Insights

Section 133 of the Companies Act of 2008 places a general moratorium or suspension on all legal proceedings against a company currently under business rescue. The Courts have confirmed that the moratorium is applicable to employment related disputes that are referred to the CCMA and the Labour Court. However, it is important to note that this Section in no way extinguishes the right that employees or their trade union may have to…

Previously an employer could discriminate against a candidate applying for a job. However, the Employment Equity Act permits applicants for employment to challenge their non-selection for the job they applied for based on the ground that they have been discriminated against. The recruitment and selection process are regulated under by the codes of good practice in the Employment Equity Act, more specifically the Code of Good Practice on the Integration of Employment…

When a business is sold as a going concern, the Labour Relations Act (“The LRA”) provides that a contract of employment transfers automatically from the old to the new employer. The dual purpose of section 197 of the LRA is to facilitate commercial transactions and protect the security of employment of employees in the process. However, it is important to note that the new employer has an exercisable discretion to accept or…