The Department of Employment and Labour has confirmed that key sections of the Employment Equity Amendment Act, 04 of 2022, will officially come into effect on 1 January 2025.
What This Means for Employers:
While this proclamation sets the stage for significant changes in Employment Equity (EE) compliance, current EE reporting obligations remain unchanged. Designated employers must continue to submit their annual EE Reports as required under the existing legislation.
Key Changes Taking Effect:
- Sectoral Targets
- The Minister of Labour will now be able to set numerical targets per sector and occupation level, ensuring more focused representation.
- Updated Definitions & Criteria
- Changes to the definition of “designated employer,” “people with disabilities,” and the addition of “sector” to align with the EE Act’s goals.
- EE Compliance Certificates for State Contracts
- Only employers meeting sectoral targets and EE plan requirements will qualify for EE Compliance Certificates, essential for state tenders.
- Consultation Process Changes
- Modifies requirements for consultation with trade unions to ensure alignment with the amended EE provisions and sectoral targets.
- Repeal of Voluntary Compliance
- Section 14 is removed, meaning voluntary compliance is no longer an option.
- Enhanced Enforcement Powers
- Labour Inspectors will have expanded powers to enforce compliance and issue orders under updated assessment criteria which include sectoral targets
Awaiting Final Regulations
While the proclamation date has been set, the final regulations are still pending. These regulations will provide critical details on how employers must comply with the updated legislation, including specifics on sectoral targets and reporting requirements.
What You Should Do Now:
The countdown to the 2025 implementation has begun. 2025 will be the time to review and update your EE Plans, consult with stakeholders, and align with upcoming sectoral targets to ensure your business remains compliant and competitive.
Need Guidance?
LabourNet is here to help you navigate these changes seamlessly. From strategic planning to compliance checks, our specialist consultants will ensure you are ready to meet the new requirements as more information becomes available.
View the full notice here.
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