Labour

Are restraint of trade clauses still enforceable after mutual separation agreements?

Are restraint of trade clauses still enforceable after mutual separation agreements?

It is common practice for employers to include restraint of trade clauses in employment contracts to prevent employees who resign from competing with the business of their previous employer. A second common practice is settling labour disputes, such as misconduct disputes, through mutual separation agreements. These agreements terminate the employment relationship between the parties voluntarily and usually contain a clause confirming that the agreement is a full and final settlement of all...

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Polygraph Testing in the Workplace: What Employers Need to Know

Polygraph Testing in the Workplace: What Employers Need to Know

As an employer, maintaining a harmonious and productive workplace is essential for the success of your business. Unfortunately, there may be times when misconduct occurs, and you find yourself in the dark about who is responsible. This is where polygraph testing can become a potentially valuable tool for employers. Polygraphs can be used during the investigation phase to assist the employer in identifying the misbehaving employee. They may also be used during the subsequent disciplinary...

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Are restraint of trade clauses still enforceable after mutual separation agreements?

Employees Facing Criminal Charges Can Still Be Disciplined by Their Employers

Several workplace misconducts are also criminal acts. Two of the most apparent ones are theft and assault. When an employee is accused of one of these misconducts, it is common for employers to also lay criminal charges against the employee. This can create a dilemma for the employee, who may be concerned about incriminating themselves in the criminal case by giving evidence during the disciplinary hearing. The result is that employees often insist that workplace discipline be postponed until...

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Shrinkage due to employee theft

Shrinkage due to employee theft

Business owners often struggle with shrinkage, also known as stock loss.  Although shrinkage itself is easy to prove, it is usually difficult to conclusively prove the cause of the shrinkage. Due to this difficulty in proving the guilt of individual employees, employers sometimes charge a group of employees with team misconduct.  With team misconduct, the employer alleges that the blame for the misconduct is shared amongst a group of employees. The legal justification for this...

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Resignation without notice: What are the employer’s remedies?

Resignation without notice: What are the employer’s remedies?

Introduction There is an increasing trend of employees that resign with immediate effect ignoring their legal obligation to give the employer notice. When an employee resigns, the employer has no choice but to find and train a replacement employee. The purpose of the prescribed notice period is to give the employer the time he needs to arrange a smooth handover process. An employee's resignation without notice may frustrate this process and make the employer feel helpless. The question is,...

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A Proper Pre-Hearing Investigation Is Essential Before Disciplinary Action

A Proper Pre-Hearing Investigation Is Essential Before Disciplinary Action

Introduction When an employer dismisses an employee, they must prove the dismissal was fair. This means that the employer must have followed a fair procedure, and the employee was guilty of misconduct. Conducting a proper pre-hearing investigation is one of the most important steps in ensuring a fair disciplinary procedure. The investigation should be done to establish if there is an actual case against the employee. A pre-hearing investigation is, therefore, simply the process whereby...

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Why disciplinary codes are essential for every business.

Why disciplinary codes are essential for every business.

In South Africa, employers are legally required to have a disciplinary code. This code sets out the standards of conduct expected of employees and the consequences for breaches of those standards. A well-drafted disciplinary code can help employers to: Create a fair and consistent workplace. By having clear rules and procedures, employers can ensure that all employees are treated fairly, regardless of their position or seniority. This can help to create a more harmonious and productive...

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President assents to the Employment Equity Amendment Bill.

President assents to the Employment Equity Amendment Bill.

President Cyril Ramaphosa signed into law the Employment Equity Amendment Bill of 2020 on the 12th of April, 2023. The Amendment Bill seeks to advance the transformation of South Africa’s workforce by setting equity targets for economic sectors and geographical regions and requiring enterprises to develop transformation plans. The Bill amends the Employment Equity Act of 1998 (Act No 55 of 1998) with new measures to promote diversity and equality in the workplace. No regulations have yet been...

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Times Are Tough! Can I Reduce My Staff’s Working Hours To Save On Salaries?

Times Are Tough! Can I Reduce My Staff’s Working Hours To Save On Salaries?

Many companies and employers have been subjected to difficult economic conditions over the past few months. They are still reeling after the effects of the COVID pandemic and its devastating effect on our economy. Desperate times call for desperate measures, but can an employer reduce the working hours of his employees to decrease his payroll expenses? Should an employer consider reducing hours of work or shift changes, or pay cuts, he should understand that these steps will change working...

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DYK – An Employee’s Retirement Age May Not Be Unilaterally Changed By The Employer?

DYK – An Employee’s Retirement Age May Not Be Unilaterally Changed By The Employer?

According to Section 187 (f) of the Labour Relations Act (LRA), an employer cannot unfairly discriminate against an employee based on their age. When a retirement age has been agreed upon between the employer and employee in a contract of employment or through a pension/provident fund, it is a condition of employment between the parties. The employer cannot unilaterally change this condition. There has to be a signed written agreement between the parties for a change in employment conditions....

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