The South African Labour Court recently placed the Chemical,
Energy, Paper, Printing, Wood and Allied Workers' Union
(“CEPPAWU”) under administration in
terms of section 103A of the Labour Relations Act, 1995
(“LRA”). This means that the entire
management of CEPPAWU and its financial affairs are vested in an
administrator, much like in the case of a company placed into
business rescue (see The Registrar of Labour Relations v the
Chemical, Energy, Paper, Printing, Wood and Allied Workers'
Union.)
Background
This order resulted from an application brought by the Registrar
of Labour Relations, after the union had failed to submit audited
financial statements from 2014 to 2017 as well as its agency shop
audited financial statements for the same period. CEPPAWU did not
dispute its failure to submit these audited financial statements
and attributed this to its previous general secretary who had been
removed at the end of August 2018. In opposing papers filed with
the