Coin Security Group (Pty) Ltd v Minister of Labour and Others

Coin Security Group (Pty) Ltd applied to the Transvaal Provincial Division for a declaratory order that an industrial council agreement for the Motor Transport Undertaking (Goods), promulgated under section 48 of the Labour Relations Act 28 of 1956 (the old LRA), did not apply to it. The agreement prescribed minimum wages and conditions of employment and had been extended by the Minister of Labour to all employers and employees engaged in the motor transport undertaking (goods). Coin Security contended that it was engaged in providing security services, not transporting goods, and therefore fell outside the scope of the agreement. The High Court dismissed the application, holding that it lacked jurisdiction because the dispute was a demarcation dispute that had to be dealt with under section 62 of the Labour Relations Act 66 of 1995 (the new LRA). Coin Security appealed against that decision.

The appeal was dismissed with costs, including the costs of two counsel. The High Court’s decision that it lacked jurisdiction was upheld, and the demarcation dispute was held to fall within the exclusive jurisdiction of the Industrial Court.

The case clarifies the effect of the transitional provisions of Schedule 7 to the Labour Relations Act 66 of 1995, confirming that industrial council agreements promulgated under the old LRA remain subject to the old LRA’s enforcement and dispute-resolution mechanisms. It establishes that demarcation disputes concerning such agreements fall exclusively within the jurisdiction of the Industrial Court, not the High Court or Labour Court, thereby ensuring continuity and specialised handling of labour demarcation disputes during the transition between the two labour law regimes.