Gama loses application to have his dismissal set aside | Fin24
 
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Gama loses application to have his dismissal set aside

Nov 22 2018 12:56
Fin24

Former Transnet boss Siyabonga Gama's bid to have his dismissal set aside by the Labour Court has failed. 

In a judgment on Thursday, the court dismissed his application and ordered Gama to pay the costs of the respondents. 

Transnet's board terminated Gama's contract in late October over its lack of "trust and confidence" in him.

The board has subsequently appointed Tau Morwe as acting group chief executive.

Gama had argued that the board could not terminate his contract without the matter first going to arbitration. He also said there had been no disciplinary hearing. 

His lawyers argued therefore that the terms of his contract had been breached. 

As Gama told Fin24 in October after learning of his dismissal, “At all material times my attorneys and myself advised and urged Transnet to respect the terms of the employment agreement that stated clearly that any dispute between the parties should be referred to arbitration."

Judge notes board is suing the former CEO 

However the judge ruled on Thursday that while a disciplinary hearing may be a requirement for a dismissal due to alleged misconduct, if was not required for a dismissal due to a breakdown in trust.

"The applicant has not shown a prima facie right to a disciplinary hearing in circumstances where his employment is terminated for reasons other than misconduct..."

He also ruled it unlikely that an arbitrator would find for Gama, as the board had stated it had lost confidence in the former CEO, and was in fact suing him for R166m. 

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transnet  |  siyabonga gama
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