Tag: regulation

Contract-Cleaning News

Contract Cleaning Sector Minimum Wages 2018

From the 1st of January 2018, the minimum wages for workers in the Contract Cleaning Sector will be increased, this increase is only valid until the 30th of November 2018, likely in order to allow the Minimum Wage Act to replace the wage table. Additionally it must be noted that Area B will receive two increases, one on the 1st of January and the second on the 28th of February 2018 in order to comply with collective agreements applicable to that region.

Given the current proliferation of trade unions within the Contract Cleaning Sector it is also likely that individual business may be required, by virtue of collective agreements of their clients being extended, to pay higher minimum wages than those listed in the Sectoral Determination 1.

Read more “Contract Cleaning Sector Minimum Wages 2018”

Minimum-Wage News

National Minimum Wage Legislation gets a nod from Cabinet

Cabinet has approved the draft legislation to implement a National Minimum Wage for South Africa. At present the new proposed National Minimum Wage is set at R 20.00 per hour, which translates to approximately R 3 900.00 per month. For a comparison, the current Minimum Wage for a Domestic Worker is around R 12.42 per hour or R 2 421.90 per month.

While it is unclear what the exemptions would be, working on the assumption that all Sectoral Minimum Wages will have to be increased, this legislation holds the potential to increase unemployment even more. Currently South Africa has an unemployment rate of 27.7% for the third quarter of 2017 and in what is likely to be a repeat of the Farm Workers Minimum Wage which saw a 0.8% increase in unemployment when it was implemented in 2013 over a period which historically shows a decrease in unemployment. Read more “National Minimum Wage Legislation gets a nod from Cabinet”

WhoIsEmployee Article

When is an Independent Contractor actually an Employee?

Given the tough economic climate and the relatively high cost of employment, workforce flexibility becomes one of the most important considerations for any business. This is actively hampered by restrictive legislation which regulates Fixed-term and Temporary Employment and effectively makes it impossible for an employer to structure its’ business to make use of this form of employment.

An emerging trend has been the use of independent contractors, however this is not as simple as it seems. Section 200A of the Labour Relations Act (Act 66 of 1995), Assumption as to who is an Employee, sought to answer this question to a certain extent, and when read along with the Code of Good Practice, seems to favor a combination of tests, including the Read more “When is an Independent Contractor actually an Employee?”

LabourPosters Article

Employment Posters

We are regularly asked which posters must be displayed at the workplace of our clients and for that reason and are then asked if our clients should also buy a list of posters which are available at the local stationary store.

Regardless of what your local stationer may say, there are only two (2) summary posters which you are required to display at the workplace for most businesses, however, as with all aspects of South African labour legislation, it is not merely that simple.

1. Summary of the Basic Conditions of Employment Act

The Basic Conditions of Employment Act (Act 75 of 1997 as amended) at Section 30 requires all employers to display the employee’s rights at a workplace in the prescribed form and in the official language(s) spoken by employees. This poster is ordinarily in an A2 format and is available from government printers, Hortor’s and various other sources. Read more “Employment Posters”

HospitalityWorkers News

Hospitality Sector Minimum Wages 2017/18

From the 1st of July 2017, the minimum wages for the Hospitality Sector will be increased, are you ready?

The Department of Labour has listed the Hospitality Sector as a sector employing vulnerable workers, meaning that a larger interest is given on regulating their hours of work and minimum wages.

Another important consideration here is that due to the nature of work in this sector, employees are often paid low “Basic” wages with the addition of commission.  Read more “Hospitality Sector Minimum Wages 2017/18”

DomesticWorker News

Domestic Workers Minimum Wages 2016/17

From the 1st of December 2016, the minimum wages for domestic workers will be increased, are you ready?

What is the minimum wage for domestic workers?

Every year we hear about minimum wages and the yearly increase. Do not be in the dark 2015/2016, let us explain it to you!

Who is covered by the Sectoral Determination for Domestic Workers?

  • Housekeepers
  • Gardeners
  • Nannies
  • Domestic Drivers

They all are covered by the Sectoral Determination for Domestic Workers, except in the event that they fall under a bargaining council or another Sectoral Determination.

An example of where an employee will fall under Sectoral Determination is a gardener at the office or a cleaner at the factory. Read more “Domestic Workers Minimum Wages 2016/17”

Contract Article

Are Temporary Contracts Dead

Following the promulgation of The Labour Relations Amendment Act (Act 6 of 2014) on the 1st of January 2015, various changes occurred within the framework of the Labour Relations Act (Act 66 of 1995, as amended) of which some impact om temporary wokrers. While many of these amendments became effective immediately on the 1st of January, some of the sections only became active on the 1st of April 2015 [Section 198B(8(b)].

Among these latter amendments were the new regulations surrounding Temporary Contracts of Employment. Specifically the new Sections 198B and 198D govern the manner in which these contracts should be dealt with.

The biggest concern for business has been the much publicized limitation of fixed term contracts to a period of only three (3) months [Section 198B(3)] and the manner in which a fixed term contract that has lasted for more than three (3) months would be deemed to be of an indefinite nature (Permanent) [Section 198B(5)]. Read more “Are Temporary Contracts Dead”