New Code of Good Practice: Dismissal & Incompatibility

South African labor law has traditionally grouped dismissals into three categories: Misconduct, Incapacity, and Operational Requirements (Retrenchment). A new Code of Good Practice: Dismissal is set to formalize a fourth nuanced category: Incompatibility.

What is Incompatibility?

Incompatibility refers to a breakdown in the working relationship where an employee simply cannot get along with colleagues or fit into the improved corporate culture, causing disharmony. It is not necessarily "misconduct" (breaking a rule) or "incapacity" (inability to do the job).

Procedural Fairness

Employers cannot simply fire someone for being "difficult." The new Code emphasizes a remedial process: counseling, attempts to resolve the friction, and exploring alternatives before dismissal is considered. Werner Bornman notes, "This is a complex area. Employers must tread carefully to avoid unfair dismissal claims based on personality clashes."