In Malatji v Minister of Home Affairs and Another, the
South African Labour Appeal Court
("LAC") had to determine when
mora interest (interest accrued on overdue payment) should
begin running, in circumstances where the Labour Court had ordered
the substitution of an arbitration award granting retrospective
reinstatement with an order for the payment of compensation, but
had made no provision for the timing of interest.
In essence, the LAC was required to determine whether
mora interest should be calculated from the date of the
initial arbitration award or from the date on which the arbitration
award was reviewed and set aside by the Labour Court.
In this matter, the Department of Home Affairs (the
"department") dismissed Mr Malatji as
its chief director: legal services after a disciplinary hearing
where he was found guilty on various charges. Mr Malatji
subsequently referred an unfair dismissal dispute to the General
Public Services Sector Bargaining Council
("GP
