Incompatibility in the workplace is a recognised, but often misunderstood, concept in South African labour law. Unlike misconduct, it does not concern wrongdoing, but rather the impact of an employee’s conduct or interpersonal style on workplace relationships and operational efficiency. Although not expressly listed in the Labour Relations Act 66 of 1995 (LRA), incompatibility has developed through jurisprudence and is generally treated as a form of incapacity. The Code of Good Practice: Dismissal (2025) reflects a more flexible approach to dismissal for incapacity, within which incompatibility may arise as a relevant consideration.
Understanding Incompatibility
Incompatibility typically arises where workplace relationships have deteriorated to such an extent that it has a material and adverse impact on the employer’s operations. This may include ongoing conflict, breakdowns in communication, or an inability to work effectively within a team. Importantly, incompatibility is not established by mere personality differences or subjective perceptions. The focus is on whether the breakdown in the working relationship is serious, sustained, and detrimental to the functioning of the workplace.
A High Threshold for Dismissal
Dismissal for incompatibility is not easily justified. South African labour forums have consistently approached such cases with caution, recognising the potential for abuse. Employers are generally required to demonstrate:
- a genuine and significant breakdown in the employment relationship;
- objective evidence of the impact on workplace functioning; and
- that continued employment has become untenable in the operational context.
The emphasis is not simply on interpersonal friction, but on whether the employment relationship can reasonably be sustained.
Fairness and Employer Obligations
As with other forms of incapacity, employers are expected to adopt a corrective and progressive approach before considering dismissal. This typically includes:
- clearly identifying and communicating the concerns to the employee;
- engaging in counselling, mediation, or facilitated discussions;
- providing the employee with a reasonable opportunity to address the concerns; and
- considering reasonable alternatives to dismissal, where possible.
The process should be aimed at resolving the incompatibility, rather than prematurely terminating employment.
Guidance From the Code of Good Practice: Dismissal
The Code of Good Practice: Dismissal, introduces a more flexible approach to workplace discipline and incapacity. However, this flexibility does not diminish the requirement of fairness. In cases of incompatibility, this means that while formal procedures may not always be necessary or possible, the employer must still act reasonably, fairly, and in good faith. The principles of natural justice, including the right to be heard, remain central.
Conclusion
Incompatibility remains a complex and potentially contentious basis for dismissal. While it is recognised within South African labour law as a form of incapacity, it is subject to a high threshold and scrutiny. Employers should exercise caution when relying on incompatibility, ensuring that decisions are supported by objective evidence, preceded by meaningful intervention, and grounded in fairness. Absent these safeguards, dismissals based on incompatibility are unlikely to withstand scrutiny.
