Tasima (Pty) Ltd v Road Traffic Management Corporation and Others

Tasima (Pty) Ltd had for nearly 15 years been responsible for developing, operating and maintaining the electronic National Traffic Information System (eNaTIS), which constituted the entirety of its business. All Tasima employees were dedicated to eNaTIS. Following prolonged litigation, the Constitutional Court ordered that eNaTIS be handed over to the Road Traffic Management Corporation (RTMC). During negotiations, RTMC repeatedly confirmed that section 197 of the Labour Relations Act (LRA) applied and that it would take over Tasima’s employees on the same terms and conditions. On 5 April 2017 the RTMC took over eNaTIS but subsequently refused to implement the section 197 transfer. The Labour Court declared that the employees transferred automatically under section 197, and this was upheld on appeal by the Labour Appeal Court (LAC), although the interim salary-payment order was set aside. RTMC indicated an intention to seek leave to appeal to the Constitutional Court. Tasima then brought an urgent application in terms of section 18 of the Superior Courts Act to enforce the LAC order pending any further appeals.

The points in limine were dismissed. The Court granted relief enforcing the relevant portion of the Labour Appeal Court order in terms of section 18 of the Superior Courts Act pending the final determination of any leave to appeal or appeal proceedings.

The judgment is significant for clarifying procedural principles relating to challenges of authority and locus standi in labour litigation, reaffirming that Rule 7 of the Uniform Rules is the proper mechanism to dispute authority. It also illustrates the application of section 18 of the Superior Courts Act in labour matters, particularly in enforcing section 197 transfer orders pending appeal, thereby protecting employees from prejudice during protracted litigation.