Security barriers manufacturer Trellidor has lost a legal labour battle dating back to 2013, and now has to pay the piper.
It said yesterday that it had lost leave to appeal a Labour Appeal Court decision by the Constitutional Court’s order.
“Shareholders are referred to the Company’s SENS announcement dated March 7, 2022 regarding the Labour Appeal Court’s judgment, dismissing the company’s appeal against an April, 2020 Labour Court judgment in terms of which the company had been ordered to reinstate 42 employees of 123 which were dismissed in 2013, and to make certain limited backpay payments to these employees were calculated from January 1, 2017,” it said.
However, the board last month had detailed a provision of R32.1 million for the full financial impact of the Labour Court judgment, including the limited backpay; current wage costs; restructuring costs and legal costs thereof, in its financial results for the year ended June 30, 2022.
For the year to end-June, Trellidor reported a 99% decline in its headline earnings per share to 0.4c per share – from 40.8c in the previous year, knocked by high steel and aluminium prices.
The company said it would now engage with the relevant labour union on the implementation of the Labour Court judgment.
BUSINESS REPORT