Magpeck Exports Ltd. v. Commissioner of Labour & Others – sllr 2000 volume 2 page 308

In Magpeck Exports Ltd. v. Commissioner of Labour & Others, the court addressed the lawfulness of the petitioner company’s closure of business and termination of over 1200 employees without prior written approval as required by the Termination of Employment Act No. 45 of 1971. It was determined that the petitioner’s reliance on financial difficulties and the doctrine of frustration did not relieve statutory obligations, and that termination in such manner constituted an unlawful termination of employment. The process for compensation, as adopted by the Commissioner of Labour, was upheld as analogous to a labour tribunal, and the award—two months’ salary for each year of service—was found justified. This reaffirmed the principle that statutory protections governing termination must be stric