The Employment Equity Act (EEA) is here to ensure everyone gets a fair chance at work. It focuses on ending unfair treatment and supporting minority groups, women, and those with disabilities. Here is what you need to know:
Key Points:
Purpose: The EEA aims to make sure everyone is treated equally at work, creating a diverse workforce that mirrors South Africa's population.
Who Needs to Comply: Certain employers, called designated employers, must follow the EEA rules. This usually includes businesses with 50 or more employees or those with high turnover.
Affirmative Action: These employers must take steps to improve the representation of underrepresented groups. This involves setting targets to ensure a fair mix of employees.
Employment Equity Plans: Employers need to make plans outlining how they will meet their affirmative action goals. These plans should be updated regularly.
Reporting: Every year, designated employers must send reports to the Department of Employment and Labour detailing their progress. These reports must be accessible to the public.
Ensuring Compliance: The Commission for Employment Equity (CEE) makes sure employers follow the rules. They can issue orders to those who don't comply.
State Contracts: Employers need a compliance certificate to get state contracts, proving they follow employment equity principles.
The EEA helps create a fair and inclusive workplace in South Africa, making the job market fairer for everyone.
Upcoming Changes to the Employment Equity Act
Starting on 1 January 2025, new sections of the Employment Equity Amendment Act 04 of 2022 will be in effect. These updates aim to improve workplace fairness by refining definitions, introducing new sector-specific targets, and updating reporting rules.
IMPORTANT: These changes do not affect current reporting obligations. Employers must continue to submit their reports as usual.
Key Changes:
Definition Updates (Section 1):
Employers with fewer than 50 employees, regardless of turnover, will not need to comply with certain EEA requirements.
The term "people with disabilities" now includes those with long-term or recurring impairments that affect job opportunities.
The term "sector" has been added to mean any industry or service.
Testing Requirements (Section 8):
Psychological tests no longer need certification from the Health Professionals Council of South Africa.
Voluntary Compliance (Section 14):
Non-designated employers can no longer voluntarily comply with the EEA.
Sectoral Targets (Section 15A):
The Minister can set specific equity targets for different sectors like education and finance.
Consultation Process (Section 16):
Employers need only consult with representative trade unions, not all employees.
Employment Equity Plans (Section 20):
Plans must align with sectoral targets set by the Minister.
Reporting Requirements (Section 21):
The specific date for submitting reports is removed. The Minister will set new deadlines.
Income Reporting (Section 27):
Employers must report pay and benefits to the National Minimum Wage Commission.
Labour Inspector Powers (Sections 36 & 37):
Inspectors can require written commitments from employers to meet affirmative action requirements and set new compliance order rules.
Assessment Criteria (Section 42):
The Minister can now check if employers meet sectoral targets.
State Contracts (Section 53):
To get a compliance certificate, employers must meet sectoral targets or explain why they cannot. They must also have no recent discrimination or wage violations. Certificates are valid for 12 months or until the next report.
Turnover Thresholds (Section 64A):
Turnover thresholds for employers are no longer applicable.
These changes aim to make workplaces across South Africa fairer and more inclusive. Employers should understand these updates to stay compliant and support the goals of the Employment Equity Act.
