Can an employee withdraw a resignation?

Can an employee withdraw a resignation?

Can an employee withdraw a resignation?

When an employee decides to resign, the employee voluntarily terminates the employment contract and relationship. The employee’s decision to resign is a unilateral act and there is no obligation on the employer to formally accept the resignation for it to be effective. The employer cannot refuse or deny the employee’s resignation but can hold the employee accountable for the notice period.
The length of the notice period will depend on what labour legislation prescribes for the specific business industry, but the Basic Conditions of Employment Act (Act 75 of 1997) requires:
  • one week’s notice if the employee was employed for six months or less;
  • two weeks’ notice if the employee was employed for more than six months but less than 12 months;
  • four weeks’ notice if the employee was employed for more than 12 months.
Section 37(4)(a) of the Basic Conditions of Employment Act stipulates that a resignation must be in writing unless an employee is illiterate. The law of property indicates that under certain circumstances a verbal resignation by an employee may be valid, provided that the employer can clearly demonstrate that the employee’s conduct clearly and unequivocally indicates an intention to terminate employment. In practice, however, this can cause problems if an employee resigns verbally because it is often difficult to prove that an employee has resigned. In such cases, it is important for the employer to document the employee’s conduct in writing and formally inform the employee that the resignation is accepted as voluntary.
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The resignation

An employee can terminate the employment relationship for various reasons, including a new job opportunity, job dissatisfaction, avoiding the scrutiny of a disciplinary hearing, or an emotional decision in the heat of the moment. It is important to meet with the employee and discuss the reasons for the resignation and any underlying problems or conditions. If the employer suspects the resignation or its circumstances to be suspicious, allow a cooling-off period to avoid a possible referral of constructive dismissal or even unfair labour practice.

Can the employee withdraw the resignation?

In short: No. The employee does not have the right to unilaterally withdraw his/her resignation The employee should rather approach the employer as soon as possible and discuss the possibility of withdrawing the resignation.

What are the employer’s options?

The employer now has a choice to either accept the withdrawal or not. Be sure to take into account any underlying problems or conditions regarding the resignation.

Firstly, the employer can hold the employee to the resignation and refuse to accept the request for withdrawal. The employer can still enforce the notice period.

Secondly, the employer can agree to accept the employee’s withdrawal of resignation. There is no need to implement a new employment contract as there was no break in the period of employment. The employment relationship will continue as before. Take note that the terms and conditions of employment cannot be unilaterally amended. Any changes should be negotiated between the parties and mutually agreed upon and reduced to writing and signed.

Contact the LWO at 086 110 1828 with any labour law queries – we are available 24/7. Members can also send an email to info@lwo.co.za for assistance and support.

Disclaimer: Take note that the information and material published is not legal advice but published for general information purposes. We accept no responsibility for any loss or damage, whether direct or consequential, which may arise from reliance on the information contained on this platform. For legal advice kindly consult one of our legal advisors about any specific legal problem or matter.

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“The Great Resignation”

“The Great Resignation”

“The Great Resignation”

‘The Great Resignation’ is a global trend where employees have resigned their jobs over the past two years, looking for more fulfilling and purposeful work with better pay and benefits.
The pandemic has lead to drastic work changes and employees are reconsidering factors that are important in the workplace, as well as their expectations regarding an employer. Employees are looking anew at their careers, working conditions and long-term goals. This trend appears to be limited to more sophisticated occupations or niche fields of specialization. The low paid working class will not resign as easily because there is not always an alternative for them.

According to the McKinsey poll (conducted in the US), 40 percent of employees are somewhat likely to leave their jobs in the next three to six months. Is South Africa in the same boat when it comes to the “Great Resignation”?

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How companies can turn the Great Resignation into the Great Attraction | McKinsey

South Africa is a developing country with an unemployment rate of about 35% where jobs are scarce and we cannot afford a large-scale labor exodus. However, there is a chance that this trend will not be as great in South Africa as in developed countries, but we are waiting for statistics in this regard.

Main reasons why employees are looking for greener pastures

Possible causes include compensation packages, fringe benefits, rising cost of living, prolonged job dissatisfaction, safety issues from the COVID-19 pandemic and the desire to work for businesses with a sense of unity and a renewed focus.

What are the attractions for employees?

Consider flexible working conditions and development opportunities. Is it necessary for an employee to be fully office-based or can a hybrid model be implemented? Working from home is only a possibility if the workplace allows it. When the focus shifts from input to output, flexible hours can also be considered.

Pressure on the employer?

Employers have already experienced tremendous pressure to do business on a profitable and sustainable basis during the start of the pandemic. Although a resignation creates an opportunity for someone else, there is a loss of expertise and the training and orientation of a new appointment has a definite financial impact on the business.

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Awards and penalties at the CCMA – what can go wrong…

Awards and penalties at the CCMA – what can go wrong…

Awards and penalties at the CCMA – what can go wrong…

Awards and penalties – South Africa’s labour environment is highly regulated, which makes it very important (and challenging) for employers to comply with labour legislation on an ongoing basis. Non-compliance poses a serious business risk to any employer with a possible huge financial impact that could have been prevented.

Awards and penalties

The Labour Relations Act (LRA) gives the Commission for Conciliation, Mediation and Arbitration (CCMA) the power to take action against employers who commit an unfair labour practice or dismiss an employee unfairly.  Once the applicant has referred a dispute to the CCMA, it will be set down for conciliation and a commissioner will be appointed to adjudicate the dispute. If conciliation fails, the matter will be set down for arbitration. Once the arbitration hearing has been concluded, the commissioner will issue awards within 14 days.

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Awards and penalties that an employer can face may include the following:

  • Reinstatement:

    The employer must take the employee back with retrospective effect to the date of dismissal. In such circumstances, the employer would have to give the employee back pay from the date of dismissal up until the reinstatement award was made.

  • Re-employment:
    The employer is required to take the employee back with effect from the date of the award. In some cases, it may be an earlier date.

  • Compensation:
    The CCMA can award up to 12 months’ compensation to a successful employee. One month’s compensation will be equal to that specific employee’s monthly remuneration.  If the compensation amount awarded to the employee has not been paid on or before the prescribed date, the employee can exercise his/her right to enforce the award. This means that the employee will proceed to certify the award in terms of section 143 of the LRA and it may be enforced as if it were an order of the Labour Court in respect of which a writ has been issued. The employee can now instruct a sheriff to attach the moveable goods of the employer.
If an employer fails to attend the arbitration proceedings without a valid reason, the proceedings will continue in their absence and a default award will be issued against their name.
If it is found that it is an automatically unfair dismissal (for example based on pregnancy), the CCMA can award up to 24 months’ compensation.

What can go wrong, ending with awards and penalties?

An employer should never ignore any documentation received directly from the CCMA, or a CCMA referral form received from a dismissed employee. Within a few weeks of receiving such a referral form, the CCMA will provide the employer with a set down date. If the employer does not receive a set down date, it is advisable to contact the CCMA in order to follow up on the set down date. The matter will be set down for Con/Arb. This means that the arbitration will commence immediately after the conciliation. In most cases, the employer may object to Con/Arb, which means that the CCMA will split the proceedings to be heard on separate occasions.
CCMA processes can be intimidating and it is a good idea to get expert advice. An employer can be represented by any employee/director of the business, or by an office bearer/official of an employers’ organisation that is registered with the Department of Employment and Labour.

What does the commissioner consider when calculating compensation?

Compensation is not about the actual loss suffered, but rather about the nature and seriousness of the injustice. The commissioner can exercise discretion and will always consider the following:
  • What is just and equitable in the circumstances.
  • Was the dismissal substantively fair.
  • Was the dismissal procedurally fair.
  • What are the merits of each case together with its own unique circumstances, the relationship of the parties and their attitude after the dismissal.

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Regulate the employment relationship

Regulate the employment relationship

Regulate the employment relationship

Regulate the employment relationship – The employment relationship is a relationship of trust based on mutual benefits and respect. As a business owner, the employer should always anticipate what can go wrong with regards to the employment relationship, in order to be best positioned going forward and mitigating risk. Poor work performance, conflict, misconduct and a breach of trust can place this relationship in jeopardy and employers should take proactive steps to regulate the employment relationship and protect their rights. Key elements to do so include the employment contract and enforcing discipline in the workplace.
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Regulate: Employment contract

The employment contract can be of immense value to the employer if used effectively. Making a mind shift regarding employment contracts from an “administrative burden” to “risk mitigating tool” can save employers a lot of time and money in the long run.

One of the biggest mistakes employers make is not to implement written employment contracts, or to settle for a generic employment contract that offers minimal protection when there is a dispute in the workplace.  A written employment contract creates clarity by confirming the terms and conditions of employment agreed upon and protects the employer in terms of the employment relationship going forward.  Take note that labour legislation applies to all employers and employees, irrespective of how the employment relationship is recorded (via an oral or written agreement), or the term thereof.

Instead of a generic employment contract, employers should rather opt for a purpose-built option that addresses an employer’s specific needs.  A purpose-built employment contract should tick the following boxes:

  • Comply with all applicable labour legislation relevant to the specific industry.
  • Include proactive clauses to protect the business and mitigate risk by addressing possible future disputes between the employer and employee.  These clauses include:
    • Reference to policies, procedures and a disciplinary code that describes rules and procedures the employer and employees must adhere to.  The disciplinary code serves as a guideline for employers of what the appropriate sanction is for certain offences.  The disciplinary code also ensures that all employees are aware of the rules in the workplace as well as the consequences should these rules be broken.
    • Time periods – probation period, retirement age, short time, lunch breaks, etc.
    • Consent – medical testing, alcohol and drug testing
    • Consent – deductions for damages, training, etc.
  • Add annexures to the contract to further protect the business going forward.  Typical annexures include:
    • Declaration of duties – what is expected from the employee with regards to duties and the employer’s fixed operational standard.
    • Restraint of trade and confidentiality agreement – this is crucial where specialised business activities take place to protect confidential information, unique methods and procedures, patents, etc. and prevent this sensitive information ending up with the competition.

Regulate: Discipline in the workplace

Discipline in the workplace is aimed at adjusting and improving behaviour through corrective action, consultations and warnings, rather than punishing or dismissing an employee.  Every workplace must have a relevant disciplinary code. The disciplinary code is essential in ensuring that there are clear rules in the workplace, with appropriate sanctions, that employees can follow. When these rules are violated, the employer can apply progressive discipline. In cases of serious misconduct employers can directly proceed with a disciplinary hearing.  It is vital to always follow the correct procedure, as in failing to do so can lead to a CCMA-case with dire consequences and a huge financial impact.

By addressing labour risk proactively, the employer can greatly contribute towards the business’s sustainability and profitability and ensure a working environment with reduced conflict, friction and misunderstanding, which in turn creates a structured environment receptive to growth.

Check the employment contracts to determine if any changes need to be made. Note that unilateral amendments constitutes unfair labour practices and pose a significant risk to the employer. Obtain the employee’s written consent to avoid unilateral changes of terms and conditions.

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To review: don’t forget about the following…!

To review: don’t forget about the following…!

To review: don’t forget about the following…!

Labour legislation sets strict requirements that employers must comply with. Compliance is non-negotiable and poses a business risk to the employer. A thorough labour audit aligns the work environment with applicable labour legislation, but in order to maintain this state of affairs, it is necessary for the employer to review certain aspects on a regular basis.

Review monthly:

  • Communication and regular consultation
    Effective communication is critical to the success of any business. It contributes to creating an environment with clear rules and expectations, and proactively addresses misunderstandings, unhappiness and friction in the workplace. A positive work environment is one of the factors that cultivates productivity, which directly impacts the business’s profitability and sustainability. It is important that there is a platform through which both the employer and employees can engage in discussions, give input, provide feedback, raise unhappiness, etc. Communication on a regular basis is important to promote harmony in the workplace.
  • Attendance register
    Labour legislation requires the employer to maintain an attendance register on a daily basis in respect of each employee. During an inspection by the Department of Employment and Labour, this register is checked by the inspector. Make sure it is kept up to date with respect to all hours worked.
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Review annually:

Labour law documentation must be reviewed on a regular basis to ensure that it complies with applicable labour legislation, as well as remains relevant in terms of the business’s operational requirements. This documentation specifically refers to:
  • Employment contracts
    The employment contract is the basis of the relationship between the employer and the employee and confirms in writing the terms and conditions of employment agreed upon. It is extremely important that the employer implements the right type of employment contract (permanent or fixed term) and ensures that its content complies with applicable labour legislation.
Check the employment contracts to determine if any changes need to be made. Note that unilateral amendments constitutes unfair labour practices and pose a significant risk to the employer. Obtain the employee’s written consent to avoid unilateral changes of terms and conditions.
  • Disciplinary code, policies and procedures
    Every workplace is unique and there is often a need for specific rules to give order and structure to the workplace. Review these rules, including policies and procedures, from time to time to ensure they are still relevant. It is important that the workplace’s disciplinary code is up to date in terms of violations and sanctions. Progressive discipline must also be applied continuously. If any changes are made, it is essential to notify the employee.

Employers need to keep their finger on the pulse. Labour law is a specialist field and expert advice is essential to limit risk. Labour relations is an emotional environment and an impartial third party can add great value, especially with the enforcing of discipline or with processes such as poor work performance, restructuring, retrenchment, trade union negotiations etc. LWO membership offers employers 24/7 expert advice.

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Probation period dos and don’ts

Probation period dos and don’ts

Probation period dos and don’ts

Employees represent a valuable asset within any workplace. It is therefore critical to find the right person, not only with the right qualifications and experience, but who will also be compatible with the working environment and culture.
Implementing a probation period serves the purpose of enabling employers to evaluate whether an employee’s performance aligns with the required standards. The duration of this period is contingent upon the nature of the job, as the more complex the nature of the job is, the longer the period of probation will be. It is essential to incorporate the probation period into the employment contract, as the contract defines the terms and conditions agreed upon between the parties.
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The dos of a probation period:

When instituting a period of probation, an employer has the following obligations:

  • Clearly communicate the employee’s probationary status;
  • Define the duration of the probation explicitly;
  • Establish reasonable benchmarks for performance;
  • Precisely outline and explain the performance standards demanded of the employee;
  • Regularly assess and monitor the employee’s performance against the predetermined standards;
  • Provide the employee with feedback regarding performance inadequacies;
  • Extend the opportunity to the employee to furnish additional information and offer their perspective on the situation;
  • Offer assistance, guidance, counselling, and training whenever necessary;
  • Follow the appropriate disciplinary or poor work performance procedures based on the prevailing circumstances.

The don’ts of a probation period:

Poor work performance is an ever-increasing challenge in the workplace and pertains to instances where an employee falls short of achieving and sustaining the employer’s established work performance criteria or standards, encompassing quality and quantity.

Even during a period of probation, an employer is never entitled to summarily terminate an employee’s employment, especially if the employee’s performance deviates from the anticipated standard. Such actions could potentially lead to allegations of unfair dismissal against the employer at the Commission for Conciliation, Mediation and Arbitration (CCMA).

Labour regulations furnish explicit guidelines outlining how employers should navigate poor work performance cases. In the event that an employee remains incapable of reaching the mandated standard despite being provided with assistance and training, they are deemed “incapable,” permitting the employer to initiate disciplinary proceedings. It is imperative to recognise that an employer is absolutely prohibited from dismissing an employee without adhering to the required procedure. Every instance of dismissal must unfailingly uphold both procedural and substantive fairness.

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