National Union of Metalworkers of South Africa v Commission for Conciliation, Mediation and Arbitration and Others

The dispute concerned the demarcation of several manufacturing companies that produce motor vehicle components and whether they fall within the jurisdiction of the Metal and Engineering Industries Bargaining Council (MEIBC) or the Motor Industry Bargaining Council (MIBCO). The respondent entities referred a demarcation dispute to the CCMA under section 62 of the Labour Relations Act (LRA). A CCMA commissioner relied heavily on a 1962 Industrial Tribunal determination made under repealed legislation to conclude that some entities should remain within MEIBC, while others fell under MIBCO. The award was delayed and subject to consultation with NEDLAC, which raised concerns about the commissioner’s reasoning. The Labour Court reviewed and set aside the award, finding that the commissioner committed a material error of law by treating the 1962 determination as binding, and substituted the award by demarcating the entities into MIBCO. The Labour Appeal Court upheld that decision. NUMSA sought leave to appeal to the Constitutional Court.

Leave to appeal was granted, but the appeal was dismissed. The Labour Court’s substituted order demarcating the respondent entities within the scope of MIBCO remained in force.

The case clarifies the approach to demarcation disputes under section 62 of the LRA and confirms that historical determinations made under repealed legislation are not binding. It affirms the power of the Labour Court to substitute CCMA demarcation awards where the record is complete and no purpose would be served by remittal. The judgment provides guidance on interpreting bargaining council scopes and promotes effective and rational collective bargaining arrangements.