ALERT EMPLOYMENT LAW - Cliffe Dekker Hofmeyr

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ALERT EMPLOYMENT LAW - Cliffe Dekker Hofmeyr
8 MARCH 2021

   EMPLOYMENT
   LAW
   ALERT

                    Passing the buck: Reminder of employer
IN THIS             obligations in cases of sexual harassment
ISSUE               Sexual harassment has been described by our courts as “the most
                    heinous misconduct that plagues a workplace - not only is it
                    demeaning to the victim, it undermines the dignity, integrity and
                    self-worth of the employee harassed”.

                    The knock-on effect of national minimum wage
                    increase on the farming industry
                    On 8 February 2021, the Minister of Employment and Labour gazetted
                    an increase in the national minimum wage (NMW) from R20,76 to
                    R21,69 effective from 1 March 2021.

                    Can employers discipline employees for conduct
                    outside of the workplace that involves recklessly
                    exposing themselves to COVID-19?
                    There is no doubt that the COVID-19 pandemic has had a profound
                    impact on the workplace, and it brings with it new challenges,
                    particularly when it comes to the unique relationship which exists
                    between an employer and an employee.

                                                                               CLICK HERE
                                                                            For more insight into
                                                                               our expertise and
                                                                                         services
ALERT EMPLOYMENT LAW - Cliffe Dekker Hofmeyr
EMPLOYMENT LAW

                                        Passing the buck: Reminder of
                                        employer obligations in cases of
                                        sexual harassment
                                        Sexual harassment has been described          The employee was also informed that
   The employee in                      by our courts as “the most heinous            the employer could not investigate her
                                        misconduct that plagues a workplace -         grievance because the shop stewards’
   question was a shop                  not only is it demeaning to the victim,       meeting was not approved.
   steward of her trade                 it undermines the dignity, integrity and
                                                                                      The employee referred a dispute to
   union. She attended                  self-worth of the employee harassed”.
                                                                                      the CCMA.
   a shop stewards’                     This is indeed true, and employers must
                                        be cognisant of their duty to take action     During the arbitration proceedings, the
   meeting during                       against culprits of sexual harassment.        Commissioner found that there was prima
   working hours at her                                                               facie evidence that the sexual harassment
                                        In a recent case of Public Servants
   employer’s premises.                 Association of South Africa obo
                                                                                      had occurred and that, sadly, the employer
                                                                                      failed to investigate the grievance. The
                                        AG/Department of Agriculture, Land
                                                                                      Commissioner referred to the employer’s
                                        Reform and Rural Development [2021]
                                                                                      sexual harassment policy which applied
                                        1 BALR 76 (CCMA), the employer was
                                                                                      to all employees. As such, the employer
                                        reminded of the consequences of failing to
                                                                                      (and not the trade union) was obliged to
                                        take action in cases of sexual harassment.
                                                                                      investigate the grievance on the basis that
                                        The employee in question was a shop           the perpetrator and victim were employees
                                        steward of her trade union. She attended      when the incident occurred and, further,
                                        a shop stewards’ meeting during working       the incident occurred on the employer’s
                                        hours at her employer’s premises. During      premises while they were both on duty.
                                        the meeting, the employee was exposed
                                                                                      The Commissioner confirmed that it
                                        and subjected to an obscene act of sexual
                                                                                      was irrelevant whether or not the shop
                                        harassment. After leaving the meeting,
                                                                                      stewards’ meeting was authorised.
                                        the employee lodged a formal grievance
                                        of sexual harassment in terms of the          The Commissioner found that the
                                        employer’s grievance policy, which applied    employer’s failure to investigate the
                                        to all employees of the employer.             grievance of sexual harassment rendered
                                                                                      the employer liable in terms of section 60
                                        When the employee followed up on the
                                                                                      of the Employment Equity Act 55 of 1998
                                        status of her grievance, she was informed
                                                                                      (EEA). This section provides that, amongst
                                        that the employer was unable to assist
                                                                                      others, an employer which fails to
                                        with her grievance because the incident
                                                                                      take the necessary steps to eliminate
                                        took place between the employee (a union
                                                                                      contraventions of the EEA, is deemed also
                                        member) and a fellow union member,
                                                                                      to have contravened that provision of the
                                        while they were fulfilling the interests of
                                                                                      EEA. In this regard, sexual harassment
                                        the union. The employee was therefore
                                                                                      constitutes unfair discrimination in
                                        advised to refer the grievance to her
                                                                                      terms of section 6(3) of the EEA and is
                                        trade union.
                                                                                      accordingly a contravention thereof.

2 | EMPLOYMENT LAW ALERT 8 March 2021
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EMPLOYMENT LAW

                                           Passing the buck: Reminder of
                                           employer obligations in cases of
                                           sexual harassment...continued
                                           The relevant case law confirming an              Employers are reminded of their duties
   The relevant case                       employer’s duty to prevent discriminatory        to take all necessary steps to address and
                                           practices in the workplace was also              eliminate breaches of the EEA, including
   law confirming an                       relied upon.                                     sexual harassment. Employers must also
   employer’s duty to                                                                       ensure compliance with their grievance
                                           The Commissioner concluded that the
   prevent discriminatory                  employee had suffered sexual harassment
                                                                                            and/or sexual harassment policies. Where
                                                                                            employers fall short in this regard, the EEA
   practices in the                        in terms of section 6(3) of the EEA. The
                                                                                            provides that they will be deemed also to
   workplace was also                      employer was, as a result, ordered to pay
                                                                                            have contravened the EEA and may face
                                           the employee 10 months compensation.
   relied upon.                                                                             liability as a result.
                                           In addition, the employer was ordered
                                           to take steps to prevent the same unfair
                                                                                            Sean Jamieson and Shandré Smith
                                           discrimination against the employee, or
                                           similar practice occurring again in respect
                                           of other employees within 14 days of the
                                           award being received.

                                        SEXUAL HARASSMENT                                The purpose of our ‘Sexual Harassment
                                                                                         in the Workplace – Including the
                                        IN THE WORKPLACE                                 Virtual World of Work’ Guideline, is
                                                                                         to empower your organisation with
                                        Including the virtual                            a greater understanding of what
                                        world of work                                    constitutes sexual harassment, how to
                                                                                         identify it and what to do it if occurs.

                                        A GUIDE TO MANAGING                               CLICK HERE TO ACCESS
                                                                                          THE GUIDELINE
                                        SEXUAL HARASSMENT

3 | EMPLOYMENT LAW ALERT 8 March 2021
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EMPLOYMENT LAW

                                        The knock-on effect of national
                                        minimum wage increase on the
                                        farming industry
                                        On 8 February 2021, the Minister of            expected, and generally improved
   Concerns have been                   Employment and Labour gazetted                 wages for workers. It is unclear whether
                                        an increase in the national minimum            these findings were industry specific or
   expressed that this                  wage (NMW) from R20,76 to R21,69               generalised across the working population.
   will adversely impact                effective from 1 March 2021. Previously,
                                                                                       In the event that an employer is unable
   on jobs in a bid by                  the prescribed NMW for farmworkers
                                                                                       to pay the said rate, they may apply for
   employers to drive                   was R18,69 per hour. This has been
                                                                                       an exemption from paying the prescribed
                                        increased to R21,69, an adjustment of
   down production costs.               about 16%. This increase has largely
                                                                                       rates, in terms of section 15(1) of the
                                                                                       National Minimum Wage Act. The
                                        been described by the agricultural
                                                                                       exemption application must be lodged on
                                        sector as drastic.
                                                                                       the National Minimum Wage Exemption
                                        “Wage” refers to the amount of money           System and may only be granted if
                                        paid or payable to a worker in respect         (i) the delegated authority is satisfied
                                        of ordinary hours of work or, if they are      that the employer cannot afford to
                                        shorter, the hours a worker ordinarily         pay the minimum wage; and (ii) every
                                        works in a day or a week. Concerns have        representative trade union representing
                                        been expressed by key industry players         one or more of the affected workers has
                                        that this will adversely impact on job         been meaningfully consulted or, if there is
                                        security as employers seek to drive down       no such trade union, the affected workers
                                        production costs. They are adamant that        have been meaningfully consulted.
                                        it will be impossible for the industry to
                                                                                       Exemption from paying the NMW may be
                                        absorb increased levels of remuneration.
                                                                                       granted for a period not exceeding one
                                        Some trade unions in the sector have
                                                                                       year. The exemption must specify the
                                        gone as far as saying that if farmers cannot
                                                                                       wages the employer will be required to
                                        produce food affordably and employ
                                                                                       pay the workers, and any other relevant
                                        agricultural workers on a large scale,
                                                                                       condition. An exemption would only be
                                        there will be a food crisis and large-scale
                                                                                       considered if the employer confirmed
                                        social upheaval as food insecurity and
                                                                                       compliance with applicable statutory
                                        unemployment start to take root.
                                                                                       payments and obligations, including
                                        On 24 February 2021, during a briefing         but not limited to the Unemployment
                                        before the Portfolio Committee on              Insurance Fund, the Compensation Fund
                                        Employment and Labour on the                   and any applicable Bargaining Council
                                        adjustment of the national minimum wage,       Main Collective Agreement.
                                        the National Minimum Wage Commission
                                                                                       Accordingly, to the extent that employers
                                        submitted that research findings and the
                                                                                       are of the view that they cannot afford the
                                        Annual Labour Force Survey revealed no
                                                                                       increased NMW rates, they have recourse
                                        negative impact on employment, including
                                                                                       of applying for an exemption.
                                        job losses, as a result of the introduction
                                        of the national minimum wage in 2019.
                                                                                       Phetheni Nkuna and
                                        Instead, the NMW had led to a statistically
                                                                                       Mthokozisi Zungu
                                        significant increase, albeit smaller than

4 | EMPLOYMENT LAW ALERT 8 March 2021
ALERT EMPLOYMENT LAW - Cliffe Dekker Hofmeyr
EMPLOYMENT LAW

                                        Can employers discipline employees
                                        for conduct outside of the workplace
                                        that involves recklessly exposing
                                        themselves to COVID-19?
                                        There is no doubt that the COVID-19            It is a long-established principle in labour
   It is a long-established             pandemic has had a profound impact on          law, that a transgression of the employer’s
                                        the workplace, and it brings with it new       health and safety policies and procedures,
   principle in labour law,             challenges, particularly when it comes         will lead to disciplinary action and may
   that a transgression of              to the unique relationship which exists        justify the termination of the transgressing
   the employer’s health                between an employer and an employee.           employee’s employment.
   and safety policies                  Due to the unique and unprecedented            The question of whether employers have
   and procedures, will                 times we have found ourselves, employers       the right to discipline employees for
                                        are required to adhere to the Occupational     reckless (or even unlawful) conduct such
   lead to disciplinary
                                        Health and Safety Act 85 of 1983 (OHSA)        as failing or refusing to wear a face mask
   action and may justify               read with its regulations. In terms of the     in a public setting or on public transport,
   the termination of                   OHSA, employers are required to provide        and consequently potentially exposing
   the transgressing                    and maintain as far as is reasonably           themselves to the highly infectious
                                        practicable a working environment that         coronavirus disease “outside of the
   employee’s                           is safe and without risks to the health of     workplace” arises.
   employment.                          workers and to take such steps as may
                                                                                       This question is pertinent to the high
                                        be reasonably practicable to eliminate or
                                                                                       likelihood of the employer suffering
                                        mitigate the hazard or potential hazard of
                                                                                       reputational damage, if the employee’s
                                        the Coronavirus.
                                                                                       conduct can be traced back to the
                                        The OHSA further requires employers, to        employer, or the respective employee
                                        ensure, as far as is reasonably practicable,   potentially contracting the virus and
                                        that all persons who may be directly           causing the spread thereof within
                                        affected by their activities (such as          the workplace.
                                        customers, clients or contractors and their
                                                                                       It is important, however, at this stage
                                        workers who enter their workplace or
                                                                                       to distinguish between an employee
                                        come into contact with their employees)
                                                                                       becoming sick in the ordinary course and
                                        are not exposed to hazards to their
                                                                                       an employee who intentionally flouts the
                                        health or safety. Non-compliance by
                                                                                       preventative measures put in place by
                                        employers in this regard could result in
                                                                                       the South African Government in order
                                        the employer facing hefty consequences
                                                                                       to curb the transmission of COVID-19.
                                        such as fines, legal action that could lead
                                                                                       There is no general duty on any employee
                                        to imprisonment, and shutdown orders,
                                                                                       to avoid getting sick in the ordinary
                                        depending on the nature and severity of
                                                                                       course. However, in terms of Government
                                        the transgression.
                                                                                       regulation, it is an offence to, for example,
                                                                                       not wear a face mask in public.

5 | EMPLOYMENT LAW ALERT 8 March 2021
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EMPLOYMENT LAW

                                              Can employers discipline employees
                                              for conduct outside of the workplace
                                              that involves recklessly exposing
                                              themselves to COVID-19?...continued
                                              Generally, disciplining employees for           justified disciplinary action even though
   Generally, disciplining                    misconduct outside of the workplace as          she had used her personal computer whilst
                                              a whole is usually not as straight forward      on leave and outside the ambit of her
   employees for                              as it may seem. The general rule in these       working hours or workplace. The test that
   misconduct outside                         circumstances is that actions performed         the court applied in this case was whether
   of the workplace as a                      outside of the workplace and working            this misconduct affected the employment
                                              hours are beyond the scope of the               relationship and not whether the conduct
   whole is usually not as
                                              employer’s disciplinary authority. This is      at issue was covered by the employment
   straight forward as it                     based on the premise that the private lives     contract. It is clear that in order to take
   may seem.                                  of employees are usually of no concern to       disciplinary action against an employee for
                                              their employers and resultantly employers       misconduct outside of the workplace it is
                                              have no right to dictate the conduct            sufficient if the employer can establish that
                                              of employees outside of their working           it has a legitimate interest in such conduct
                                              hours. However, disciplinary action for an      and that the conduct in question affects
                                              employee’s extramural conduct may be            the employment relationship. Moreover in
                                              justified in certain circumstances, namely      the 2005 case of Tibett & Britten (SA) (Pty)
                                              when a connection can be established            Ltd v Marks & others (2005) 26 ILJ 940 (LC),
                                              between the extramural misconduct of the        the court found that there is a standard of
                                              employee and the negative impact that this      ethical behaviour that the employer does
                                              conduct has on the employer’s business or       not need to remind the employee about
                                              the employment relationship.                    and even if the misconduct is not included
                                                                                              in the disciplinary code, the employee
                                              There are a number of cases that support
                                                                                              could still be disciplined for misconduct.
                                              this stance. In the most recent case of
                                              Edcon v Cantamessa (2020) 41 ILJ 195            The above principles can similarly be
                                              (LC) the court held that the posting of a       applied within the context of COVID-19 in
                                              racist comment on Facebook by a senior          the workplace.
                                              employee whose Facebook page identified
                                              her as an employee of the employer,

     EMPLOYMENT REVIVAL GUIDE
     Alert Level 1 Regulations
     On 28 February 2021, the President announced that the country would move to Alert Level 1 (AL1) with effect from
     28 February 2021. AL1 of the lockdown is aimed at the recommencement of almost all economic activities.
     CLICK HERE to read our updated AL1 Revival Guide.
     Compiled by CDH’s Employment law team.

6 | EMPLOYMENT LAW ALERT 8 March 2021
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EMPLOYMENT LAW

                                        Can employers discipline employees
                                        for conduct outside of the workplace
                                        that involves recklessly exposing
                                        themselves to COVID-19?...continued
                                        Besides employers’ obligations to provide a   Dealing with misconduct out of the
   All things considered,               safe working environment for employees,       workplace is difficult
                                        there is a dual responsibility on employees
   the challenge is                     to also comply with these standards.
                                                                                      All things considered, the challenge is
   describing the                       Therefore, by potentially exposing
                                                                                      describing the misconduct outside the
                                                                                      workplace and framing the charges
   misconduct outside the               oneself to COVID-19, in contravention of
                                                                                      because most disciplinary codes focus
                                        the established legislative preventative
   workplace and framing                                                              on misconduct perpetrated at work
                                        measures, will be in contravention of the
   the charges because                  ethical behaviour that the employer need
                                                                                      and hardly cover misconduct out of the
                                                                                      workplace. To overcome this challenge
   most disciplinary codes              not remind the employee about in terms of
                                                                                      the employer must prove that the rule
   focus on misconduct                  taking reasonable precautions to curb the
                                                                                      the employee broke is so obvious and
                                        spread of the coronavirus.
   perpetrated at work and                                                            well-known that there was no need to
   hardly cover misconduct              Moreover, the fact that the employee’s        communicate it. Alternatively, it is advisable
                                        conduct may result in a potential outbreak    that the employer provides for such in
   out of the workplace.                at the place of business would naturally      the disciplinary code that employees can
                                        concern an employer, who not only has a       be disciplined for external misconduct in
                                        statutory duty to ensure a safe and healthy   relation to employees acting unlawfully
                                        working environment, but will also be         and thus exposing themselves to
                                        concerned with productivity of employees,     COVID-19 because of the huge risk this
                                        unplanned payment of sick leave or even       poses to the business of the employer as
                                        death of vulnerable employees and the         well as health and safety of employees
                                        economic risk of having to shut down the      and the general public. The employer
                                        place of business.                            should inform employees that they are
                                                                                      free to do as they please when they leave
                                                                                      work, but that they should continue to
                                                                                      act in accordance with the law and not
                                                                                      act in a manner that will negatively affect
                                                                                      their job or the health and safety of fellow
                                                                                      employees outside of the workplace.

                                                                                      Michael Yeates, Kgodisho Phashe
                                                                                      and Shanna Eeson

7 | EMPLOYMENT LAW ALERT 8 March 2021
ALERT EMPLOYMENT LAW - Cliffe Dekker Hofmeyr
AN EMPLOYER’S GUIDE                                                                FOR A COPY OF THE CDH
                                                                                        EMPLOYMENT PRACTICE
                                                                                        GUIDE, CLICK HERE
     TO MANDATORY WORKPLACE VACCINATION POLICIES

                                   COVID-19 WORKPLACE HEALTH AND
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                                   Information. Education. Training.
                                   We have developed a bespoke eLearning product for use on your
                                   learning management system, that will help you strengthen your
                                   workplace health and safety measures and achieve your statutory
                                   obligations in the face of the COVID-19 pandemic.

                                   To purchase or for more information contact OHSonlinetool@cdhlegal.com.

                   CDH’S COVID-19
                   RESOURCE HUB
                   Click here for more information

              A CHANGING                                                          CASE LAW
                                                                                UPDATE 2020
              WORK ORDER
               CLICK HERE to access CDH’s 2020 Employment Law booklet, which will
               assist you in navigating employment relationships in the “new normal”.

8 | EMPLOYMENT LAW ALERT 8 March 2021
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EMPLOYMENT

                                                                      RETRENCHMENT GUIDELINE
                                                             CLICK HERE for the latest thought leadership and explanation
                                                             of the legal position in relation to retrenchments, temporary
                                                             layoffs, short time and retrenchments in the context of
                                                             business rescue.

    2021 RESULTS

  CHAMBERS GLOBAL 2014 - 2021 ranked our Employment practice in Band 2: Employment.
  Aadil Patel ranked by CHAMBERS GLOBAL 2015 - 2021 in Band 2: Employment.
  Fiona Leppan ranked by CHAMBERS GLOBAL 2018 - 2021 in Band 2: Employment.
  Gillian Lumb ranked by CHAMBERS GLOBAL 2020 - 2021 in Band 3: Employment.
  Imraan Mahomed ranked by CHAMBERS GLOBAL 2021 in Band 2: Employment.
  Hugo Pienaar ranked by CHAMBERS GLOBAL 2014 - 2021 in Band 2: Employment.
  Michael Yeates ranked by CHAMBERS GLOBAL 2020 - 2021 as an up and coming employment lawyer.

   Our Employment practice is ranked as a Top-Tier firm in THE LEGAL 500 EMEA 2020.
   Fiona Leppan is ranked as a Leading Individual in Employment in THE LEGAL 500 EMEA 2020.
   Aadil Patel is recommended in Employment in THE LEGAL 500 EMEA 2020.
   Gillian Lumb is recommended in Employment in THE LEGAL 500 EMEA 2020.
   Hugo Pienaar is recommended in Employment in THE LEGAL 500 EMEA 2020.
   Michael Yeates is recommended in Employment in THE LEGAL 500 EMEA 2020.
   Jose Jorge is recommended in Employment in THE LEGAL 500 EMEA 2020.
   Imraan Mahomed is recommended in Employment in THE LEGAL 500 EMEA 2020.

   POPI AND THE EMPLOYMENT LIFE CYCLE:
   THE CDH POPI GUIDE
   The Protection of Personal Information Act 4 of 2013 (POPI) came into force on 1 July
   2020, save for a few provisions related to the amendment of laws and the functions of
   the Human Rights Commission.

   POPI places several obligations on employers in the management of personal and
   special personal information collected from employees, in an endeavour to balance the
   right of employers to conduct business with the right of employees to privacy.

   CLICK HERE to read our updated guide.

9 | EMPLOYMENT LAW ALERT 8 March 2021
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OUR TEAM
For more information about our Employment Law practice and services, please contact:

               Aadil Patel                                      Thabang Rapuleng                                 Anli Bezuidenhout
               National Practice Head                           Director                                         Senior Associate
               Director                                         T +27 (0)11 562 1759                             T +27 (0)21 481 6351
               T +27 (0)11 562 1107                             E thabang.rapuleng@cdhlegal.com                  E anli.bezuidenhout@cdhlegal.com
               E aadil.patel@cdhlegal.com

               Jose Jorge                                       Hedda Schensema                                  Sean Jamieson
               Director                                         Director                                         Senior Associate
               T +27 (0)21 481 6319                             T +27 (0)11 562 1487                             T +27 (0)11 562 1296
               E jose.jorge@cdhlegal.com                        E hedda.schensema@cdhlegal.com                   E sean.jamieson@cdhlegal.com

               Fiona Leppan                                     Michael Yeates                                   Asma Cachalia
               Director                                         Director                                         Associate
               T +27 (0)11 562 1152                             T +27 (0)11 562 1184                             T +27 (0)11 562 1333
               E fiona.leppan@cdhlegal.com                      E michael.yeates@cdhlegal.com                    E asma.cachalia@cdhlegal.com

               Gillian Lumb                                     Mohsina Chenia                                   Jaden Cramer
               Director                                         Executive Consultant                             Associate
               T +27 (0)21 481 6315                             T +27 (0)11 562 1299                             T +27 (0)11 562 1260
               E gillian.lumb@cdhlegal.com                      E mohsina.chenia@cdhlegal.com                    E jaden.cramer@cdhlegal.com

               Imraan Mahomed                                   Faan Coetzee                                     Jordyne Löser
               Director                                         Executive Consultant                             Associate
               T +27 (0)11 562 1459                             T +27 (0)11 562 1600                             T +27 (0)11 562 1479
               E imraan.mahomed@cdhlegal.com                    E faan.coetzee@cdhlegal.com                      E jordyne.loser@cdhlegal.com

               Bongani Masuku                                   Jean Ewang                                       Tamsanqa Mila
               Director                                         Consultant                                       Associate
               T +27 (0)11 562 1498                             M +27 (0)73 909 1940                             T +27 (0)11 562 1108
               E bongani.masuku@cdhlegal.com                    E jean.ewang@cdhlegal.com                        E tamsanqa.mila@cdhlegal.com

               Phetheni Nkuna                                   Avinash Govindjee
               Director                                         Consultant
               T +27 (0)11 562 1478                             M +27 (0)83 326 5007
               E phetheni.nkuna@cdhlegal.com                    E avinash.govindjee@cdhlegal.com

               Hugo Pienaar                                     Riola Kok
               Director                                         Professional Support Lawyer
               T +27 (0)11 562 1350                             T +27 (0)11 562 1748
               E hugo.pienaar@cdhlegal.com                      E riola.kok@cdhlegal.com

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