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Employment Equity – proposed Amendment Bill

The Bill is in its final stage of promulgation as it has been sent to the President for signing with no indication as to when it will be signed. All current employment equity plans will expire by September 2022 to ensure that all new plans align with the new five-year targets set by the Employment and Labour Minister.

Major changes include but is not limited to:

CurrentAmended
 An employer that employs fewer than 50 employees (small businesses), but has a total annual turnover that is equal to or above the applicable annual turnover contained in Schedule 4 of the Act, is deemed to be a designated employer. The inclusion of small businesses, regardless of their turnover, has been removed. 

An Employer who employ 50 or more employees is deemed to be a designated employer.   
Numerical targets across all sectors using the EAP (Economic Active Population)












The Minister may identify national economic sectors, which in terms of the Bill are defined as “an industry or service or part of any industry”. 

For any economic sector that has been identified, the Minster may set numerical targets to ensure equitable representation of suitably qualified people from designated groups at all occupational levels in the workplace. 

This means that existing EE Plans will fall away and a new Plan must be drafted, such plans to be aligned with the numerical targets as set by the Minister.   
 A employer (designated or non-designated) offer to conclude an agreement with an organ of stage, must comply with Chapter II and Chapter III of the Act (Prohibition of Unfair Discrimination and Affirmative Action).A designated employer to set its numerical targets in accordance with the applicable sectoral targets determined by the Minister as
a prerequisite for a compliance certificate to permit contracting with the state. 

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