In South Africa’s evolving labour landscape, the line between freedom of expression and reputational harm is becoming increasingly significant – particularly when workplace disputes spill onto social media. Defamation, whether aimed at employers or employees, can have serious legal and professional consequences. For employers, this means taking proactive steps to protect their brand. For employees, this means curtailing their freedom of expression to an extent that it does not defame their current or previous employers. A recent High Court decision offers valuable insight into how the judiciary is handling these conflicts – and what employers should keep in mind when reputational damage threatens business integrity.
Case Analysis – Liberty Group v Chonco and Another [2025]
In this case, the first respondent, formerly a branch manager at Liberty Group, and the second respondent, a contracted financial advisor, were both dismissed through separate disciplinary processes. The first respondent was found guilty of misconduct following a forensic investigation and arbitration, while the second respondent’s contract was terminated. During the first respondent’s suspension and after the second respondent’s dismissal, both individuals allegedly posted defamatory content on social media targeting Liberty Group, its staff, and its shareholder, Standard Bank Group. Their posts included serious accusations such as corruption, human rights abuses, and unlawful dismissals. Additionally, the second respondent accused a regional executive of sexual misconduct and corruption.
According to the Court, although the respondents had the right to raise issues related to unfair labour practices, serious allegations of this nature should have been addressed through appropriate legal channels such as the CCMA or Labour Court. By choosing to express their complaints on social media instead, they weakened the credibility of their claims. Even if some elements were based on fact, the language used was excessively offensive and went beyond what could reasonably relate to labour disputes. The respondents failed to demonstrate that their statements were true, served the public interest, or constituted fair comment. Accordingly, the respondents were legally prohibited from making or publishing any false or defamatory statements about Liberty Group, its employees, or Standard Bank, for that matter. The respondents were also barred from harassing the applicant’s employees and were ordered to remove all their related social media posts and comments that they had made.
How Employers Should Deal with Defamation
When reputational harm arises, especially online, employers must act swiftly and strategically. Defamation can damage trust, brand value, and employee morale if left unchecked. Here are essential steps to follow:
- Conduct an Internal Assessment
Assess the accuracy of the statements and their potential impact. Consult with HR, legal, and communications teams to determine whether the matter requires external legal intervention.
- Engage the Alleged Offender
In some cases, especially if the individual is a current or recently dismissed employee, it may be appropriate to address the issue internally first, seeking a retraction or clarification before escalating legally.
- Issue a Formal Demand
Where necessary, issue a demand requiring the immediate removal of defamatory content and a public retraction. This step demonstrates seriousness and can prompt compliance without litigation.
- Communicate Internally and Externally
If the matter gains public attention, prepare a carefully worded communication for staff and stakeholders to control misinformation and protect the company’s reputation.
- Review Your Contracts and Policies
Ensure employment contracts and social media policies include clear clauses on confidentiality and acceptable conduct. Prevention is always better than a cure.
Conclusion
In today’s hyper-connected world, reputational harm can spread quickly and have lasting effects on a business’s credibility, stakeholder trust, and internal culture. Employers cannot afford to let damaging and false statements, especially on public platforms, go unchallenged. Taking swift legal action not only helps restore your reputation but also sends a clear message. Employers should have clear policies in place, act quickly when issues arise, and use the appropriate legal avenues to protect their integrity and leadership.
