BUILDING TRUST AFTER CONFLICT OR ORGANISATIONAL CHANGE
Written by Laurence Moeti
Picture a busy establishment with six stylists, two assistants and a front desk coordinator. For years, the owner, Thandi, ran it on goodwill. Then trade slowed. Over one weekend she changed the shift roster, announced a new commission structure on the staff WhatsApp group, and moved her best-known stylist, Lerato, from the front chairs to the back.
Lerato objected in front of clients. Words were exchanged. Within a month, she had resigned, two regular clients had followed her, and the remaining team hardly spoke to one another or to Thandi.
This is an illustrative scenario, not a real case. Nothing in it is unusual. Change and conflict are part of running any establishment. What decides whether the establishment recovers is how change is communicated and how trust is rebuilt afterwards.
Why trust is the real asset in an establishment
An establishment runs on relationships: between stylists and clients and between colleagues who share the same floor, products and appointment book all day. In a small team working in close quarters, tension is visible to clients within hours.
When staff stop trusting the owner’s decisions, they disengage, gossip, or leave, sometimes taking clients with them. Trust is therefore not a “soft” issue. It affects bookings, retention and income.
The law supports this. Section 23(1) of the Constitution guarantees everyone the right to fair labour practices, and the Labour Relations Act 66 of 1995 (LRA) gives that right practical content, particularly when change affects people’s jobs.
What the law expects when things change
Three kinds of change are common in establishments, and each carries its own legal duties.
Restructuring that could lead to job losses
If an owner contemplates dismissing one or more employees because of the establishment’s operational requirements (such as slow trade, the closure of a branch or the removal of a chair), section 189 of the LRA requires consultation before any decision is made. The process must be a “meaningful joint consensus-seeking process”. The parties must try to agree on:
ways to avoid the dismissals;
ways to reduce the number of dismissals and change their timing;
ways to soften the impact on affected employees;
the criteria for selecting who is affected; and
severance pay.
The employer starts with a written notice that discloses all relevant information, including the possibility of future re-employment. The employer must give employees a real opportunity to make representations, consider them, and respond with reasons if the employer disagrees. If the representations are in writing, the response must be in writing too.
Consultation is not the same as bargaining, and the final decision remains the owner’s. But it must be a genuine attempt to find solutions, not an announcement of a decision already made. Where employees are dismissed, severance pay of at least one week’s remuneration for every completed year of service is due under section 41 of the Basic Conditions of Employment Act 75 of 1997.
Selling or transferring an establishment
When an establishment is sold or transferred as a going concern, section 197 of the LRA moves the employees across automatically. The new owner takes over their contracts on terms that are no less favourable than before.
A new owner cannot simply choose which employees to keep. In Njokweni v MTN (2023), as reported in legal commentary, the Labour Court confirmed that section 197 applies automatically and that employees cannot be cherry-picked. Dismissing someone for a reason related to a transfer is automatically unfair in terms of section 187(1)(g).
Staff who hear about a sale through rumour will assume the worst. Both the outgoing and incoming owners should therefore communicate early and clearly.
Changes to rosters, pay structures or duties
Changing terms and conditions of employment generally requires the employee’s agreement. Many establishments in the Hairdressing, Cosmetology, Beauty and Skincare Industry are also covered by the Main Collective Agreement of the National Bargaining Council for the Hairdressing, Cosmetology, Beauty and Skincare Industry, which has been extended to certain employers and employees who are not party to it. Owners should confirm which agreement and area apply to them before changing anything.
A word on the Code of Good Practice Dismissal
The Code of Good Practice Dismissal came into effect on 4 September 2025. It replaced the old Schedule 8 code and the separate retrenchment code with one document. It treats dismissal as a last resort, expects consultation where operational reasons are involved, and allows small employers flexibility in applying procedures.
That flexibility may assist smaller establishments, which are common in the sector. However, “less formal” does not mean “no conversation”. The process must still be fair, consistent and clearly communicated.
Rebuilding trust: a practical approach
Trust returns through consistent behaviour over time, not through one good speech. The following steps are based on good practice and the principles outlined above:
Acknowledge what happened. Meet privately with the team and, where relevant, the affected individual. Name the problem and its impact without assigning blame in front of others.
Explain the “why”. Share the operational reasons in plain language. Staff cope with hard news far better than with silence.
Listen, respond, and keep notes. Invite questions and proposals, answer them honestly, and keep a short written record. This mirrors the discipline of section 189 even where no retrenchment is planned.
Agree on ground rules. Decide how client disputes are handled, which topics are discussed face to face rather than on a group chat, and who is responsible for which decisions.
Put agreements in writing. Give each employee a signed copy of any revised roster, commission structure, or duties, after checking them against the applicable collective agreement.
Bring in a neutral person if tension is high. This could be a mediator, a representative of an employers’ organisation or trade union, or the bargaining council.
Follow through and check in. Hold short, regular check-ins, for example, after 30, 60 and 90 days, and act on what you hear. Promises that are not kept do more damage than no promise at all.
If a dispute escalates and the applicable bargaining council agreement covers both the establishment and the dispute, the matter may be referred to the relevant bargaining council in terms of its collective agreement. Owners and employees should know that route before they need it.
Back to the establishment
Returning to the illustrative scenario, Thandi cannot undo Lerato’s resignation, but she can change what happens next. Before the roster change, she could have called a team meeting, shown the trading figures, invited ideas about commission, and put the revised terms in writing.
After the fact, she can still call the remaining team together, acknowledge that the changes were announced abruptly, hold short weekly check-ins, and agree on simple rules for sharing clients. Over time, consistent behaviour will achieve what no single apology can.
Key takeaways
Conflict and change are inevitable in an establishment. Silence and surprise are what turn them into crises.
Where jobs are at risk, consult genuinely and in writing in terms of section 189. Where an establishment is sold, section 197 protects employees.
Smaller establishments may use more flexible procedures under the 2025 Dismissal Code, but fairness and clear communication still apply.
Rebuild trust by acknowledging, explaining, listening, writing agreements down and following through.
This article offers general information and is not legal advice. Establishments with a specific matter should consult their employers’ organisation, the bargaining council or a labour law practitioner.
