Is it the end for labour brokers as we know them? Understanding the implications of a recent Constitutional Court matter
The Constitutional Court recently handed down a long anticipated judgment (Assign Services (Pty) Limited v National Union of Metalworkers of South Africa and Others (CCT194/17)  ZACC 22 (26 July 2018)) which is likely to be of crucial importance to the labour broking fraternity.
The Court held that vulnerable workers (i.e. those earning on or below the current threshold of ZAR 205,433.30) are deemed to be employed by the client after a period of three months, creating a sole employment relationship between the employee and the client for purposes of section 198A(3)(b)(ii) of the Labour Relations Act.
We have taken this opportunity to prepare a detailed note for you, explaining key aspects of the judgment and its effect in more detail.