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Home ยป Industry News ยป Business Advisory & Financial Services News ยป Employment equity law will permit employers to raise justifiable grounds for non-compliance

Employment equity law will permit employers to raise justifiable grounds for non-compliance

The proposed amendments to the employment equity (EE) will provide a double-pronged flexibility in that they will allow employers to consult & self-regulate their equity targets, while also allowing employers to raise justifiable reasons for non-compliance with the law.

Department of Employment and Labour Deputy Director of EE, Masilo Lefika said: “we are giving you the law and, at the same time giving you a weapon to defend yourselves.”

According to the amended EE legislation and Regulations some of the justifiable reasons/grounds listed to be considered for failure to comply with the annual EE targets include: insufficient promotion opportunities; insufficient recruitment opportunities; insufficient target individuals from the designated groups with the relevant qualifications, skills and experience; CCMA/Court Order; transfer of business; merger/ acquisitions; and impact on business economic circumstances such as- impact of COVID pandemic on business, load-shedding, etc.

Lefika was speaking to stakeholders at Kopano Nokeng Conference Centre in Bloemfontein during the joint Departmental and CCMA 2023 Employment Equity national workshop.

The workshop was discussing the Employment Equity Amendments signed into law by President Ramaphosa in April 2023. The Employment Equity national workshop is held under the theme: “Real transformation makes business sense”.

The objective of the amendments is: to reduce the regulatory burden for small employers; to empower the Minister to regulate the sector specific numerical EE targets; to promulgate Section 53; and to strengthen compliance, including the issuing of EE compliance certificates.

The justifiable reasons for non-compliance with the law were not thumb-sucked, Lefika said these are an outcome of NEDLAC deliberations as agreed by all social partners.

Read the full press releaseย here, or for media enquiries, contact: Teboho Thejane,ย Departmental Spokesperson (082 697 0694/ Teboho.Thejane@labour.gov.za)

(Media Release: Issued by Department of Employment and Labour)

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