High Court to decide constitutionality of Trade Disputes Act

GOTHATAONE MOENG
>Staff Writer | Tuesday May 21, 2013 00:00

The section has come under the spotlight in a case between the National Amalgamated, Local, Central Government and Parastatal Workers Union (NALCGPWU) and Rural Industries Promotions and Company Botswana (RIPCO-B). In the case, the union is questioning the way RIPCO terminated an early exit package agreement between the two parties. 

The union initially sought an order setting aside RIPCOÕs decision to repudiate the agreement the two parties entered into in April 2012. Section 37(2) of the Trade Disputes Act provides that every collective labour agreement shall be binding on the parties. It says that collective labour agreements shall cease to be binding upon the expiry of one or more months, following one party serving notice in writing of plans to repudiate the agreement.

The termination is on condition that the notice will not be served without permission in writing of the minister before the six months following the day the agreement comes into force. NALCGPWU, through its lawyer, Tshiamo Rantao, argue that the termination of a collective labour agreement cannot be effected when the agreement has not yet come into force.

The union says that the early exit package agreement is not enforceable between the parties yet as the exit process had not begun as at December 2012 when they filed their arguments.  The union's position is that the agreement will only come into force when there is actual exit of its members.

RIPCO, through Otto Itumeleng, has countered that the section in question must be given its ordinary and literal meaning.  RIPCO says the agreement is binding.  It argues that since six months have lapsed, the respondent is entitled to repudiate the agreement by giving a 30 days notice of repudiation of contract. 

The case comes against the backdrop of retrenchments at RIPCO, as the company merges with Botswana Technology Centre (BOTEC) to form a new streamlined entity.