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LABOUR DISPUTE
SETTLEMENT/RESOLUTION
A labour dispute is a disagreement
between an employer and an employee with
regard to terms of employment (labour
matters).
*The term labour matters was emphasized
in the case of Nyota Tanzania Limited v.
Onesmus .D. Onyango & Another Civil
Appeal No.224 of 2018, HC, DSM
(Unreported):-
The Court held that:- Section 4 of the
Employment and Labour Relations Act
defines the term labour matter to mean any
matter relating to employment or labour
relations.
*Disputes are therefore part and parcel of
human nature and always manifest
everywhere including in the employment
arena.Mi CATEGORIES OF LABOUR DISPUTES IN
TANZANIA
+ A labour dispute is generally divided into
two types:-(Section 4 of the Employment
and Labour Relations Act)
(i) Dispute of Interest.
(ii) Dispute of right (complaint)
1. DISPUTE OF INTEREST
‘This is any other dispute which is not a
complaint or (dispute of right). In other
words, all other disputes are not concerned
with the application, interpretation, or
implementation of an agreement or
contract of employment and the
Employment and Labour Relations Act or
any other law administered by the minister
for labour.
EXAMPLES:-
Disputes involving salary increases and
disputes concerning increases or
decreases in working hours.2. DISPUTE OF RIGHT (COMPLAINT)
*This is any dispute which involves the
interpretation, application, or
implementation of an agreement or
contract with an employee and the
Employment and Labour Relations Act or
any other law administered by the minister
for labour.
+ EXAMPLES:-
Failure by the employer to pay the
salary(remuneration) to an employee, a
dispute involving refusal or failure to
implement what has been agreed in the
contract of employment.8 LAWS GOVERNING LABOUR DISPUTE
RESOLUTION IN TANZANIA
1. The Employment and Labour Relations
Act [CAP 366 R.E 2019] (ELRA)
2. The Labour Institutions Act [CAP 300 R.E
2019] (LIA)
3. The Labour Court Rules, 2007 (GN No.
106 of 2007).
4. The Employment and Labour Relations
(Mediation and Arbitration Guidelines) Rules
GN No.67 of 2007.
3° INSTITUTIONS RESPONSIBLE FOR
HANDLING/RESOLVING LABOUR DISPUTES
IN TANZANIA
-There are three(3) major institutions:-
Court of Appeal of the United Republic of
Tanzania
The Labour Court (The High Court Labour
Division)
The Commission for Mediation and
Arbitration (CMA)ge PROCEDURES INVOLVED IN RESOLVING
LABOUR DISPUTES IN TANZANIA 2
1. Mediation
2. Arbitration
3. Adjudication
Mi MEDIATION
= Is a process in which a person
independent of the parties is appointed as
mediator and attempts to assist them to
resolve a dispute and may meet with the
parties either jointly or separately, and
through discussion and facilitation, attempt
to help the parties settle their dispute.
OR
« Mediation is defined to mean ‘a method
of nonbinding dispute resolution involving a
neutral party known as the mediator who
tries to help the disputing parties reach
mutually agreeable solution. (According to
Black’s Law dictionary, 8th Edition)m@ THE MANDATORY REQUIREMENT OF
REFERRING THE DISPUTE FOR MEDIATION
BEFORE ARBITRATION AND ADJUDICATION
= It is the mandatory requirement of the
law that all labour disputes mustfirsty be
referred for mediation before embarkingon
other procedures. This position was
emphasized in the case of :-
gq
V Hector Sequeiraa v. Serengeti Breweries
Ltd, High Court of Tanzania, Labour Division
Labour Complaint No. 20 of 2009:- the
complaint was thrown out in 2011 by High
Court Labour Division, on technicalities. The
Court ordered the case to undergo
mediation first at the CMA.= "Mediation of a dispute is mandatory
before referring the same to arbitration”.
Cable Television Network (CTV) Ltd v.
Athumani Kuwinga & others, Labour
Revision No. 94 of 2009, HC, LD, DSM
(unreported) at p. 5.
= Reference should also be made to the
wording of Section 86 & Section 88 of the
Employment and Labour Relations Act and
Rule 3 of The Employment and Labour
Relations (Mediation and Arbitration
Guidelines) Rules GN No.67 of 2007.m@ REQUIREMENT OF CMA FORM No.1 &
CMA FORM No.7
= It is the requirement of the law that all
labour disputes which are to be referred for
mediation must be referred through CMA
form no.1.
= While CMA form no.7 is applicable only
where the dispute is to be referred for
mediation out of time.
= It must be kept in mind that disputes are
to be referred for mediation within 30 days
of the happening of the dispute.Mi TIME LIMIT FOR RESOLVING THE
DISPUTE THROUGH MEDIATION
= The mediator will have 30 days to
resolve the dispute through mediation.
However subject to a written agreement by
the parties to the dispute, the time may be
extended.
(Refer to Section 86(4) of the ELRA)
Mi MEDIATION SETTLEMENT AGREEMENT
AND IT IS BINDINGNESS
= After the dispute has been successfully
resolved through the mediation process,
then the mediator will be required to issue a
mediation settlement.
= The decision reached by the parties
must be reduced into writing and signed by
all the parties, becoming binding and may
be executed as a decree in the Labour
Court. (Refer Section 89(1), (2) of the ELRA.)ARBITRATION
« Arbitration is a procedure of resolving
disputes whereby the parties’ dispute is
submitted to one or more arbitrators who
make a binding decision on the dispute
upon receiving evidence from each party.
= Steadman defines arbitration as a
process in which an independent third party
hears the parties' respective cases,
determines the dispute between them, and
issues an ‘award’ or ‘decision.’ The award
or decision is typically final and binding,
subject to review or revision but not to
appeal. (Steadman, F., Handbook on
Alternative Labour Dispute Resolution
Geneva: ILO, 2017, pp.2122. 319)MB TYPES OF ARBITRATION
1. Compulsory Arbitration:- the mediator is
appointed by the CMA after the dispute has
been referred to arbitration by the parties.
2. Voluntary Arbitration:-the parties to a
labour dispute select or choose the
mediator of their choice.
NB:- Arbitration cannot be effected unless
there is proof of failure of mediation. In the
case of Katavi and Kapufi Limited and
another v. Emmanuel Dotto Ibrahim and 8
others Labour Revision No. 04 of 2020, HC,
LD, Sumbawanga (unreported) at p. 46. the
Court ruled that it is a spirit of the labour
laws that once mediation fails, the dispute
is referred to the stage of arbitration.
8¢(See also Section 88 of the ELRA and
Rule 19-28 of the Labour Institutions
(Mediation and Arbitration) Rules, 2007
(G.N. No. 64 of 2007).= In the same vein, the law directs that
within 30 days of the conclusion of the
arbitration proceedings, the arbitrator is
obliged to issue a signed award with
reasons thereof.
@ An arbitration award is binding on the
parties to the dispute and the same may be
executed in the Labour Court as if it were a
decree of a court of law. (See Section 89 of
the ELRA and Rule 18(3), (4).
ADJUDICATION (See Section 94 of the
ELRA, Section 51 of the Labour Institutions
Act, and Rule 6 of the Labour Court Rules
GN No.106 of 2007.
= Is a formal process that takes place in
the context of courts of law as opposed to
quasi-judicial bodies; it is a process
whereby the Judge adjudicates the matter
and then determines the dispute between
the parties.
@ Here, the Judge decides who is right or
wrong based on the evidence placed
before him and issues an outcome in the
form of a judgment.@ It is important to note that adjudication
is carried out by the Labour Court and
Court of Appeal.
= However, the Labour Court has the
discretion to refuse to hear a complaint if,
among others, the complaint has not been
referred to mediation by the CMA. (Refer to
the case of Hector)
@ Labour Court Form No.1is used to refer
to a labour dispute in the Labour Court.
(Rule 6 of the Labour Court Rules GN No.
106 of 2007.
lB APPEALS FROM THE LABOUR COURT TO
THE COURT OF APPEAL
m With regard to the Court of Appeal, the
law stipulates that any party to the
proceedings in the Labour Court may
appeal against the decision of the Labour
Court to the Court of Appeal of Tanzania on
a point of law only as per Section 57 of the
Appellate Jurisdiction Act, Cap. 141 and
Court of Appeal Rules, 2009 (G.N. No. 368
of 2009).NOTE:- APPEALS, REVIEW, REVISION ANS
SETTING ASIDE OF THE ARBITRATION
AWARD
@ Any party to a labour dispute may make
an application before the labour court to
set aside any arbitration award from the
CMA (See Section 94(1) of the ELRA)
© Edited 15:53