UASA – The Union obo Maribe T.A.D and 13 Others v Coca Cola Fortune (Pty) Ltd and Others

The applicants, represented by UASA, were employed by Coca Cola Fortune (Pty) Ltd on successive fixed-term contracts between 2011 and 2016, which terminated on 31 January 2017. They earned below the BCEA earnings threshold. After non-renewal of their contracts, they referred an unfair dismissal dispute to the CCMA, alleging a reasonable expectation of continued (indefinite) employment under section 186(1)(b) of the LRA, based on repeated renewals and alleged contraventions of section 198B of the LRA. Coca-Cola contended that the fixed-term contracts were justified by operational requirements and permitted under a collective agreement with FAWU, and that the contracts ended by effluxion of time. The CCMA commissioner found that there was no dismissal and that the CCMA lacked jurisdiction. The applicants sought to review and set aside that award.

The review application was dismissed. No order as to costs was made.

The case clarifies the interaction between section 186(1)(b) (reasonable expectation dismissal) and section 198B (fixed-term contracts) of the LRA. It confirms that section 198B operates as part of an unfair dismissal inquiry and that successive renewals do not automatically result in deemed indefinite employment if the fixed-term contracts are justified by legitimate operational reasons. It also underscores the strict requirements for extending collective agreements to non-union employees under section 23(1)(d) of the LRA.