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		<title>Basic Conditions of Employment Act: Leave Entitlement</title>
		<link>https://www.welmanattorneys.co.za/blog/bcea-leave-entitlement/</link>
		
		<dc:creator><![CDATA[Nadia Freeman]]></dc:creator>
		<pubDate>Mon, 21 Sep 2026 05:52:22 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[leave entitlement]]></category>
		<category><![CDATA[leave policy]]></category>
		<category><![CDATA[sick leave]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2378</guid>

					<description><![CDATA[<p>BCEA: Leave Entitlement &#8211; What Employers Must Provide  Leave is one of the most frequently mismanaged areas of South African employment law. Employers routinely miscalculate sick leave cycles, pay out annual leave incorrectly on termination, or deny family responsibility leave that employees are legally entitled to. Every one of these errors is a potential CCMA [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/bcea-leave-entitlement/">Basic Conditions of Employment Act: Leave Entitlement</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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										<content:encoded><![CDATA[		<div data-elementor-type="wp-post" data-elementor-id="2378" class="elementor elementor-2378">
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									<h2><strong>BCEA: Leave Entitlement &#8211; What Employers Must Provide </strong></h2><p><span style="color: black; text-align: justify; font-size: 1rem;">Leave is one of the most frequently mismanaged areas of South African employment law. Employers routinely miscalculate sick leave cycles, pay out annual leave incorrectly on termination, or deny family responsibility leave that employees are legally entitled to. Every one of these errors is a potential CCMA dispute. Chapter Three of the Basic Conditions of Employment Act sets out the BCEA leave entitlement in South Africa in precise terms, and this guide breaks it down in plain language. At Welman Attorneys Inc., we regularly advise employers on structuring leave policies that are both legally compliant and practically workable.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Annual Leave: Section 20</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Under Section 20 of the BCEA, every employee is entitled to a minimum of <b>21 consecutive days of paid annual leave (or 15 work days)</b> per annual leave cycle. An annual leave cycle is the 12-month period following the start of employment, or the completion of the previous cycle.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Two important rules apply. First, an employer must grant annual leave no later than six months after the end of the annual leave cycle. Leave cannot be carried over indefinitely or simply forfeited. Second, an employer may not require an employee to take annual leave during a notice period or during any other period of leave under the Act. Critically, an employer may not pay an employee in lieu of annual leave except upon termination of employment.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Sick Leave: Section 22</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">The BCEA leave entitlement for sick leave operates on a <b>36-month sick leave cycle</b>. During each cycle, an employee is entitled to paid sick leave equal to the number of days they would normally work in a six-week period. For an employee working a standard five-day week, this amounts to 30 days over three years.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">During the first six months of employment, the entitlement is more limited: one day of paid sick leave for every 26 days worked. This is the introductory period before the full cycle kicks in.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Under Section 23, an employer is not required to pay sick leave if an employee has been absent for more than two consecutive days, or on more than two occasions within an eight-week period, without producing a valid medical certificate. The certificate must be issued by a registered medical practitioner or other certified healthcare professional.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Family Responsibility Leave: Section 27</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Section 27 grants employees who have been employed for longer than four months and who work at least four days per week a minimum of <b>three days of paid family responsibility leave</b> per annual leave cycle. This leave may be taken when an employee&#8217;s child is sick, or upon the death of a spouse or life partner, a parent, grandparent, child, adopted child, grandchild, or sibling.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Employers are entitled to request reasonable proof of the event before granting this leave. It is worth noting that the birth of a child was removed as a qualifying event under the 2018 amendments to the Act, as it is now covered separately under the parental leave provisions introduced by Sections 25A, 25B, and 25C of the Basic Conditions of Employment Act.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Protecting Your Business</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">A compliant leave policy does more than satisfy the law. It creates clarity, reduces disputes, and protects the employer when leave abuse occurs. Disciplinary action for leave abuse is far easier to sustain when the policy is clearly documented and consistently applied. For more on managing leave abuse through disciplinary procedures, see the Welman Attorneys guide on [disciplinary hearing procedures](https://www.welmanattorneys.co.za/blog/disciplinary-hearing-procedures/).</span></p><p style="margin: 8.0pt 0cm 4.0pt 0cm;"><b><i><span lang="EN-US" style="color: black; mso-themecolor: text1;">Sources</span></i></b></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol; color: black; mso-themecolor: text1;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US" style="color: black; mso-themecolor: text1;">Basic Conditions of Employment Act 75 of 1997, Sections 20, 22, 23 and 27: <a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">Click Here</a></span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol; color: black; mso-themecolor: text1;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US" style="color: black; mso-themecolor: text1;">Consolidated BCEA updated to 1 May 2026 – SAFLII: <a href="https://www.saflii.org/za/legis/consol_act/bcoea1997309/" target="_blank" rel="noopener">Click Here</a></span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol; color: black; mso-themecolor: text1;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US" style="color: black; mso-themecolor: text1;">Disciplinary Hearing Procedures &#8211; Welman Attorneys Inc.: <a href="https://www.welmanattorneys.co.za/blog/disciplinary-hearing-procedures/" target="_blank" rel="noopener">Click Here</a></span></p>								</div>
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									<p><em>At Welman Attorneys Inc., our team reviews employment contracts and HR policies to ensure full compliance with the Basic Conditions of Employment Act. </em><em>Contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/bcea-leave-entitlement/">Basic Conditions of Employment Act: Leave Entitlement</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>Basic Conditions of Employment Act: Working Hours</title>
		<link>https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act-working-hours/</link>
		
		<dc:creator><![CDATA[Nadia Freeman]]></dc:creator>
		<pubDate>Mon, 07 Sep 2026 06:23:10 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[employer guide]]></category>
		<category><![CDATA[Employment Contracts]]></category>
		<category><![CDATA[overtime]]></category>
		<category><![CDATA[working hours]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2367</guid>

					<description><![CDATA[<p>BCEA: Working Hours and Overtime &#8211; A Plain Language Guide  One of the most common assumptions in South African workplaces is that a salaried employee can be required to work as many hours as the business demands. The Basic Conditions of Employment Act working hours provisions say otherwise. Chapter Two of the Act sets hard [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act-working-hours/">Basic Conditions of Employment Act: Working Hours</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
]]></description>
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									<h2><strong>BCEA: Working Hours and Overtime &#8211; A Plain Language Guide </strong></h2><p><span style="text-align: justify; font-size: 1rem;">One of the most common assumptions in South African workplaces is that a salaried employee can be required to work as many hours as the business demands. The Basic Conditions of Employment Act working hours provisions say otherwise. Chapter Two of the Act sets hard limits on ordinary hours, overtime, rest periods, and meal intervals, and ignorance of these limits does not protect an employer from a CCMA claim. At Welman Attorneys Inc., we regularly advise businesses that have been exposed to significant back-pay claims simply because their employment contracts did not reflect the law correctly.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%;">What the Act Says About Ordinary Working Hours</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Section 9 of the Basic Conditions of Employment Act sets the maximum ordinary hours of work at <b>45 hours per week</b>. How those hours are distributed across the week depends on how many days the employee works:</span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-align: justify; text-justify: inter-ideograph; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US">An employee working <b>five days or fewer</b> per week may not work more than <b>nine ordinary hours per day</b>.</span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-align: justify; text-justify: inter-ideograph; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US">An employee working <b>more than five days</b> per week may not work more than <b>eight ordinary hours per day</b>.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">It is important to note that Chapter Two does not apply to senior managerial employees, employees engaged as travelling sales staff who regulate their own hours, or employees who work fewer than 24 hours per month for an employer, as set out in Section 6(1) of the Act.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%;">Overtime: What the Law Requires</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Section 10 of the BCEA is clear: overtime may only be worked <b>by agreement</b> between the employer and the employee. An employer cannot simply instruct an employee to work overtime unilaterally. Once agreed, the limits are strict:</span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-align: justify; text-justify: inter-ideograph; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US">Overtime may not exceed <b>three hours on any single day</b>.</span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-align: justify; text-justify: inter-ideograph; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US">Overtime may not exceed <b>ten hours in any one week</b>.</span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-align: justify; text-justify: inter-ideograph; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">         </span></span><!--[endif]--><span lang="EN-US">Overtime must be paid at a rate of at least <b>one and a half times</b> the employee&#8217;s normal wage.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Instead of paying the 1.5x overtime rate, an employer and an employee who is subject to the BCEA overtime provisions may agree either (i) to pay the employee their ordinary hourly wage for the overtime worked and grant at least 30 minutes of paid time off for every hour of overtime worked, or (ii) to grant at least 90 minutes of paid time off for every hour of overtime without further cash payment. Such time off must be taken within one month of the entitlement arising, unless a written agreement extends the period to no more than 12 months.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%;">Rest Periods and Meal Intervals</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Section 14 requires that any employee who works continuously for more than five hours must be given a meal interval of at least <b>30 minutes</b>. This interval is ordinarily unpaid, unless the employee is required to work or remain available during it.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Section 15 sets out the mandatory rest periods. Every employee is entitled to a <b>daily rest period of at least 12 consecutive hours</b> between the end of one working day and the start of the next. In addition, every employee is entitled to a <b>weekly rest period of at least 36 consecutive hours</b>, which must include a Sunday unless otherwise agreed.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%;">Night Work and Getting Your Contracts Right</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Section 17 defines night work as any work performed after 18:00 and before 06:00. An employer may only require night work by agreement, and only if the employee receives a shift allowance or reduced working hours, and transport is available at the start and end of the shift.</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US">Every employment contract must reflect the Basic Conditions of Employment Act working hours provisions accurately. A contract that demands unlimited hours or fails to specify overtime arrangements is non-compliant from day one.</span></p><p style="margin: 8.0pt 0cm 4.0pt 0cm;"><b><i><span lang="EN-US">Sources</span></i></b></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">        </span></span><span lang="EN-US">Basic Conditions of Employment Act 75 of 1997, Sections 6, 9, 10, 14, 15 and 17: <a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">Click Here</a></span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">        </span></span><span lang="EN-US">Consolidated BCEA updated to 1 May 2026 &#8211; SAFLII: <a href="https://www.saflii.org/za/legis/consol_act/bcoea1997309/" target="_blank" rel="noopener">Click Here</a></span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">        </span></span><span lang="EN-US">Department of Employment and Labour &#8211; Working Hours: <a href="https://www.labour.gov.za/DocumentCenter/Acts/Basic%20Conditions%20of%20Employment" target="_blank" rel="noopener">Click Here</a></span></p><p style="margin-left: 18.0pt; mso-add-space: auto; text-indent: -18.0pt; mso-list: l0 level1 lfo1; tab-stops: list 18.0pt;"><!-- [if !supportLists]--><span lang="EN-US" style="font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;">·<span style="font-style: normal; font-variant: normal; font-size-adjust: none; font-language-override: normal; font-kerning: auto; font-optical-sizing: auto; font-feature-settings: normal; font-variation-settings: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: 'Times New Roman';">        </span></span><span lang="EN-US">Basic Conditions of Employment Act Glossary: <a href="https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act/" target="_blank" rel="noopener">Click Here</a> </span></p><ul><li style="list-style-type: none;"> </li></ul>								</div>
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									<p><em>At Welman Attorneys Inc., our team reviews employment contracts and HR policies to ensure full compliance with the Basic Conditions of Employment Act. </em><em>Contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<title>Constructive Dismissal in South Africa</title>
		<link>https://www.welmanattorneys.co.za/blog/what-is-a-constructive-dismissal-2/</link>
		
		<dc:creator><![CDATA[Nadia Freeman]]></dc:creator>
		<pubDate>Mon, 31 Aug 2026 07:50:14 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[CCMA]]></category>
		<category><![CDATA[Constructive Dismissal]]></category>
		<category><![CDATA[Labour Relations Act]]></category>
		<category><![CDATA[Unfair Dismissal]]></category>
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					<description><![CDATA[<p>Constructive Dismissal in South Africa: The 2026 Legal Test for Employers Constructive dismissal begins with an apparent contradiction: the employee resigns, yet may still claim to have been dismissed. Under section 186(1)(e) of the Labour Relations Act 66 of 1995 (LRA), that claim arises where the employer made continued employment intolerable. The legal question is [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/what-is-a-constructive-dismissal-2/">Constructive Dismissal in South Africa</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<h2><strong>Constructive Dismissal in South Africa: The 2026 Legal Test for Employers</strong></h2><p><span style="color: black; text-align: justify; font-size: 1rem;">Constructive dismissal begins with an apparent contradiction: the employee resigns, yet may still claim to have been dismissed. Under section 186(1)(e) of the Labour Relations Act 66 of 1995 (LRA), that claim arises where the employer made continued employment intolerable. The legal question is not whether a manager intended to force the employee out, but whether the employer’s conduct objectively crossed that high threshold. [1]</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">The Constitutional Court’s 2026 decision in *Maleka v Boyce N.O. and Others* gives employers a current framework. A difficult working relationship, an unpopular decision, or an uncomfortable workplace is not enough. The employee must show that the employer’s conduct, or failure to act, made continued employment objectively intolerable. [2]</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Constructive Dismissal: What Must Be Proven?</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">The employee must first prove a dismissal. In practical terms, this means proving three connected things: that they resigned; that conditions had become intolerable; and that the employer caused that intolerability. Personal perception is not decisive. The assessment is objective and fact-specific. [2]</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">This is not a test of whether the employee had literally no alternative other than resignation. The Constitutional Court confirmed in *Strategic Liquor Services v Mvumbi NO and Others* that the real enquiry is whether the employer made continued employment intolerable. [3] Resignation must ordinarily be a last resort, not a tactical response to ordinary workplace conflict.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">A Difficult Workplace Is Not Necessarily Constructive Dismissal</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">In *Maleka*, an employee resigned after a proposed change to his reporting line during a restructuring. The Court found no constructive dismissal because the change had not yet taken effect, and there was no reduction in title, responsibilities, remuneration, or position, nor evidence of hostile or oppressive conduct. Dissatisfaction with a future arrangement is not the same as existing intolerability. [2]</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">The distinction matters. A single serious incident, such as grave harassment or an egregious attack on an employee’s dignity, may be enough. More often, a claim rests on a pattern: unresolved harassment, deliberate humiliation, unlawful demotion, discriminatory treatment, or an employer’s persistent refusal to address a legitimate grievance. The question is whether the employer allowed or created conditions that a reasonable person could not be expected to endure.</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Why the Grievance Process Matters in a Constructive Dismissal Claim</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">Where an employer has a workable grievance procedure, an employee’s failure to use it can seriously weaken a constructive dismissal claim. In *Maleka*, the Court held that merely assuming a grievance process will fail, or saying that there is no confidence in it, is not enough. There may be exceptional circumstances where using it is genuinely futile or inappropriate, but those circumstances must be proved. [2]</span></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">For employers, this is the control point. A grievance should never be treated as an administrative irritation. Acknowledge it promptly, appoint an impartial decision-maker where the complaint concerns a senior manager, investigate the facts, consider practical interim measures, and give a reasoned outcome in writing. The 2025 Code of Good Practice: Dismissal reinforces the value of a fair, proportionate process, even in a small business. [4]</span></p><p style="margin-top: 12.0pt;"><b><span lang="EN-US" style="font-size: 13.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; color: black; mso-themecolor: text1;">Act Before a Resignation Becomes a CCMA Case</span></b></p><p style="text-align: justify; text-justify: inter-ideograph;"><span lang="EN-US" style="color: black; mso-themecolor: text1;">An employee alleging constructive dismissal must normally refer the dispute to the CCMA or a bargaining council within <b>30 days</b> of dismissal. [1] That deadline is a reason to preserve records immediately after any resignation that cites working conditions, management conduct, harassment, or unfair treatment.</span></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">At Welman Attorneys Inc., the team assists employers to investigate grievances, manage constructive dismissal risk, and protect the employment relationship before a dispute escalates. [Contact us](https://www.welmanattorneys.co.za/contact-us/) for practical labour-law guidance.</span></p><p style="margin: 8.0pt 0cm 4.0pt 0cm;"><b><i><span lang="EN-US" style="color: black; mso-themecolor: text1;">References</span></i></b></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">[1] Labour Relations Act 66 of 1995, sections 186(1)(e) and 191: <a href="https://www.gov.za/documents/labour-relations-act" target="_blank" rel="noopener">Click Here </a></span></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">[2] *Maleka v Boyce N.O. and Others* [2026] ZACC 7: <a href="https://www.saflii.org/za/cases/ZACC/2026/7.html" target="_blank" rel="noopener">Click Here</a> </span></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">[3] *Strategic Liquor Services v Mvumbi NO and Others* [2009] ZACC 17: <a href="https://www.saflii.org/za/cases/ZACC/2009/17.html" target="_blank" rel="noopener">Click Here</a></span></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">[4] Applying the 2025 Code of Practice: <a href="https://www.welmanattorneys.co.za/blog/applying-the-2025-code-of-practice-dismissal-in-small-businesses-in-south-africa/" target="_blank" rel="noopener">Dismissal in Small Businesses in South Africa</a> </span></p><p style="margin: 8.0pt 0cm 4.0pt 0cm;"><b><i><span lang="EN-US" style="color: black; mso-themecolor: text1;">Related Reading</span></i></b></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">What is a constructive dismissal? <a href="https://www.welmanattorneys.co.za/blog/what-is-a-constructive-dismissal/" target="_blank" rel="noopener">Click Here</a></span></p><p><span lang="EN-US" style="color: black; mso-themecolor: text1;">Disciplinary hearing procedures: <a href="https://www.welmanattorneys.co.za/blog/disciplinary-hearing-procedures/" target="_blank" rel="noopener">Click Here</a></span></p><ul><li style="list-style-type: none;"> </li></ul>								</div>
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									<p><em>At Welman Attorneys Inc., our team reviews employment contracts and HR policies to ensure full compliance with the Basic Conditions of Employment Act. </em><em>Contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<title>Basic Conditions of Employment Act: Employee vs Independent Contractor Explained</title>
		<link>https://www.welmanattorneys.co.za/blog/bcea-employee-vs-contractor/</link>
		
		<dc:creator><![CDATA[Nadia Freeman]]></dc:creator>
		<pubDate>Fri, 14 Aug 2026 14:30:21 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[employee vs contractor]]></category>
		<category><![CDATA[Employment Contracts]]></category>
		<category><![CDATA[Independent Contractors]]></category>
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					<description><![CDATA[<p>BCEA: Employee vs Independent Contractor  Calling someone an independent contractor does not make them one. This is one of the most expensive assumptions a South African employer can make. If the working arrangement looks like employment, the law will treat it as employment, regardless of what the contract says. The Basic Conditions of Employment Act, [&#8230;]</p>
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									<h3><strong>BCEA: Employee vs Independent Contractor </strong></h3><p>Calling someone an independent contractor does not make them one. This is one of the most expensive assumptions a South African employer can make. If the working arrangement looks like employment, the law will treat it as employment, regardless of what the contract says. The Basic Conditions of Employment Act, read together with the Labour Relations Act, sets out exactly how this determination is made, and the financial consequences of getting it wrong are severe. At Welman Attorneys Inc., we regularly advise businesses that have unknowingly created employment relationships while believing they were engaging contractors.</p><h4><strong>How the Basic Conditions of Employment Act Defines an Employee</strong></h4><p>Section 1 of the Basic Conditions of Employment Act defines an employee as any person, excluding an independent contractor, who works for another person or for the State and who receives, or is entitled to receive, any remuneration. It also includes any person who in any manner assists in carrying on or conducting the business of an employer.</p><p>The key phrase is &#8220;excluding an independent contractor.&#8221; The Act draws a clear line, but the line is determined by the substance of the arrangement, not the label on the contract.</p><h4><strong>The Section 83A Presumption of Employment</strong></h4><p>Section 83A of the BCEA, inserted by the Basic Conditions of Employment Amendment Act 11 of 2002, creates a legal presumption that fundamentally shifts the burden of proof. If a person works for or renders services to another person, they are <strong>presumed to be an employee</strong> unless the contrary is proved, provided any one of the following seven factors is present:</p><ol><li>The manner in which the person works is subject to the control or direction of another person.</li><li>The person&#8217;s hours of work are subject to the control or direction of another person.</li><li>In the case of a person working for an organisation, the person forms part of that organisation.</li><li>The person has worked for that other person for an average of at least 40 hours per month over the last three months.</li><li>The person is economically dependent on the person for whom they work.</li><li>The person is provided with tools of trade or work equipment by the other person.</li><li>The person only works for or renders services to one person.</li></ol><p>Note that only <strong>one</strong> of these factors needs to be present to trigger the presumption. This applies to persons earning below the earnings threshold set by the Minister in terms of Section 6(3) of the BCEA. As of 1 April 2025, that threshold is R274 184 per year.</p><h4><strong>The Risks of Getting It Wrong</strong></h4><p>If a contractor is reclassified as an employee, the employer faces back-payment of all leave, overtime, and public holiday pay owed under the BCEA. SARS may also hold the employer liable for PAYE never deducted, plus penalties and interest under the Fourth Schedule to the Income Tax Act 58 of 1962. A CCMA referral for unfair dismissal becomes possible the moment the relationship ends. These costs routinely run into hundreds of thousands of rands.</p><h4><strong>How to Protect Your Business</strong></h4><p>A genuine independent contractor controls how, when, and where they work, carries their own risk, supplies their own tools, works for multiple clients, and is paid for a result rather than time. If your arrangement does not reflect this in practice, the contract wording will not protect you.</p><p><strong><em>Sources</em></strong></p><ul><li style="list-style-type: none;"><ul><li>Basic Conditions of Employment Act 75 of 1997, Section 1 and Section 83A <a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">Click Here</a> </li><li>Basic Conditions of Employment Amendment Act 11 of 2002 <a href="https://www.gov.za/documents/basic-conditions-employment-amendment-act" target="_blank" rel="noopener">Click Here</a> </li><li>Labour Relations Act 66 of 1995, Section 200A <a href="https://www.gov.za/documents/labour-relations-act" target="_blank" rel="noopener">Click Here</a> </li><li>Income Tax Act 58 of 1962, Fourth Schedule &#8211; SARS PAYE obligations <a href="https://www.sars.gov.za/legal-counsel/primary-legislation/acts/" target="_blank" rel="noopener">Click Here</a> </li><li>The Hidden Risk of the EOR Model: Independent Contractors and Deemed Employment (<a href="https://www.welmanattorneys.co.za/blog/">https://www.welmanattorneys.co.za/blog/</a></li></ul></li></ul><p> </p>								</div>
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									<p><em>At Welman Attorneys Inc., our team reviews employment contracts and HR policies to ensure full compliance with the Basic Conditions of Employment Act. </em><em>Contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/bcea-employee-vs-contractor/">Basic Conditions of Employment Act: Employee vs Independent Contractor Explained</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>Basic Conditions of Employment Act Glossary</title>
		<link>https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Tue, 11 Aug 2026 13:17:57 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[Labour Law Guides]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2275</guid>

					<description><![CDATA[<p>Basic Conditions of Employment Act Glossary: What the Legal Jargon Actually Means Most employers have heard of the Basic Conditions of Employment Act. Far fewer have actually read it. That gap between knowing it exists and understanding what it requires is where most labour law disputes are born. This Basic Conditions of Employment Act glossary [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act/">Basic Conditions of Employment Act Glossary</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<h4><strong>Basic Conditions of Employment Act Glossary: What the Legal Jargon Actually Means</strong></h4><p>Most employers have heard of the Basic Conditions of Employment Act. Far fewer have actually read it. That gap between knowing it exists and understanding what it requires is where most labour law disputes are born. This Basic Conditions of Employment Act glossary breaks down every chapter of the Act in plain language, so that whether you are a business owner, an HR manager, or an employee, you know exactly where you stand.</p><p><strong>What the Basic Conditions of Employment Act Actually Is</strong></p><p>The Basic Conditions of Employment Act 75 of 1997 (BCEA) is the law that sets the minimum floor for every employment relationship in South Africa. It applies to virtually all employers and employees, with limited exceptions for members of the National Defence Force and unpaid volunteers working for charitable organisations. Critically, no employment contract can offer less than what the BCEA requires. If it does, those clauses are automatically invalid.</p><p>At Welman Attorneys Inc., we regularly advise employers whose contracts unknowingly fall below the BCEA minimums, often because they relied on outdated templates.</p><p><strong>Chapter by Chapter: The Plain-Language Breakdown</strong></p><p><em>Chapter One: Definitions and Application</em></p><p>This chapter sets the legal vocabulary. An <strong>employee</strong> is any person who works for another and receives remuneration, excluding independent contractors. <strong>Remuneration</strong> means any payment in money or in kind made in return for work. <strong>Ordinary hours of work</strong> are the hours permitted under the Act before overtime kicks in. <strong>Overtime</strong> is any time worked beyond those ordinary hours. Understanding these definitions is non-negotiable, because every other chapter builds on them.</p><p><em>Chapter Two: Working Time</em></p><p>Ordinary hours are capped at 45 per week. Overtime must be agreed upon, cannot exceed 10 hours per week, and must be paid at 1.5 times the normal wage. Employees are entitled to a meal interval of at least 30 minutes after five continuous hours of work, a daily rest period of 12 consecutive hours, and a weekly rest period of 36 consecutive hours. Night work (between 18:00 and 06:00) requires a shift allowance and available transport. Sunday work and public holiday pay are also regulated here.</p><p><em>Chapter Three: Leave</em></p><p>Every employee is entitled to at least 21 consecutive calendar days of paid annual leave for each 12-month leave cycle. After the first six months of employment, sick leave accrues in a 36-month cycle and equals the number of days the employee would ordinarily work in six weeks. Employees still receive three paid days of family responsibility leave per 12-month period, but the entitlement is now limited to the illness of a child or the death of a listed immediate family member; it no longer covers the birth of a child. A pregnant employee is entitled to at least four consecutive months of unpaid maternity leave, with benefits claimable from the Unemployment Insurance Fund (UIF).</p><p>Since 1 January 2020, the BCEA also provides at least 10 consecutive days of unpaid parental leave, at least 10 consecutive weeks of unpaid adoption leave for one adoptive parent of a child under two (the other parent receives parental leave), and at least 10 consecutive weeks of unpaid commissioning parental leave for a commissioning parent in a surrogate motherhood agreement, with UIF benefits claimable for all three categories. While the Constitutional Court confirmed in 2026 that the differing leave provisions unfairly discriminate between parents, it suspended the declaration of invalidity for 36 months, meaning the above framework remains operative until Parliament enacts corrective legislation.</p><p><em>Chapter Four: Particulars of Employment and Remuneration</em></p><p>Every employee must receive written particulars of employment. Every pay day, the employer must provide a payslip. Deductions from remuneration are strictly controlled. An employer may only deduct from wages with written consent from the employee, and deductions for damages or loss may not exceed 25% of the employee&#8217;s remuneration in any month.</p><p><em>Chapter Five: Termination</em></p><p>Notice periods are determined by length of service: one week for under six months, two weeks for six to twelve months, and four weeks for over one year. On termination, all accumulated leave must be paid out. Severance pay for retrenchment is one week&#8217;s remuneration per completed year of service. Every departing employee is entitled to a certificate of service.</p><p><em>Chapter Six: Children and Forced Labour</em></p><p>No child under 15 may be employed. No person may be subjected to forced labour. These are absolute prohibitions with criminal consequences.</p><p><em>Chapters Seven and Eight: Variation and Sectoral Determinations</em></p><p>Certain BCEA minimums can be varied by collective agreement or by the Minister. Sectoral determinations set specific conditions for particular industries, such as domestic workers or farm workers, and may differ from the general Act.</p><p><em>Chapter Ten: Enforcement</em></p><p>Labour inspectors have the authority to enter workplaces, inspect records, and issue compliance orders. Non-compliance carries financial penalties. Disputes can be referred to the CCMA or the Labour Court.</p><p><em>Chapter Eleven: General Provisions</em></p><p>Temporary employment services (labour brokers) are regulated here. The presumption of employment under Section 83A means that if a person earns below the earnings threshold and can show any one of seven factors indicating an employment relationship, they are presumed to be an employee.</p><p><strong>Why This Matters for Your Business</strong></p><p>The BCEA is not a document to file away. It is a living framework that governs every working day in your organisation. Each chapter will be unpacked in detail across this blog series. If you are unsure whether your employment contracts, leave policies, or payroll practices comply, do not wait for a CCMA referral to find out.</p><p><strong><em>Sources</em></strong></p><ul><li>[Basic Conditions of Employment Act 75 of 1997] <a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">Click Here </a></li><li>[Consolidated BCEA updated to 1 May 2026 — <a href="http://SAFLII]https://www.saflii.org/za/legis/consol_act/bcoea1997309/" target="_blank" rel="noopener">Click Here</a></li></ul>								</div>
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									<p><em>At Welman Attorneys Inc., our team reviews employment contracts and HR policies to ensure full compliance with the Basic Conditions of Employment Act. </em><em>Contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/basic-conditions-of-employment-act/">Basic Conditions of Employment Act Glossary</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>The Hidden Risk of the EOR Model: Independent Contractors and Deemed Employment</title>
		<link>https://www.welmanattorneys.co.za/blog/eor-independent-contractors-deemed-employment/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Fri, 10 Jul 2026 13:26:25 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[eor]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2246</guid>

					<description><![CDATA[<p>The global shift towards remote work has made the Employer of Record (EOR) model an attractive solution for international companies looking to hire South African talent. It allows businesses to onboard staff quickly without establishing a local entity. However, many international companies and local providers make a critical error: they use the EOR structure to [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/eor-independent-contractors-deemed-employment/">The Hidden Risk of the EOR Model: Independent Contractors and Deemed Employment</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<p>The global shift towards remote work has made the Employer of Record (EOR) model an attractive solution for international companies looking to hire South African talent. It allows businesses to onboard staff quickly without establishing a local entity.</p><p>However, many international companies and local providers make a critical error: they use the EOR structure to engage workers as &#8220;independent contractors&#8221; rather than permanent employees. This practice exposes both the foreign client and the EOR provider to significant legal and tax liabilities under South African law.</p><p>At Welman Attorneys Inc., we regularly advise businesses on the complexities of cross-border employment. If you are using an EOR to manage independent contractors in South Africa, you need to understand the risks of deemed employment.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">The Substance Over Form Approach</h2>				</div>
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									<p>South African labour law is highly protective of workers. When determining whether a person is an employee or an independent contractor, our courts and the Commission for Conciliation, Mediation and Arbitration (CCMA) do not simply look at the title of the contract.</p><p>They apply a &#8220;substance over form&#8221; approach. This means that even if a worker signs a service level agreement stating they are an independent contractor, the law may still classify them as an employee if the reality of the working relationship suggests otherwise.</p><p>Section 200A of the Labour Relations Act (LRA) outlines the presumption of employment. A worker is presumed to be an employee if any one of the following factors is present:</p>								</div>
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										<span class="elementor-icon-list-text">The manner in which they work is subject to the control or direction of another person.</span>
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										<span class="elementor-icon-list-text">Their hours of work are subject to the control or direction of another person.</span>
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										<span class="elementor-icon-list-text">They form part of the organisation's standard operations.</span>
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										<span class="elementor-icon-list-text">They have worked for the other person for an average of at least 40 hours per month over the last three months.</span>
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									<p>When an international company uses an EOR to hire a &#8220;contractor&#8221; but dictates their daily tasks, requires them to use company software, and expects them to work standard office hours, that worker is almost certainly a deemed employee.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">The Risks for the Foreign Company</h3>				</div>
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									<p>Many international businesses assume that by using an EOR, they have completely outsourced their legal liability. This is a dangerous misconception.</p>								</div>
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					<h5 class="elementor-heading-title elementor-size-default">1. Co-Employment Liability</h5>				</div>
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									<p>If the CCMA determines that the worker is a deemed employee, the foreign company may be found to be a co-employer alongside the EOR. This means the international business can be held directly liable for unfair dismissal claims, severance pay, and statutory benefits.</p>								</div>
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					<h5 class="elementor-heading-title elementor-size-default">2. Triggering Permanent Establishment</h5>				</div>
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									<p>Perhaps the most severe risk for a foreign company is the tax implication. If the South African Revenue Service (SARS) determines that the foreign company is a co-employer of workers in South Africa, it may trigger a &#8220;permanent establishment.&#8221;</p><p>This would require the foreign company to register an external company (a branch) with the Companies and Intellectual Property Commission (CIPC) and potentially expose their global revenue to South African corporate tax.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">The Risks for the EOR Provider</h3>				</div>
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									<p>EOR providers who facilitate these misclassified contractor arrangements are also in the firing line.</p>								</div>
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					<h5 class="elementor-heading-title elementor-size-default">1. Statutory Deductions and Penalties</h5>				</div>
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									<p>As the entity paying the worker, the EOR is responsible for statutory deductions. If SARS reclassifies the independent contractor as an employee, the EOR will be liable for unpaid PAYE (Pay As You Earn), Unemployment Insurance Fund (UIF) contributions, and Skills Development Levies (SDL), along with severe penalties and interest.</p>								</div>
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					<h5 class="elementor-heading-title elementor-size-default">2. Employment Disputes</h5>				</div>
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									<p>Because the EOR is the local contracting party, disgruntled workers will inevitably direct their CCMA disputes against the EOR provider. Defending these claims is costly, time-consuming, and damages the provider&#8217;s reputation.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Structuring the Relationship Correctly</h2>				</div>
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									<p>The EOR model is a powerful tool for global expansion, but it must be executed with strict adherence to South African labour and tax laws. Attempting to bypass these laws by misclassifying workers as independent contractors is a short-term strategy that almost always results in long-term financial pain.</p><p>If you need to engage freelancers or independent contractors, you require a specialised payroll and compliance structure that mitigates these specific risks under the Fourth Schedule to the Income Tax Act.</p><p>Whether you are an international company expanding into South Africa, an EOR provider looking to secure your operations, or a business engaging independent contractors, expert legal guidance is essential.</p><p>Contact Welman Attorneys Inc. today to ensure your employment structures are compliant, secure, and legally sound.</p>								</div>
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									<p><em>Welman Attorneys Inc. is a boutique labour law firm based in Pretoria. For enquiries about cross-border employment and EOR structuring, contact james@welman.co.za or call 012 881 0072.</em></p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/eor-independent-contractors-deemed-employment/">The Hidden Risk of the EOR Model: Independent Contractors and Deemed Employment</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>The Cost Implications of Not Having a Labour Lawyer on Retainer</title>
		<link>https://www.welmanattorneys.co.za/blog/the-cost-implications-of-not-having-a-labour-lawyer-on-retainer/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Thu, 25 Jun 2026 13:26:08 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[Retainer]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2238</guid>

					<description><![CDATA[<p>South African small business owners and HR managers view legal retainers as an unnecessary overhead. It is something larger companies do, not a practical consideration for their company. This mindset is understandable, but it is also one of the most expensive assumptions a business can make. When labour matters go wrong without legal support in [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/the-cost-implications-of-not-having-a-labour-lawyer-on-retainer/">The Cost Implications of Not Having a Labour Lawyer on Retainer</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<p>South African small business owners and HR managers view legal retainers as an unnecessary overhead. It is something larger companies do, not a practical consideration for their company.</p><p>This mindset is understandable, but it is also one of the most expensive assumptions a business can make. When labour matters go wrong without legal support in place, the financial, operational, and reputational costs can be severe.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">The South African Labour Dispute Landscape</h2>				</div>
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									<p>South Africa&#8217;s Commission for Conciliation, Mediation and Arbitration (<a title="CCMA" href="https://www.gov.za/services/services-residents/world-work/employee-rights/refer-dispute-ccma" target="_blank" rel="noopener"><strong>CCMA</strong></a>) handles hundreds of thousands of referrals every year. Unfair dismissal, unfair labour practice, and constructive dismissal claims are among the most common.</p><p>Without proper procedural and substantive compliance, even legitimate dismissals can be overturned and then the business bears the cost.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">1. CCMA Awards and Compensation Payments</h3>				</div>
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									<p>When an unfair dismissal claim is upheld, the CCMA or Labour Court can award reinstatement or compensation &#8211; up to 12 months&#8217; remuneration for an ordinary unfair dismissal, or up to 24 months in cases of automatically unfair dismissal (such as dismissals linked to pregnancy, union membership, or protected disclosures).</p><p>For a mid-level employee earning R25,000 per month, that is a potential liability of R300,000 &#8211; plus legal costs. Many of these awards result from substantive and procedural failures that a labour lawyer would have prevented.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">2. The Hidden Cost of Ad Hoc Legal Fees</h3>				</div>
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									<p>Without a retainer, businesses typically only engage an attorney when a dispute has already escalated. By that point, the matter is more complex, the evidence trail may be poor, and more legal hours are required to mount a defence.</p><p>Rates for labour attorneys in South Africa typically range from R2,500 to R6,000 per hour. </p><p>A contested CCMA arbitration can easily cost a business R50,000 to R150,000 in legal fees alone. This exceeds what a monthly retainer would have cost over the same period.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">3. Productivity and Management Time Lost</h3>				</div>
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									<p>Labour disputes are enormously time-consuming. HR managers, line managers, and directors can spend a lot of hours preparing for hearings, gathering documentation, attending proceedings, and managing employee relations fallout.</p><p>This time has a direct cost in lost productivity and rarely appears on any legal invoice but is very real. A retained labour lawyer handles the complexity, freeing your team to focus on the business.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">4. The Risk of Non-Compliant Employment Contracts and Policies</h3>				</div>
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									<p>Businesses operating without regular legal review often rely on outdated or generic employment contracts, disciplinary codes, and HR policies.</p><p>Non-compliant documents can invalidate dismissals, expose the company to wage claims under the BCEA, or create unintended liability in retrenchment scenarios.</p><p>The cost of rectifying a large-scale compliance failure &#8211; particularly during a Section 189 retrenchment process &#8211; can run into the millions.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">5. Reputational and Operational Damage</h3>				</div>
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									<p>High-profile labour disputes, especially those involving allegations of unfair treatment, can damage your employer brand and affect recruitment, morale, and retention.</p><p>Beyond reputation, prolonged disputes disrupt operations, create tension in the workplace, and distract leadership from growth priorities.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">6. Employment Equity and Other Compliance Penalties</h3>				</div>
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									<p>The Employment Equity Act requires designated employers to submit annual reports and implement equity plans.</p><p>Non-compliance can result in fines ranging from R1.5 million to R2.7 million, or a percentage of annual turnover. Without a labour lawyer guiding your equity strategy and submissions, these penalties are a very real risk &#8211; particularly for mid-sized to large businesses with complex workforces.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">The Real Comparison</h2>				</div>
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									<p>A labour law retainer from a reputable South African firm typically costs between R3,000 and R15,000 per month, depending on the size and complexity of your business.</p><p>Weighed against a single CCMA arbitration award, a non-compliance fine, or an uncontested unfair dismissal payout, the retainer pays for itself many times over. The cost of prevention is almost always lower than the cost of cure.</p><p>The decision not to have a labour lawyer on retainer is rarely a cost-saving measure. It is a cost-deferral. South African labour law is complex, frequently updated, and strictly enforced.</p><p>The businesses that navigate it most successfully are those with qualified legal support embedded into their HR and management processes from the start, not those who scramble to find help once a crisis is already underway.</p><p>At Welman Attorneys Inc. we deal with labour related cases on a daily basis and are experts at protecting our clients on retainers against this complex landscape.</p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/the-cost-implications-of-not-having-a-labour-lawyer-on-retainer/">The Cost Implications of Not Having a Labour Lawyer on Retainer</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>6 Benefits of Having a Labour Lawyer on Retainer</title>
		<link>https://www.welmanattorneys.co.za/blog/6-benefits-of-having-a-labour-lawyer-on-retainer/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Thu, 25 Jun 2026 13:08:09 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[Retainer]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2232</guid>

					<description><![CDATA[<p>South Africa&#8217;s labour landscape is among the most regulated in the world. Between the Labour Relations Act (LRA), the Basic Conditions of Employment Act (BCEA), the Employment Equity Act (EEA), and a host of related codes and guidelines, keeping a business compliant is no small feat. Whether you run a growing SME in Pretoria or [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/6-benefits-of-having-a-labour-lawyer-on-retainer/">6 Benefits of Having a Labour Lawyer on Retainer</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<p>South Africa&#8217;s labour landscape is among the most regulated in the world. Between the Labour Relations Act (<a title="Labour Relations Act" href="https://www.gov.za/sites/default/files/gcis_document/201409/act66-1995labourrelations.pdf" target="_blank" rel="noopener"><strong>LRA</strong></a>), the Basic Conditions of Employment Act (<a title="BCEA in PDF" href="https://www.gov.za/sites/default/files/gcis_document/201409/a75-97.pdf" target="_blank" rel="noopener"><strong>BCEA</strong></a>), the Employment Equity Act (<a href="https://www.gov.za/documents/employment-equity-act" target="_blank" rel="noopener"><strong>EEA</strong></a>), and a host of related codes and guidelines, keeping a business compliant is no small feat.</p><p>Whether you run a growing SME in Pretoria or manage HR for a large corporation in Johannesburg, having a labour lawyer on retainer is not a luxury.</p><p>It is a strategic business decision that benefits you in the long term.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">What Does a Legal Retainer Arrangement Mean?</h2>				</div>
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									<p>A retainer is a fixed monthly or quarterly fee that gives your business ongoing access to a qualified labour attorney like Welman Attorneys Inc.</p><p>Instead of scrambling to find legal representation when a dispute arises, you have a trusted specialist available to advise, review, and act on your behalf before problems escalate.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">1. Proactive Compliance, Not Reactive Panic</h3>				</div>
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									<p>Labour law in South Africa changes frequently. Amendments to the LRA, updated CCMA guidelines, and shifting Employment Equity targets can catch businesses off guard.</p><p>A retained labour lawyer keeps you ahead of these changes, reviewing your employment contracts, policies, and disciplinary procedures to ensure they remain compliant. This proactive approach prevents costly oversights from becoming costly disputes.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">2. Confident Handling of Disciplinary Processes</h3>				</div>
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									<p>Dismissing an employee &#8211; even for a seemingly clear-cut reason &#8211; can expose a business to an unfair dismissal claim at the CCMA or Labour Court.</p><p>A retained attorney guides your HR team through the correct procedural and substantive requirements: issuing proper notices, conducting fair hearings, and documenting outcomes correctly. Getting this right the first time is far less expensive than defending it later.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">3. CCMA and Bargaining Council Representation</h3>				</div>
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									<p>Even the best-managed businesses face CCMA referrals. With a labour lawyer on retainer, you are never caught unprepared. Your attorney already knows your business, your employment policies, and the specifics of your workplace. This familiarity means faster, stronger preparation &#8211; and better outcomes at conciliation and arbitration.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">4. Drafting and Reviewing Employment Contracts</h3>				</div>
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									<p>Standard employment contract templates downloaded from the internet are rarely adequate for South African law. Neither does a contract generated with ChatGPT cover everything needed.</p><p>A retainer arrangement means every new employment contract, independent contractor agreement, restraint of trade clause, and settlement agreement gets reviewed by a seasoned labour lawyer.</p><p>Poorly drafted contracts are one of the leading causes of labour disputes &#8211; something a retained lawyer helps you avoid entirely.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">5. Strategic HR Support and Training</h3>				</div>
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									<p>Beyond disputes, a retained labour lawyer becomes a strategic partner. Many firms offer HR training sessions, policy workshops, and guidance on managing poor performance or restructuring processes.</p><p>This equips your management and HR team with the knowledge to handle day-to-day employment matters correctly — reducing the frequency and severity of disputes over time.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">6. Cost Predictability</h3>				</div>
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									<p>Additional legal fees can spike unexpectedly, particularly when a matter escalates to arbitration or the Labour Court. A retainer arrangement converts unpredictable legal costs into a manageable monthly expense, making it easier to budget and plan.</p><p>For SMEs especially, this financial predictability is invaluable.</p><p>South African businesses of every size face significant labour law exposure.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">The Welman Advantage</h2>				</div>
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									<p>Having Welman Attorneys Inc. on retainer means you are never navigating these complexities alone.</p><p>You have a knowledgeable partner who understands your business, keeps you compliant, and protects your interests when disputes arise.</p><p>The question is not whether you can afford a retainer; it is whether you can afford not to have one.</p>								</div>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/6-benefits-of-having-a-labour-lawyer-on-retainer/">6 Benefits of Having a Labour Lawyer on Retainer</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>Earnings Threshold Increases to R269 600.90: A Practical Guide for Employers</title>
		<link>https://www.welmanattorneys.co.za/blog/earnings-threshold-increases-practical-guide-employers/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Wed, 20 May 2026 11:21:02 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[Labour Relations Act]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2221</guid>

					<description><![CDATA[<p>With the new earnings threshold of R269 600.90 per year now in effect, South African employers face a practical compliance moment. Failing to adjust payroll structures, employment contracts and HR policies to reflect the new threshold can expose businesses to unfair labour practice claims, disputes at the CCMA, and costly Labour Court proceedings. At Welman Attorneys [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/earnings-threshold-increases-practical-guide-employers/">Earnings Threshold Increases to R269 600.90: A Practical Guide for Employers</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<p>With the new earnings threshold of R269 600.90 per year now in effect, South African employers face a practical compliance moment.</p><p>Failing to adjust payroll structures, employment contracts and HR policies to reflect the new threshold can expose businesses to unfair labour practice claims, disputes at the CCMA, and costly Labour Court proceedings.</p><p>At Welman Attorneys Inc, our labour and employment law team works with businesses of all sizes to manage their legal obligations under South African labour legislation. This guide sets out what employers need to do &#8211; right now.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Step 1: Identify Affected Employees</h2>				</div>
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									<p>The first practical step is to identify employees earning between R261 748.45 and R269 600.90 per year. </p><p>These employees have moved from above to below the threshold and are now newly entitled to the protections of sections 9 to 18 of the BCEA. Payroll departments should conduct a threshold audit immediately to identify affected staff members.</p><p><strong>Remember:</strong> &#8220;earnings&#8221; for threshold purposes is regular annual remuneration before deductions, excluding employer contributions to pension or medical aid, subsistence and transport allowances, achievement awards and overtime payments.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Step 2: Review Employment Contracts</h2>				</div>
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									<p>Employment contracts that previously excluded BCEA protections on the basis that the employee earned above the threshold may now be inconsistent with the law. </p><p>Welman Attorneys Inc advises employers to review all contracts for employees near the threshold band and to seek legal advice before making any changes.</p><p>Critically, where a contract provides benefits &#8211; such as overtime pay or Sunday premiums &#8211; that go <strong>beyond the minimum required by law,</strong> those provisions remain binding even if the employee earns above the threshold. Employers may not unilaterally remove contractual entitlements. Any variation must be agreed upon with the employee.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Step 3: Revisit Fixed-Term and TES Arrangements</h2>				</div>
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									<p>Two important LRA provisions apply only to employees earning below the threshold:</p>								</div>
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										<span class="elementor-icon-list-text"><b>Fixed-term employees:</b> An employee earning below the threshold who is engaged on a fixed-term contract for longer than three months may be deemed to be employed indefinitely, unless there is a justifiable reason for fixing the term (section 198B of the LRA). Source: LRA</span>
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										<span class="elementor-icon-list-text"><b>TES workers:</b> An employee earning below the threshold who is placed by a temporary employment service for more than three months, or who is not merely substituting for a temporarily absent employee, may be deemed a permanent employee of the client (section 198A(3)(b) of the LRA)</span>
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									<p>Employers using fixed-term or TES arrangements should assess whether newly threshold-captured employees now fall within these provisions, and take steps to regularise such arrangements if necessary.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Step 4: Understand CCMA vs Labour Court Jurisdiction</h2>				</div>
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									<p>The threshold also affects where disputes must be adjudicated. Employees earning below the threshold who have monetary claims arising from the BCEA, a contract of employment, a sectoral determination or a collective agreement may refer unresolved conciliation disputes to the CCMA for arbitration. Employees earning above the threshold must take such disputes to the Labour Court.</p><p>Similarly, unfair discrimination disputes under Chapter II of the EEA (other than sexual harassment claims) may only be arbitrated at the CCMA if the claimant earns below the threshold. Above-threshold employees must litigate in the Labour Court. </p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Step 5: Seek Expert Legal Advice</h2>				</div>
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									<p>The earnings threshold touches every facet of employment law. Non-compliance carries real risk: claims for underpaid overtime, reinstatement of employees incorrectly classified as fixed-term workers, and costly Labour Court litigation are all potential consequences.</p><p>Proactive legal advice is always less expensive than reactive litigation.</p><p>Welman Attorneys Inc provides comprehensive labour and employment law services to employers across South Africa, including:</p>								</div>
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										<span class="elementor-icon-list-text">Drafting and updating employment contracts and HR policies</span>
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										<span class="elementor-icon-list-text">Advice on fixed-term and TES worker classifications</span>
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										<span class="elementor-icon-list-text">Representation at the CCMA and the Labour Court</span>
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										<span class="elementor-icon-list-text">Proactive training and workshops for HR and management teams</span>
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									<p>Contact Welman Attorneys Inc today to schedule a consultation with one of our experienced labour lawyers. We are here to ensure your business remains compliant, your employees are treated fairly, and your interests are protected</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">Sources</h3>				</div>
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											<a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">

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										<span class="elementor-icon-list-text">Basic Conditions of Employment Act 75 of 1997</span>
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											<a href="https://www.gov.za/documents/labour-relations-act" target="_blank" rel="noopener">

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										<span class="elementor-icon-list-text">Labour Relations Act 66 of 1995</span>
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											<a href="https://www.gov.za/documents/employment-equity-act" target="_blank" rel="noopener">

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										<span class="elementor-icon-list-text">Employment Equity Act 55 of 1998</span>
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											<a href="https://www.labour.gov.za" target="_blank" rel="noopener">

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							<i aria-hidden="true" class="fas fa-link"></i>						</span>
										<span class="elementor-icon-list-text">Department of Employment and Labour – Earnings Threshold Notice</span>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/earnings-threshold-increases-practical-guide-employers/">Earnings Threshold Increases to R269 600.90: A Practical Guide for Employers</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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		<title>South Africa&#8217;s New Earnings Threshold: What Every Employer and Employee Needs to Know</title>
		<link>https://www.welmanattorneys.co.za/blog/south-africas-new-earnings-threshold/</link>
		
		<dc:creator><![CDATA[Welman Attorneys]]></dc:creator>
		<pubDate>Mon, 18 May 2026 10:58:26 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[BCEA]]></category>
		<category><![CDATA[Labour Relations Act]]></category>
		<guid isPermaLink="false">https://www.welmanattorneys.co.za/?p=2214</guid>

					<description><![CDATA[<p>The South African Minister of Employment and Labour has announced an increase in the annual earnings threshold, effective 1 May 2026. The new threshold is set at R269 600.90 per year (R22 466.74 per month), representing an increase of R7 852.45 &#8211; or 3% &#8211; from the previous threshold of R261 748.45 that has been in place since 1 [&#8230;]</p>
<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/south-africas-new-earnings-threshold/">South Africa&#8217;s New Earnings Threshold: What Every Employer and Employee Needs to Know</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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									<p>The South African Minister of Employment and Labour has announced an increase in the annual earnings threshold, effective 1 May 2026.</p><p>The new threshold is set at R269 600.90 per year (R22 466.74 per month), representing an increase of R7 852.45 &#8211; or 3% &#8211; from the previous threshold of R261 748.45 that has been in place since 1 April 2025.</p><p>At Welman Attorneys Inc, our specialist labour law team advises employers and employees across South Africa on how legislative changes such as this one affect their rights and obligations. Here is what you need to know.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">What Is the Earnings Threshold?
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									<p>The earnings threshold is a monetary benchmark, determined periodically by the Minister of Employment and Labour under the Basic Conditions of Employment Act 75 of 1997 (“BCEA”).</p><p>Employees who earn above this threshold are excluded from the protection of certain key provisions of the BCEA, the Labour Relations Act 66 of 1995 (“LRA”) and the Employment Equity Act 55 of 1998 (“EEA”).</p><p>For purposes of the threshold, “earnings” means an employee’s regular annual remuneration before the deduction of income tax, pension fund contributions, medical aid contributions and similar payments. Importantly, subsistence and transport allowances, achievement awards and overtime payments are excluded from the calculation.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Which Employees Are Newly Protected?</h2>				</div>
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									<p>Employees who currently earn between R261 748.45 and R269 600.90 per year will, from 1 May 2026, be entitled to the full suite of protections previously unavailable to them.</p><p>This includes the right to overtime pay, double pay for work on Sundays and public holidays, regulated meal intervals and rest periods, notwithstanding what their employment contracts may state.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Key Protections Under the BCEA</h2>				</div>
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									<p>Employees who earn at or below the threshold are entitled to the protection of the following BCEA provisions:</p>								</div>
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										<span class="elementor-icon-list-text">Averaging of hours of work (section 12)</span>
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											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Meal intervals (section 14)</span>
									</li>
								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Daily and weekly rest periods (section 15)</span>
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											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Additional pay for Sunday work (section 16)</span>
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								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Pay for night work (section 17(2))</span>
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								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Pay for public holidays on which the employee would not ordinarily work (section 18(3))</span>
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					<h2 class="elementor-heading-title elementor-size-default">Implications Under the LRA and EEA</h2>				</div>
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									<p>The threshold also has important implications beyond the BCEA. Under the LRA, employees earning below the threshold who are placed by a temporary employment service (“TES”) for more than three months may be deemed permanent employees of the client.</p><p>Similarly, fixed-term employees earning below the threshold may be deemed indefinitely employed after three months if there is no justifiable reason for the fixed term. These protections do not extend to those earning above the threshold.</p><p>Under the EEA, an employee earning above the threshold who has an unfair discrimination dispute (other than one involving sexual harassment) must refer that dispute to the Labour Court for adjudication, rather than to the CCMA for arbitration.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">Can Existing Contracts Be Changed?</h2>				</div>
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									<p><strong>An important practical point:</strong> where an employee earns above the threshold but their employment contract already provides for overtime pay, Sunday pay or other benefits regulated by the BCEA, those contractual provisions remain valid and enforceable.</p><p>An employer cannot unilaterally remove them. Any change to existing terms and conditions of employment must be negotiated with the affected employees.</p>								</div>
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					<h2 class="elementor-heading-title elementor-size-default">How Welman Attorneys Inc Can Help</h2>				</div>
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									<p>At Welman Attorneys Inc, we understand that changes to the earnings threshold can have significant practical consequences for your business or your employment. Our labour law team assists clients with:</p>								</div>
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							<ul class="elementor-icon-list-items">
							<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text"><b>Reviewing and updating</b> employment contracts to ensure compliance with the new threshold</span>
									</li>
								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text"><b>Advising employers</b> on their payroll obligations and exposure to claims</span>
									</li>
								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text"><b>Representing employees</b> who are now newly entitled to BCEA protections</span>
									</li>
								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text"><b>Navigating CCMA proceedings</b> or Labour Court referrals arising from disputes</span>
									</li>
								<li class="elementor-icon-list-item">
											<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-dot-circle"></i>						</span>
										<span class="elementor-icon-list-text">Advising on the <b>correct classification</b> of TES workers and fixed-term employees</span>
									</li>
						</ul>
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									<p>Whether you are an employer seeking to ensure compliance or an employee whose rights have changed, contact Welman Attorneys Inc for expert, practical advice tailored to your circumstances.</p>								</div>
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					<h3 class="elementor-heading-title elementor-size-default">Sources</h3>				</div>
				</div>
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							<li class="elementor-icon-list-item">
											<a href="https://www.gov.za/documents/basic-conditions-employment-act" target="_blank" rel="noopener">

												<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-link"></i>						</span>
										<span class="elementor-icon-list-text">Basic Conditions of Employment Act 75 of 1997</span>
											</a>
									</li>
								<li class="elementor-icon-list-item">
											<a href="https://www.gov.za/documents/labour-relations-act" target="_blank" rel="noopener">

												<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-link"></i>						</span>
										<span class="elementor-icon-list-text">Labour Relations Act 66 of 1995</span>
											</a>
									</li>
								<li class="elementor-icon-list-item">
											<a href="https://www.gov.za/documents/employment-equity-act" target="_blank" rel="noopener">

												<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-link"></i>						</span>
										<span class="elementor-icon-list-text">Employment Equity Act 55 of 1998</span>
											</a>
									</li>
								<li class="elementor-icon-list-item">
											<a href="https://www.labour.gov.za" target="_blank" rel="noopener">

												<span class="elementor-icon-list-icon">
							<i aria-hidden="true" class="fas fa-link"></i>						</span>
										<span class="elementor-icon-list-text">Department of Employment and Labour – Earnings Threshold Notice</span>
											</a>
									</li>
						</ul>
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		</section>
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		<p>The post <a rel="nofollow" href="https://www.welmanattorneys.co.za/blog/south-africas-new-earnings-threshold/">South Africa&#8217;s New Earnings Threshold: What Every Employer and Employee Needs to Know</a> appeared first on <a rel="nofollow" href="https://www.welmanattorneys.co.za">Welman Attorneys Inc.</a>.</p>
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