Fraud in the workplace

By Lavery Modise and Sheethal Sewsunker

Employers have always been reluctant to pursue a civil claim against former employees for losses incurred as a result of their negligence or misconduct.

In the recent judgment of Rand Water v Stoop (2013), the Labour Appeal Court (LAC) held that the Labour Court has the jurisdiction to entertain a claim for damages in terms of section 77(3) of the Basic Conditions of Employment Act 75 of 1997 (BCEA) where such damages are linked to the employment contract.

Two employees of Rand Water, Johan Stoop and Johannes Buckle, were charged and dismissed after they had been found guilty of misconduct in an internal disciplinary hearing…

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