Gauteng Gambling Board loses court battle over unpaid allowance

The Gauteng Gambling Board (GGB) suffered a legal defeat in the Labour Court in Johannesburg after failing to pay senior legal manager Lucky Lukhwareni his acting allowance as Acting Chief Operations Officer (ACOO).

Declaring the board’s application without merit, the court mandated that the GGB pay Lukhwareni’s legal fees.

The dispute comes from Lukhwareni’s appointment as ACOO in June 2021, during a period of administration under former MEC Parks Tau.

Under the GGB’s acting allowance policy, Lukhwareni was entitled to a R25,000 monthly allowance. However, after placing him on precautionary suspension with full pay in January 2023, the GGB stopped the allowance from February to July 2023, bringing the total due to him at R150 000.

Unfair labour practice

Judge Reynaud Daniels upheld the CCMA’s ruling that the GGB committed an unfair labour practice. “The arbitration award falls within the bounds of reasonableness,” Daniels said, dismissing the GGB’s arguments.

The GGB claimed Lukhwareni’s appointment was unlawful, arguing only the CEO could appoint an ACOO.

Company secretary Thapelo Bodila testified: “The appointment of the first respondent [Lukhwareni] was unlawful because he was not appointed by the CEO.”

Bodila further argued that Lukhwareni’s suspension ended his acting role.

“In cases of absence from duty by the acting employee, the payment of an acting allowance must be terminated with immediate effect,” he said, quoting a policy clause.

Daniels rejected these claims, stating that the Gauteng Gambling Act allows the board and its administrator to appoint staff. The GGB’s policy also required written termination of acting appointments, which was not issued until August 2023.

“The GBB was fully aware of the terms of its Acting Policy, and fairness required that it abide by its own policies,” Daniels stated.

The judge criticised the GGB for wasting court resources on a frivolous matter, emphasising that such disputes squander valuable time.

“The application is dismissed, and the applicant is ordered to pay the first respondent’s costs.”
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