The Johannesburg Labour Court has ruled in favour of Watson Kelemogile Lekalake, reinstating him retroactively after deeming his dismissal by EOH Mthombo (Pty) Ltd as substantively unfair.
The court found that serious allegations of corruption against senior executives of EOH, which resulted in the closure of its Public Sector Division, were improperly used as a justification for Lekalake’s retrenchment under section 189 of the Labour Relations Act (LRA).
This judgment, delivered electronically on 21 February 2025, follows proceedings that started in September 2022. Lekalake had contested his dismissal, claiming that EOH did not have valid reasons for terminating his employment, a position the court ultimately supported. The court’s decision not only reinstates Lekalake as an employee effective from the date of his dismissal (6 May 2019) but also entitles him to full benefits and emoluments.
Initially dismissed on grounds of operational requirements, EOH had cited various reasons for Lekalake’s termination, including alleged poor work performance and a request from the Department of Water and Sanitation to replace him. However, during the court proceedings, it was revealed that the true impetus for the dismissal was linked to significant corruption allegations against senior management, which undermined the operations of the company’s Public Sector Division.
The court’s decision not only reinstates Lekalake effective from the date of his dismissal, but also entitles him to full benefits and emoluments.
Presentations from EOH’s witnesses were scrutinised, revealing inconsistencies and a lack of evidence supporting the claims of poor performance. Notably, Gavin Devereux, a manager at EOH, admitted under cross-examination that no performance appraisal had ever been conducted for Lekalake, and there was no substantive proof of poor work performance. Furthermore, it was highlighted that Lekalake’s substantial qualifications and experience should have qualified him for alternative roles within the company.
Carl Legodi, another EOH witness, corroborated that the company’s decline was primarily due to corruption allegations, leading to a loss of contracts and subsequent layoffs across the division. The testimonies painted a picture of an employee caught in a storm of administrative failure rather than any personal inadequacy.
Acting Judge S Sethene of the Labour Court emphasised the essential principle of equity within employment practices, underscoring that Lekalake should be reinstated not because of any wrongdoing on his part but as a recognition that he had been unfairly penalised for the actions of others. Asserting that Lekalake had no connection to the misconduct of EOH’s executives, the court ordered his reinstatement and the costs of the proceedings to be paid by EOH on an attorney-client basis.
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