Posted by: Anonymous | 2009/05/06

Labour Court

We had to retrench staff due to the current economic situation which has caused a financial impact on our business. One employee took us to the Labour Court for not receiving his commission. He was paid his basic salary twice on the day of departure, one for the month he worked and one as severance pay. We agreed upon his leaving that the commission would be paid as soon as the clients have paid us. To date this has not happened and we were prepared to pay on the last day of the month, but received a Labour Court letter from this employee. We have 7 days to respond. There is no date on the letter and no contact phone numbers. We still have not received payment from the clients that the employee procured and have not paid as the dispute letter arrived on pay day.

The employee has signed a letter stating that he has received full and final payment from the company, together with UIF forms, leave pay due and his severance package.

What is the procedure now?

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Our expert says:
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If you have received papers from the labour court you must respond. Please contact the Labour Court as a matter of urgency to see if the papers are legitimate. You must not allow default to take place.

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