Victory for employees hired by labour brokers

Lawyers for Human Rights says the ruling is a major victory for labour brokers who will now look to their client company as their employer

The Labour Appeal Court ruled that employees hired by labour brokers and remain employed for more than three months should be hired permanently by the client company

Judge Pule Tlaletsi ruled that employees of labour brokers should be hired permanently by the client company after three months of working in the same company. This verdict overturns a 2015 judgement that labour brokers and their clients were dual employers.

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The judgement follows a case involving the National Union of Metalworkers, Assign Services and Krost Shelving and Racking at the Commission for Conciliation, Mediation and Arbitration (CCMA). Many of workers supplied to Krost by Assign Services worked for the company for more than three months.

Labour lawyer Michael Bagraim told Business Day that the judgement meant labour broker employees would be protected against ill-treatment and would have access to the same benefits as those employed directly by the company. “The significance is that those employees are treated equally to the employees of the client and their rights are intact, as being equal to other employees,” said Bagraim.

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Lawyers for Human Rights has also welcomed the ruling and indicated that it was a major victory for labour broker workers.

Additional reporting by Business Day