Update on Retirement Fund Collective Agreement – Labour Appeal Court Dispute
The SALGBC has received tentative court dates for hearing the appeal on the Retirement Fund Collective Agreement (RFCA) in the Labour Appeal Court (LAC).
The matter is expected to be heard in the period between 30 January 2025 and 30 March 2025.
This comes after the RFCA was set aside by the High Court on 20 February 2023. Clause 8 of the RFCA was, however, not set aside.
This clause protects the right of fund members to receive an employer contribution rate of 18%. Higher contribution rates (higher than 18%) are also protected and new employees must join accredited defined contribution funds.
IMATU concluded the RFCA together with the SALGBC parties on 15 September 2021 to be implemented on 1 July 2022.
The purpose of the RFCA was, inter alia, to allow for freedom of association (the freedom to transfer to other retirement funds), protection of contribution rates and a process to accredit retirement funds.
IMATU and the other SALGBC parties have lodged an application to appeal the High Court judgement.
The MEPF lodged a cross-appeal arguing that clause 8 of the RFCA should also have been set aside.
The LAC will therefore have to decide both the SALGBC’s appeal as well as the cross-appeal of the MEPF.
Further feedback will be provided after the appeal hearing, which is expected to be heard between 30 January 2025 and 30 March 2025, has taken place.