NUMSA commemorates the 100 year anniversary of the Russian Revolution

Legal: Company forced to pay R2m to workers

31 January 2003, Posted in News

Jubilant Henred Fruehauf workers – W Matlala

A battle that began with a merger has ended in victory and an award of more than R2 million to 53 workers. When the original merger took place the new company indicated up-front that it intended retrenching but would not be able to pay in terms of a collective argument. We tried to argue this matter firstly at the Competition Commission and then when that failed, to negotiate with the company. No agreement could be reached. A dispute was declared and the parties agreed to go to private arbitration. The award was in Numsa’s favour and the company must now pay the retrenchment due to the Applicants. This victory shows that employers can not invoke collective agreements when it suits them but simply declare their intention to ignore the same agreement when it does not.