The CCMA is free to use. Losing there is not. What one badly handled dismissal can cost.
Referring a dispute to the CCMA costs the employee nothing. For the employer, a dismissal found to be unfair can be very expensive.
Compensation: for an unfair dismissal, an arbitrator may award up to 12 months' remuneration. For an automatically unfair dismissal, for example one linked to pregnancy, union membership or discrimination, it can be up to 24 months. For an employee earning R25 000 a month, that is up to R300 000, or R600 000.
The hidden costs: management time preparing and attending hearings, legal advice, a possible arbitration fee if the dismissal is found to be procedurally unfair, the cost of rehiring and retraining, and the effect on team morale.
Reinstatement: the primary remedy is reinstatement, often with back pay, which can be even more costly than compensation.
How to avoid the bill: a dismissal must be for a fair reason and follow a fair procedure. Since 4 September 2025 the Code of Good Practice: Dismissal sets out the guidelines, replacing the old Schedule 8 code. Make sure your disciplinary code reflects it, that managers investigate before charging, and that every step is documented.
Many dismissal disputes are won or lost on procedure. Getting it right before the hearing is far cheaper than defending it afterwards.
This article is general information, not legal advice for your specific situation. Speak to a MetaCo consultant about your organisation.