Assign Services (Pty) Ltd v Krost Shelving & Racking (Pty) Ltd (Numsa) CCMA ECEL 1652-15 [26 June 2015] per Commissioner AC Osman.

The word ‘deemed’ in section 198A(3)(b) of the LRA, as amended, means that the client becomes the sole employer of the employees who were placed with the client for the purposes of the LRA, provided only that:

  • they earn below the threshold referred to in section 6(3) of the BCEA; and
  • 3 months has elapsed since their placement.

In other words they are deemed to have been appointed on an indefinite basis.  In addition in terms of section 189A(5) of the LRA ‘parity’ must be maintained between the placed employees and the other employees working on an indefinite basis.

Click on the link 20150626 Assign CCMA award to view the entire award.

Mphirime v Value Logistics Ltd / BDM Staffing (Pty) Ltd NBCRFLI FSRFBC34922 [24 June 2015] per Suria van Wyk

Decided that in terms of s 198A(3)b)(i) of the LRA the deeming provision was triggered and Value Logistics Ltd was deemed to be the employer of the applicant for the purposes of the LRA.  Value Logistics Ltd will bear the onus of proving at the forthcoming arbitration that the dismissal of the applicant was for a valid and fair reason in terms of s 188 of the LRA.

Click on the link to view the award: Test case- Suria van Wyk.