Resignation or Dismissal? The question of whether an employee resigned or was dismissed is a frequent point of contention at the CCMA. In many cases, the employee insists they were dismissed, while the employer maintains that they resigned voluntarily. The difficulty in distinguishing between the two can lead to significant disputes, making it crucial for employers to handle such situations with care. A recent case, De Gruchy v Vissery (2025) 1 BALR 15 CCMA, once again put this issue in the spotlight, illustrating how seemingly minor incidents can escalate into complex legal battles.

The applicant was employed as a cook on one of the respondent’s vessels for two months. A dispute arose when he had an altercation with the captain regarding the quality of food he served the officers. The ship’s logbook documented the incident as follows:

“After going the entire day without food, he (the cook) entered the bridge carrying two plates, each with two patties. The skipper was extremely unhappy and shouted at him, asking whether he thought this was acceptable. The cook responded, ‘Hey, listen. I am doing you a favour by being here. There are many hotels that need me.’ Following this, the skipper turned the vessel around and returned to the harbour. The cook was permitted to remain on board, and the skipper arranged transport back to Cape Town, as the cook had expressed his desire to return to hotel work. He thanked the skipper for taking him back.”

In the next section of the logbook, under “Amount of fine imposed,” it was recorded: “He was asked by the skipper to leave the boat.”

This documentation became a critical piece of evidence in determining the true nature of the applicant’s departure.

The applicant claimed he had been dismissed, whereas the respondent contended that he had resigned. The distinction between resignation and dismissal is crucial, as it affects the employee’s rights, including potential claims for unfair dismissal.

Upon reviewing the evidence, the Commissioner determined that the applicant had, in fact, been dismissed. There was no formal resignation tendered by the applicant. The CCMA found that the dismissal was due to two key factors:

• The deteriorating relationship between the captain and the applicant.
• The applicant’s failure to follow the captain’s instructions.

While the Commissioner ruled that the dismissal was substantively fair, it was deemed procedurally unfair. This means that although the employer had valid reasons for terminating employment, the manner in which the dismissal was carried out did not comply with proper procedural standards. As a result, the applicant was awarded R40 000.00 in compensation, highlighting the importance of following due process in dismissals.

This case underscores the importance of properly handling potential resignations to prevent disputes. Employers should take the following steps in similar situations:

• Confirm that the employee is indeed resigning and ensure that the decision is voluntary.
• Request a written resignation, ideally in the presence of a witness, to avoid later disputes.
• Provide written confirmation of the resignation, outlining the notice period and last working day to create a clear record of events.
• Conduct an exit interview to document any final discussions and obtain the employees’ acknowledgement of their resignation.
• Avoid reacting emotionally to workplace conflicts, as impulsive decisions can lead to legal complications.
• Train managers and supervisors on proper dismissal and resignation procedures to mitigate the risk of legal disputes.

Verbal resignations should be avoided whenever possible. If an employee cannot submit a written resignation, ensure that witnesses are present to verify the resignation should a dispute arise. Employers who fail to follow these precautions may find themselves embroiled in costly and time-consuming legal battles. Proper documentation and adherence to fair procedures can protect both employers and employees, ensuring smoother transitions and minimising conflict in the workplace.

Written by Ruaan Heunis, Provincial Manager at Consolidated Employers Organisation (CEO SA)