Free Market Foundation 'considering whether to appeal'

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Published May 5, 2016

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Johannesburg - The Free Market Foundation (FMF) says it is “delighted” about the High Court ruling on its collective bargaining challenge, although it would still consider whether to appeal the loss.

The Pretoria court dismissed the foundation’s application challenging section 32 of the Labour Relations Act giving the labour minister the power to extend collective bargaining agreements to non-parties.

Read: Free Market Foundation loses collective bargaining case

The FMF has instead said the court’s findings that extensions to non-parties should not be automatic and mandatory were in line with its application.

In the judgment, the full bench of judges analysed other laws that can be considered when applying the decision to compel businesses which are not party to the bargaining council processes to also implement its deals.

The ministers of labour and justice and constitutional development were joined by 47 collective bargaining councils, Cosatu, the National Union of Metalworkers of SA (Numsa) and the South African Clothing and Textile Union (Sactwu) as respondents to the matter.

The unions have welcomed the ruling, saying it’s a victory for workers because the court had not amended the section in the law allowing for the extension of collective bargaining agreements.

However, the FMF said this was a “pyrrhic victory, which leaves the victor worse off”.

“The court’s view, as argued by the FMF, is that the rights of vulnerable workers and employers, and the country as a whole, must be respected.

“The FMF’s objective can be achieved, without the need to change section 32 of the LRA, by subjecting labour law to administrative justice. In terms of the judgment, the extension of BCAs is subject to the administrative justice clause in the constitution and the Promotion of Administrative Justice Act (PAJA),” said the FMF’s spokeswoman, Jayne Boccaleone.

The FMF said it was still considering whether to appeal the judgment.

“The FMF derives significant comfort from the judgment, even if, in technical terms, the judgment it sought was not granted. The FMF will reflect on whether it is necessary to take it on appeal to achieve greater certainty for unemployed South Africans desperate for hope of a job,” Boccaleone said.

LABOUR BUREAU

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