This is an appeal against the judgment of the Labour Court dismissing an application by the appellant to file supplementary heads of argument and setting aside the decision of the appellant to terminate the respondent's contract of employment with itself.The facts of this case are largely common cause and are ...
This is an appeal against the judgment of the Labour Court dismissing an application by the appellant to file supplementary heads of argument and setting aside the decision of the appellant to terminate the respondent's contract of employment with itself.
The facts of this case are largely common cause and are these:
The respondent was employed by the appellant as a Medical Officer in 1995. He rose through the ranks to become the Health Services Manager.
In terms of his letter of appointment, the appellant's policies and procedures were incorporated into his employment contract.
On a date that is unclear on the papers, but between February and March 2009, the respondent was involved in a serious road accident whilst about the appellant's business.
The respondent suffered serious injuries to his spine as a result of which he was unable to attend to his official duties from 11 March 2009.
The respondent was allowed to go on sick leave on full pay for a period of ninety (90) days.
At the expiration of that period, the respondent was still unable to resume his duties and took more sick leave.
On 7 September 2009, the appellant's Services Director, a Mr Zvaipa, wrote to the respondent directing him to furnish a copy of his doctor's opinion, failure of which his remuneration and other benefits were to be suspended.
Following further correspondence exchanged between the two, the respondent made it clear, that, he remained in the employ of the appellant until such time as his contract was lawfully terminated.
On 18 September 2009, the appellant then wrote to the respondent advising that since he had exceeded the maximum sick leave permissible in a single year, his contract of employment was being terminated forthwith in terms of section 14(4) of the Labour Act [Chapter 28:01] (“the Act”).
Following this development, the respondent then filed an application for review with the Labour Court on 9 October 2009.
In the application, the respondent alleged, that, the termination was unlawful as the appellant had not followed the procedural steps required at law or in terms of his contract of employment in terminating his employment on medical grounds.
It appears, that, on the same date, the respondent filed what purported to be a notice of appeal against the decision to dismiss him.
It is apparent, however, that, in both cases, the respondent sought an order setting aside the decision to terminate his contract of employment.
The Labour Court treated the matter as an application for review.
After hearing submissions from both parties, the court then reserved its judgment on 15 March 2010.
On 15 November 2010, eight (8) months later, the appellant then filed an application for leave to file supplementary heads of argument. The supplementary heads of argument sought to raise the issue whether or not the Labour Court had jurisdiction to entertain an application for review in the first instance.
The application was opposed by way of a letter to the Registrar. No formal opposing papers were filed.
The Labour Court dealt with the request as part of its judgment.
The court was of the view, that, there should be finality in litigation and that to allow a party to file heads of argument after judgment had been reserved would defeat this principle.
The Court therefore dismissed the application to file supplementary heads of argument.
The court further reached the conclusion, that, an employer does not have the authority to summarily terminate an employee's contract of employment in terms of section 14(4) of the Labour Act [Chapter 28:01], and that, regard being had to the purpose of the Act, namely, the promotion of fair labour standards, the employer was under obligation to conform to the requirements of substantive and procedural fairness and that failure to give notice to an employee of an intention to terminate a contract of employment in terms of section 14(4) of the Act is fatally irregular.
The court further found, that, since the respondent's contract of employment embodied other terms applicable in the event of sickness, the appellant should have fully related to those terms and given the respondent the option either of early retirement or being medicallly boarded.
The court concluded, that, as this had not been done, there had been procedural irregularities, and, consequently, set aside the decision to terminate the contract of employment of the respondent.
It is against that order that the appellant has appealed to this Court.
Both parties to this appeal are agreed that the appeal raises three (3) issues for determination. These are:
(a) Whether or not the Labour Court had jurisdiction to entertain the respondent's application for review at first instance.
(b) Whether the Labour Court erred, as a matter of law, in declining to consider the issue of jurisdiction raised in the application to allow the filing of supplementary heads of argument.
(c) Whether the Labour Court was correct, in holding, as it did, that the right to termination in terms of section 14(4) of the Labour Act was subject to procedure and that any irregularity in those procedures entitled the Labour Court to set aside the termination of the contract of employment.
In particular, whether the appellant was obliged to give the respondent the right to be heard before his contract was terminated, and, secondly, whether the appellant was obliged, in terms of the contract of employment between the respondent and itself, to comply with medical boarding procedures or the availing of an option of early retirement before the contract of employment could be terminated.
THE QUESTION OF JURISDICTION
The appellant's submission on the question of jurisdiction is this:
The Labour Court does not have unlimited jurisdiction over all labour matters and such jurisdiction it may have has been specifically provided for by law. There is no general right of application to the Labour Court because section 89(1)(a) of the Labour Act restricts the matter to “applications…, in terms of this Act.”
In terms of the Labour Act, disputes are required to be dealt with by a labour officer.
This is the first instance when a hearing takes place once a dispute has been referred to such officer. It is only when the labour officer is unable to settle the dispute properly referred to him, or where he issues a certificate of no settlement and fails to refer the matter to compulsory arbitration or where the labour officer refuses to issue a certificate of no settlement, that a party can apply to the Labour Court in terms of section 93(7) of the Labour Act.
Only in this way can a dispute, such as the present, come before the Labour Court – this being one of the instances of an application contemplated in section 89(1)(a) of the Labour Act.
The intention was never to give the Labour Court the power of review at first instance, but, rather, to place it on the same footing as the Supreme Court. The legislature has been very specific as to the nature of applications to be handled by the Labour Court.
The appellant further argues, that, the power of review, in terms of section 89(1)(d) of the Labour Act, is confined to those instances where the High Court has the power of review in labour matters, and not to matters generally. If indeed the High Court has no review jurisdiction in labour matters, then, section 89(1)(d) confers no power of review on the Labour Court.
The appellant further takes the point that the legislature has established an elaborate chain of investigation and conciliation. The labour officer is the court of first instance and it is to him that the respondent should have directed his complaint.
For the above reasons, the appellant submits, that, the Labour Court did not have jurisdiction to entertain the application for review at first instance.
The respondent, on the other hand, argues, that, the Labour Court has the same powers of review in respect of labour matters as would be exercisable by the High Court in other matters.
For reasons that follow, I am not persuaded that the appellant is correct in its interpretation of section 89 of the Labour Act [Chapter 28:01].
Section 89 of the Labour Act provides, in relevant part, as follows:
“89 Functions, powers and jurisdiction of Labour Court
(1) The Labour Court shall exercise the following functions –
(a) Hearing and determining applications and appeals in terms of this Act or any other enactment; and
(b)…,.
(c)…,.
(d)…,.
(d1) Exercise the same powers of review as would be exercisable by the High Court in respect of labour matters.”
The powers of review exercisable by the High Court are to be found in sections 26 and 27 of the High Court Act [Chapter 7:06]. Those two sections provide:
“26 Power to review proceedings and decisions
Subject to this Act and any other law, the High Court shall have power, jurisdiction, and authority to review all proceedings and decisions of all inferior courts of justice, tribunals, and administrative authorities within Zimbabwe.”
27 Grounds for Review
(1) Subject to this Act, and any other law, the grounds on which any proceedings or decisions may be brought on review before the High Court shall be –
(a) Absence of jurisdiction on the part of the court, tribunal, or authority concerned;
(b) Interest in the cause, bias, malice or corruption on the part of the person presiding over the court or tribunal concerned or on the part of the authority concerned, as the case may be;
(c) Gross irregularity in the proceedings or the decision.
(2) Nothing in subsection (1) shall affect any other law relating to the review of proceedings or decisions of inferior courts, tribunals, or authorities.”
The above provisions are, in my view, clear and unambiguous.
In respect of labour matters, the Labour Court shall exercise the same powers of review as does the High Court in other matters.
The jurisdiction to exercise these powers of review is in addition, and not subject, to the power the court has to hear and determine applications in terms of the Labour Act.
In order for a review to be the subject of a hearing, such review must be brought by way of application: see Order 33 Rule 256 of the High Court of Zimbabwe Rules 1971.
Clearly, an application for review is not the type of application contemplated in section 89(1)(a) of the Labour Act.
The suggestion by counsel for the appellant, that the Labour Court has been given the same power of review as would be exercisable by the High Court in respect of labour matters, is, in my considered view, incorrect and inconsistent with the provisions of the Labour Act.
I say this for two reasons:
(i) Firstly, the Labour Act is clear, that, no court, other than the Labour Court, shall have jurisdiction in the first instance, to hear and determine any application, appeal, or matter referred to in section 89(1) of the Labour Act: see section 89(6) of the Labour Act.
In various decisions, the High Court has interpreted this provision to mean, that, the High Court has no jurisdiction in respect of the matters referred to in section 89(1) of the Labour Act: see, for instance, Zimtrade v Makaya 2005 (1) ZLR 427 (HC)…, and DHL International (Pvt) Ltd v Madzikande 2010 (1) ZLR 201 (HC)…,.
In the circumstances, the suggestion that the High Court would have any review powers in respect of labour matters generally would be untenable.
(ii) Secondly, it is clear that the interpretation given relies on a superficial reading of the wording of section 89(1)(d) of the Labour Act.
The section should be understood to mean “the same powers of review in respect of labour matters as would be exercisable by the High Court” or alternatively “the same powers of review, as would be exercisable by the High Court in respect of labour matters.”
Any other reading of the paragraph would clearly result in an absurdity.
The suggestion, that the powers of review enjoyed by the Labour Court are similar to those of the Supreme Court, is equally incorrect.
Section 25 of the Supreme Court Act provides:
“25 Review Powers
(1) Subject to this section, the Supreme Court, and every judge of the Supreme Court, shall have the same power, jurisdiction, and authority as are vested in the High Court and judges of the High Court, respectively, to review the proceedings and decisions of inferior courts of justice, tribunals, and administrative authorities.
(2) The power, jurisdiction, and authority conferred by subsection (1) may be exercised whenever it comes to the notice of the Supreme Court, or a judge of the Supreme Court, that an irregularity has occurred in any proceedings or in the making of any decision notwithstanding that such proceedings are, or such decision is, not the subject of an appeal or application to the Supreme Court.
(3) Nothing in this section shall be construed as conferring upon any person any right to institute any review, in the first instance, before the Supreme Court or a judge of the Supreme Court, and provision may be made in rules of court, and a judge of the Supreme Court may give directions, specifying that any class of review or any particular review shall be instituted before or shall be referred or remitted to the High Court for determination.”
It is clear from the above section, that, whilst the Supreme Court may exercise the same review jurisdiction, power, and authority as the High Court, no person has the right to institute any review, in the first instance, before the Supreme Court.
In other words, the Supreme Court has the power of review over matters coming before it for adjudication by way of appeal or whenever it comes to the notice of the Court that an irregularity has occurred in any proceedings or in the making of a decision and it is felt that such an irregularity should not be allowed to stand.
The fact that provision has been made for disputes to be first referred to a labour officer, is, in my view, irrelevant.
Review proceedings are concerned with the manner in which a decision is taken and not its merits.
If, for example, a disciplinary authority had no jurisdiction to hear a particular matter, or was biased, or its decision grossly unreasonable, the person aggrieved is empowered to approach the Labour Court and apply for the review of the proceedings.
The fact that, instead of seeking a review, one can approach a labour officer in terms of section 93 of the Labour Act does not, and cannot, affect the review power of the Labour Court provided the requirements for such review are met.
A decision by a Magistrate Court can be the subject of not only review proceedings before the High Court but also appeal proceedings in the normal way. The fact that there is an elaborate appeal procedure would in no way suggest that the High Court has no review jurisdiction in the first instance.
In my view, the Labour Court does have review jurisdiction to deal, in the first instance, with matters involving issues of labour.