APPLICATION OF AUDI ALTERAM PARTEM RULE ON SALARY DEDUCTION & BENEFITS

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Abstract

In the case of Public Servants Association obo Olufunmilayi Itunu Ubogu v Head of Department of Health, Gauteng and Others (2018) the Constitutional Court found that the provisions of the Public Service Act of 1994 which empowered the state to unilaterally deduct moneys that was onerously paid to the salaries of employees was unconstitutional. The state was empowered by section 38(2)(b)(i) of the Public Services Act of 1994 which does not require a consent of employees as and when the employer is deducting some money from the salary of the employee. The Constitutional Court held that section 38(2)(b)(i) gives the state unrestrained power to determine instalment without an agreement with an employee. The court also found that section 38(2)(b)(i) permits the state takes law into its own hands and become a judge of its own case. On this basis, this section did not pass constitutional muster.
This article will critically analyse the decision in Public Servants Association obo Olufunmilayi Itunu Ubogu v Head of Department of Health, Gauteng and Others in view of the application and interpretation of the principle audi alteram partem rule on salary deduction and benefits of public servants.

Keywords: Remuneration, Salary Deduction, Benefits, Section 38(2)(b)(i), Audi Alteram Partem Rule, Consent, Employee, Chief Executive Officer, Public Servants, Administrative Action

JEL Classification: H83, J3, K4, G28

Received: 20.09.2018
Accepted: 09.11.2018
Published online: 23.11.2018

How to cite this paper: Choma, H., & Kgarabjang, T. (2018). Application of audi alteram partem rule on salary deduction & benefits. Risk Governance and Control: Financial Markets & Institutions, 8(3), 61-69. https://doi.org/10.22495/rgcv8i3p4