On the 21 November 2017 the Labour Appeals Court ruled against PRASA in the matter between PRASA and NTM Union.  The effect of the judgement was that PRASA was to reinstate the 700 employees that were dismissed in 2013. The Passenger Rail Agency of South Africa (PRASA) has fully complied with the judgement of the Constitutional court to absorb the 700 employees dismissed in 2013.

The judgement came after PRASA dismissed the workers in 2013 due to approximately R42 million worth of coaches burnt during the strike action.  PRASA launched an internal investigation which revealed, according to its preliminary reports, that the culprits of the arson were known by some of the workers but were not revealed by the employees to PRASA despite several efforts to ascertain the information.  

The recent Constitutional Court ruling and the Labour Appeals Court have ruled against PRASA and have found that the employees were unfairly dismissed.

PRASA has, as a result started planning for the reinstatement of the employees along with the re-training for train drivers in order to renew their Train Driver licences which must be renewed every six months.  All employees will be re-instated with full pay as of the day the judgement was made and all will receive their lump sum back pay minus the statutory deductions such as UIF and pension funds.  The collective cost to company is approximately R 1 billion.  PRASA will engage in dialogue with both the Unions and the affected employees on the details of the reinstatements

 

Issued by PRASA