Upmarket Cape Town shuttle company, The League of Gentlemen (LOG), has been ordered to compensate its former marketing manager Sean Prinsloo for unfair dismissal after the company went insolvent, with the company director now expected to foot the bill.

A Times Select report says the company was taken to the CCMA in 2016 following Prinsloo’s dismissal. Because the director of the company – JS Wilson – failed to arrive at the hearing, Prinsloo was given a default judgment, with the commission awarding him just under R166 000, or three months’ salary and other outstanding payments.

Throughout proceedings, Wilson claimed that rather than LOG, it was Expidor, another business entity, that had actually employed Prinsloo and was liable to pay. Because of this, Prinsloo was forced to approach the Labour Court to insist that Wilson be declared his true employer, that he be joined to the order to pay the CCMA award, and that the court state for certain that Wilson himself was liable for the company’s financial obligations.

Judge Edwin Tlhotlhalemaje ruled: ‘Wilson assumed responsibility for the statutory amounts owing to (Prinsloo), and that concession accordingly was inconsistent with Wilson’s defence that Expidor was the true employer. The acknowledgment of debt was further indicative of an admission that Wilson was the true employer, or that both legal personalities were indistinguishable for the purpose of the operation of the business.

The judge ordered that Wilson be held liable for the obligations arising from Prinsloo’s employment with Expidor, and that he is liable to pay the arbitration award.

He made no cost order.

Full Times Select report (subscription needed)

Prinsloo v Expidor 163 CC t/a The League of Gentlemen and Another