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Labour Relations Act, 1995 (Act No. 66 of 1995)


Motor Industry Bargaining Council  (MIBCO)

Main Collective Agreement

Division A : Provisions Applicable to all Establishments in the Industry

Clause 5 : Leave

5.1 Annual Leave and Accrued Leave Pay

(10) Leave pay on closing of establishment once a year


(a) In the case of establishments registered under Chapters II, III, IV and Chapter V of Division C of this Agreement an employer may at any time, but not more than once in any period of 12 consecutive months, close his establishment for purposes of granting his employees paid leave as prescribed in this clause, and where at the date of closing of the establishment any employee is not entitled to the full prescribed period of paid annual leave, the employer shall pay him an amount on the basis laid down in subclause (9) of this clause as if his employment had terminated, plus remuneration in respect of any paid public holidays which fall during the period the establishment is closed and which are required to be added to an employee's annual leave in terms of Clause 5.1(5) of this Division at a rate of not less than he would normally have received for his ordinary working hours for that day of the week:


Provided that in respect of establishments registered under Chapters II, III and V of Division C of this Agreement, maintenance staff may, subject to the provisions of subclause (6)(e) of this clause, be required or permitted to work during the period the establishment is closed in terms of this subclause.


(b) For the purpose of this clause, 'maintenance staff' shall mean employees engaged in the maintenance, overhauling or repairing of machinery, equipment or plant.


(c) An employer who decides to close his establishment in terms of this subclause shall advise his employees of his decision at least three months before such closing.