Business Report

MTN loses appeal as Labour Court reinstates unremorseful employee with backpay

Sinenhlanhla Masilela|Published

Labour Court reinstates employee as MTN's appeal fails.

Image: Timothy Bernard/Independent Newspapers

The Labour Court in Johannesburg has dismissed an application by telecommunications giant Mobile Telephone Networks Proprietary Limited (MTN) for leave to appeal a judgment involving the dismissal of an employee.

The ruling, handed down by Judge Tapiwa Cecilia Gandidze, confirmed that MTN failed to show that another court would likely reach a different conclusion regarding the fairness of the sanction imposed on Neo Thlame.

The case stems from a prior judgment delivered in November 2025, in which the court partially reviewed and set aside an arbitration award that had favoured Thlame.

In that earlier decision, the court determined that Thlame had been guilty of misconduct but ruled that dismissal was too harsh a sanction. The court also reduced the amount of back pay owed to him to six months.

MTN sought leave to appeal on two main grounds. The company argued that the court had failed to properly weigh factors that, in its view, justified dismissal as the only appropriate sanction. These included Thlame’s lack of remorse, the seriousness of his misconduct which involved absenteeism and defiance of a manager’s instruction and his history as a repeat offender despite previous disciplinary measures. MTN further contended that the court erred in awarding any back pay at all.

However, the court was not persuaded. In a detailed analysis, Judge Gandidze emphasised that there is no rigid legal principle requiring the dismissal of employees who show no remorse. While acknowledging that remorse is an important consideration, the court stressed that it must be weighed alongside all other relevant factors in determining an appropriate sanction.

Judge Gandidze pointed out that the seriousness of Thlame’s misconduct could not be equated with more severe offences such as fraud or violent conduct, which have justified dismissal in other cases cited by the employer.

The court further noted that the earlier judgment had already taken into account Thlame’s conduct, including his defiance and disciplinary history, when it decided to reduce his back pay to six months rather than awarding full compensation.

On the issue of back pay, the court found no basis to interfere with its earlier decision. Judge Gandidze held that the reduction of back pay had been a deliberate and proportionate response to the facts of the case, ensuring that the employee did not benefit unduly despite the finding that dismissal was too harsh.

Ultimately, the court concluded that MTN had failed to demonstrate any realistic chance of success on appeal. It dismissed the application for leave to appeal in its entirety and made no order as to costs. 

sinenhlanhla.masilela@iol.co.za

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