4 NQF qualification. De Bruyn’s evidence was largely concerned
with the relevant unit standards and their content, none of
which was
in dispute. Under cross-examination, De Bruyn could not comment on
the existence of any obligation by a rigger to confirm
a loading
chart furnished by a crane operator; his evidence was limited to more
general observations regarding the training of
a rigger and the
relevant standards.
[14]
The employee’s evidence was based on
a written statement recorded at the time of the incident. In essence,
the employee stated
that he was given the task of installing the
drill mast and went to the site with his assistant and the crane
operator. He completed
the rigging study, which was handed to his
supervisor, who issued the permit required to proceed with the lift.
The employee stated
that he conducted the rigging study together with
the crane operator. He was not permitted to come closer to the crane
to verify
whether the crane operator had selected the correct code
for the load chart, and he was not allowed to operate the crane. The
senior
supervisor who approved the permit should also have been
charged with misconduct. He confirmed that he had selected the
16.9-ton
counterweight in the rigging study based on what the crane
operator told him. Had the crane operator selected the correct code,
the accident would not have occurred. The employee denied that he had
any obligation to verify whether the crane operator had selected
the
correct code and stated that he was not authorised to enter the crane
operator’s cab. In the employee’s view, the
accident was
caused by the crane operator entering the wrong code into the system.
In doing so, he overrode the crane. In the employee’s
view, if
he and the crane operator were to be charged in relation to the
accident, the supervisor who had signed the permit for
the lift to
proceed ought also to be charged. Under cross-examination, the
appellant’s representative focused on the NQF
qualification
attained by the employee, the training that he had received and the
unit standards that were met. The unit standards
put to the employee
for his comment were those derived from NQF levels dated 2009, in
circumstances where the employee had completed
his trade test in
2004. The employee thus disputed the fairness of putting standards to
him that may not have been applicable at
the time of his training.
The arbitration award
[15]
After a summary of the evidence and the
applicable legal principles, the arbitrator came to the following
conclusions:
‘
35.
The ICAM report clearly stipulates that the Applicant’s
calculations were correct and this was
common cause to both parties.
The issue is not with the Applicant supposed to verify the load chart
selected and given to him by
the Crane operator, Whether or not there
was a rule to this effect?
36.
The respondent’s witnesses confirmed that there were no written
rules and argued that the Applicant
was the senior person responsible
to manage the team as per unit standard, these was disputed by the
Applicant. Bundle M, the unit
standards dated 2009 was highly
challenged and it was not confirmed whether it was for the same unit
standard at the time when
the applicant qualified as a rigger in
2004…
37.
… The respondent had the duty to proof that it was still the
same unit standard as of 2004 when
the Applicant qualified as a
rigger…
38.
The other issue was that the rigging study was compiled by the
applicant and discussed with the supervisor
who in turn issued a work
permit, the supervisor was not dismissed…
40.
The question is why the Applicant was dismissed, and not the
supervisor as well, approved and issued
the work the job to be done
without verifying if it was safe. The respondent did not proof that
the Applicant contravened the rule
that required him to verify the
selection of the load charts. It was not in dispute but the load
chart of the crane is fitted inside
the operator cab, and that the
Applicant is not authorized to operate the Crane, it was not proven
as to how the Applicant could
have been able to verify the selected
load chart without getting into the crane cab.
41.
I find that the dismissal of the applicant to be substantially unfair
and not effected for good reasons.
The applicant sought re
instatement and I find no reason not to accede to the Applicant’s
request…
42.
In the circumstance I find that the dismissal of the Applicant to be
substantively unfair and I do not
find any justifiable reasons why
the supervisor was treated differently and I accordingly, find that
there was an inconsistent
Application of the rule by the respondent
party (sic).’
[16]
In essence, the arbitrator upheld both of
the employee’s contentions and found that the dismissal was
substantively unfair
on the basis that the appellant had failed to
establish the existence of any workplace rule that required the
employee to verify
the information furnished to him by the crane
operator and further, that the appellant’s failure to take
disciplinary action
against the employee’s supervisor amounted
to the inconsistent application of discipline.
The
Labour Court’s judgment
[17]
On review, the appellant submitted that the
arbitrator had failed to apply his mind to the totality of the
evidence and rendered
an award that failed to meet the reasonableness
threshold. In relation to the charge of negligence, the appellant
contended that
the employee was highly qualified and experienced and
that, on the evidence led by the appellant during the proceedings, it
had
been established, on the balance of probabilities, that the
employee had the personal responsibility to determine the
configurations
for the lifting task. Further, the employee was
required to perform this task with regard to safety considerations.
This required
the employee to ensure that the correct configuration
was selected in the rigging study and the load chart. Further, the
crane
operator had acted on the employee’s instruction and
direction to ensure that the correct weight was selected. The
appellant
submitted further that the arbitrator’s rejection of
its evidence concerning the employee’s qualifications,
competency
and duties based on the applicable unit standards was
unreasonable. Contrary to the arbitrator’s finding, the unit
standards
established that the employee was trained to ensure that
the lifting task was correctly done and that he had a duty to verify
that
the crane operator provided him with the correct chart.
[18]
Finally, the appellant submitted that the
arbitrator failed properly to apply his mind to the evidence and
legal principles concerning
inconsistency and that in circumstances
where the engineering superintendent was not qualified to perform the
duties of rigger
and had relied on the employee’s calculations,
the principle of inconsistency, as an element of fairness, had no
application.
[19]
The Court noted that it was common cause
that the rigging study calculation was correctly done by the employee
but that he had based
his calculations on incorrect information
supplied to him by the crane operator, resulting in the wrong
counterweight being selected.
The Court (correctly) regarded the
essence of the dispute to be whether the appellant had established
that the employee had any
responsibility for verifying the crane
operator’s selection on the crane’s load chart.
[20]
Mindful of the applicable threshold of
reasonableness, the Court held that the arbitrator’s finding,
that the appellant had
failed to establish that the employee had such
a duty, was a finding to which a reasonable decision-maker could come
on the available
evidence. The Court came to this conclusion on the
basis that there was no written rule that required the employee to
verify the
correctness of the load chart. In relation to
inconsistency, the Labour Court found that the arbitrator’s
findings in this
regard were reasonable and thus not subject to
review.
The
grounds for appeal
[21]
The appellant advances four contentions on
appeal. The first is that the Labour Court erred by not finding that
the arbitrator committed
a reviewable irregularity and thus rendered
an unreasonable award by finding that the appellant had failed to
prove that the employee
had a duty to verify the load chart selection
given to him by the crane operator. Secondly, the Labour Court erred
by not finding
that the arbitrator committed a reviewable
irregularity and rendered an unreasonable award by failing to
determine whether the
employee exercised a reasonable standard of
care expected of a rigger with his qualifications and experience.
Thirdly, the Labour
Court erred in not finding that the arbitrator
committed a reviewable irregularity by finding that the evidence
reasonably established
that the appellant had failed to apply
discipline consistently, with the result that the employee’s
dismissal was substantially
unfair. Finally, the appellant contends
that the Labour Court erred in not finding that the arbitrator had
committed a reviewable
irregularity by ordering the employee’s
reinstatement.
Evaluation
[22]
In essence, the grounds for review on which
the appellant relied related to the arbitrator’s assessment of
the evidence. Had
he assessed the evidence correctly, so the
appellant contends, the award that the arbitrator issued would have
been different.
The consequence of the arbitrator’s
misdirection is an unreasonable award. The appellant pursues the same
submissions on
appeal, urging us to find that the Labour Court erred
by concluding that the arbitrator’s findings fell within a band
of
reasonableness.
[23]
A
ground for review based on an arbitrator’s assessment of the
evidence more often than not raises the red flag of an appeal
rather
than the more limited, permissible recourse of review.
Sidumo
and another v Rustenburg Platinum Mines Ltd and another
[1]
established that the right to review established by section 145 of
the Labour Relations Act
[2]
(LRA) is to be viewed through the lens of the constitutional right to
lawful, reasonable and procedurally fair administrative action.
[3]
It is well-established that the Labour Court may intervene if the
applicant seeking to have an award reviewed and set aside,
demonstrates
some reviewable irregularity on the part of the
arbitrator that has the consequence of an unreasonable result, in the
sense that
the outcome of the proceedings under review represents a
decision that no reasonable decision-maker could reach on the
available
evidence. In other words, even if the record discloses a
reviewable irregularity in relation to the commissioner’s
conduct
or reasoning, provided the result or outcome falls within a
band of decisions which a reasonable decision-maker could reach on
the available evidence, the award cannot be assailed.
[24]
The
limitations inherent in a right of review were recently affirmed by
this Court in
Makuleni
v Standard Bank of South Africa Ltd and Others
[4]
,
where
Sutherland JA said the following:
[5]
‘…
The court
asked to review a decision of commissioner must not yield to the
seductive power of a lucid argument that the result could
be
different. The luxury of indulging in that temptation is reserved for
the court of appeal. At the heart of the exercise is a
fair reading
of the award, in the context of the body of evidence adduced and an
even-handed assessment of whether such conclusions
are untenable.
Only if the conclusion is untenable is a review and setting aside
warranted.’
And further:
‘
To meet the review
test, the result of the award has to be so egregious that, as the
test requires, no reasonable person could reach
such a result.’
[6]
[25]
The hurdles that the appellant was required
to overcome on review were to establish some misdirection on the part
of the arbitrator
in his assessment of the evidence and, secondly,
that the factual conclusions that he drew were untenable, rendering
the award
one to which no reasonable decision-maker could come.
Implied in the Labour Court’s finding is that the arbitrator
had regard
to relevant evidence, did not take irrelevant evidence
into account, and arrived at a conclusion that fell within the bounds
of
reasonableness.
[26]
As
the Labour Court correctly pointed out, the nub of the dispute is not
whether the employee’s calculations were correct
but whether he
was required, given his function as a rigger, to verify the
information received from the crane operator. In the
parlance adopted
by the Code of Good Practice: Dismissal
[7]
,
was there a ‘rule’ imposing such an obligation on the
employee? It was common cause that there was no written instruction
or operating procedure to the effect that the employee was required
to verify the information furnished to him by the crane operator.
In
the review proceedings, the appellant had sought to locate the source
of the obligation for which it contended in the employee’s
skill, qualifications and experience, and the employee’s
training in particular unit standards that the appellant submitted
was applicable.
[27]
As I have indicated, the Labour Court found
that the arbitrator had considered the relevant evidence and not
unreasonably rejected
the appellant’s contentions. When pressed
in the hearing before us on the source of any obligation by the
employee to verify
the crane operator’s load chart, the
appellant’s representative confirmed that there was no written
instruction in
terms of which the employee was obliged to verify the
correctness of the load chart. He referred us to the lifting and
cranage
procedure dated March 2016, and especially paragraph 5, which
provides that the authorised rigger performing the lifting task must
draw and inspect all the required lifting equipment from the rigging
store. We were also referred to the Code of Practice dated
April
2017. None of these sources disclose a direct or even indirect
obligation by a rigger to verify a load chart presented by
a crane
operator.
[28]
The appellant’s representative
further appealed to a general duty not to act in a negligent manner
and submitted that, ultimately,
the true gravamen of the appellant’s
complaint is that the employee failed to perform his duties at the
level that his skill
set required. This was not the case made out by
the appellant at the arbitration hearing. The arbitrator made clear
that to sustain
a finding of negligence in the form of a failure to
verify the information submitted to him by the crane operator, it was
necessary
for the appellant to lead evidence that was directly
concerned with the source of the obligation for which the appellant
contended.
The appellant’s representative failed to heed that
caution. There may well have been a case to be made against the
appellant,
but the fact of the matter remains that it was never
clearly articulated. The arbitrator considered the evidence before
him and
reached a decision. Whether that decision is correct on the
available evidence is not the test that the Labour Court is required
to apply. The Labour Court’s decision that the arbitrator came
to a conclusion that fell within the band of decisions to
which a
reasonable decision-maker could come cannot be faulted. It certainly
cannot be said that the arbitrator’s finding
was untenable. The
Labour Court was correct to dismiss the review application, and the
appeal must fail.
Costs
[29]
The rule applicable in this Court is that
costs do not necessarily follow the result and are awarded only in
exceptional circumstances.
In the present instance, there are no
exceptional circumstances. The existing collective bargaining
relationship between the parties
is a factor that mitigates against a
costs order. For the purposes of section 179 (1) of the LRA, the
requirements of the law and
fairness are best met by each party
bearing its own costs.
[30]
I make the following order:
Order
1.
The appeal is dismissed.
André van Niekerk
Judge of the Labour
Appeal Court
Nkuta-Nkotwana
JA and Sutherland AJA concur.
APPEARANCES:
For
The Appellant: Mr G Allsop, Pinsent Masons South Africa
Inc
For
The First and Second Respondents: Adv K Phuroe
Instructed
by: Seleka Attorneys Inc.
[1]
[2007] ZACC 22;
2008
(2) SA 24 (CC).
[2]
Act
66 of 1995, as amended.
[3]
See
s 33(1) of the Constitution of the Republic of South Africa, 1996.
[4]
[2023] ZALAC 4
; (2023) 44
ILJ
1005 (LAC)
.
[5]
Ibid
at para 4.
[6]
Ibid
at para 13.
[7]
Schedule
8 of the LRA.
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