Employment Equity legislation in SA has been tightened over the last year but does not appear to be reaping the desired results. Little has changed by way of appointments of ‘the previously disadvantaged’ to top and executive management positions as anticipated. The Department of Labour Inspectors are active in carrying out audits of organisations and not sympathetic to any cause. Fines of up to R1 500 000 or 2% of turnover are being imposed on non-compliant companies! The Act was drafted in 1998 and there are no longer excuses.
- Are you a designated employer? If you employ more than 50 people and/or have an annual turnover that meets or exceeds the level stated in Schedule 4, you are required to develop an equity plan and submit an annual report against how the plan is progressing.
- If you are not a designated employer, you are still required to ensure that your company HR policy and practices are not in any way ‘discriminating’. You could be challenged by an employee under the Act ‘for any arbitrary reason’.
- Are your salary levels clearly aligned to job responsibilities? The ‘equal pay for equal value’ clause affects ALL employers.
- Do you have supporting policies and practices in place to ensure objectivity?
If you are not compliant, heavy penalties for companies AND the “responsible person” may be imposed. The fines are too onerous for you to not fully comply. Be proactive and take the necessary action today!
Do our quick assessment below to see if your company will pass an inspection, alternatively and we can take your through our 10 Point Plan to being compliant!