The question of “Why didn’t I get a bonus?” is one that crosses the mind of many employees, as they often feel that they have a right to a bonus. The South African Labour Law is silent on the issue of bonuses with the result that the payment or non-payment of bonuses is left to the discretion of the employer. Certain bargaining council collective agreements make provision for the payment of bonuses and are thus binding on the employers of those sectors. The general rule of thumb is that if an...
In-depth
Back to basics with Broad-Based Black Economic Empowerment
South Africa was engaged in a racially segregated system called Apartheid from 1948 until 1994, where one’s race determined social, economic and political advantages and/ or disadvantages. In 1994, the first democratic government was elected in South Africa. This government implemented Broad-Based Black Econoic Empowerment (B-BBEE) in 2003/2004 as a racially selective program initiated to empower those previously disadvantaged groups. The B-BBEE Codes of Good Practice perpetuate in 2007 as an...
The Employer’s Guide to: Annual Leave
The Basic Conditions of Employment Act 75/1997 (BCEA) states that the provisions for annual leave do not apply in the following instances; Employees who work less than 24 hours per month for an employer. Leave granted to employees in excess of the entitlement allowed in terms of the BCEA. Calculation of annual leave The BCEA stipulates that employers must grant annual leave of at least 21 consecutive calendar days (Section 20(2)(a)). Employees working 5 days in a week should get 15 working...
Is the GDPR applicable to my business?
The General Data Protection Regulation (GDPR) was enforced on 25 May 2018 by the European Union Law and was drafted to coordinate any previous and or current legislation in one document. This means that every resident of the European Union’s (EU) right to data privacy are protected under this regulations. Any law or regulation approved by the EU are in general applicable within the member states of the European Union. It must be emphasized that the GDPR is not a South African Law and that the...
When should my employees retire?
There is no compulsory retirement age for employees in South Africa therefore employees may continue working until they are incapable of performing their job. In these circumstances the employer would need to follow the incapacity procedure as set out in Schedule 8 of the Labour Relations Act (LRA). Section 187(1)(f) of the LRA declares a dismissal of an employee based on their age automatically unfair. The Labour Court can award up to 24 months of the employee’s remuneration as compensation,...
Supplier Development and the Amended Construction Codes
The Amended Construction Sector Codes have brought about significant changes to the Supplier Development element. Generic Enterprises now have to ensure that their assistance meets the requirements of a compliant Supplier Development programme. A Generic Enterprise is regarded as the following: Contractors - revenue above R50 million; Built Environmental Professional (BEPs) - revenue above R25 million. The requirements for a Supplier Development programme are : The measured entity may not hold...
Information Leaks – what does the law say?
Much has been written about the Protection of Personal Information Act (POPI), its effect on direct marketing and the consequences of unlawful use and processing by responsible parties. Despite this, in the case of MiWay v King Goodwill Zwelithini, MiWay found itself under the scrutiny of the Information Regulator when a telephonic conversation between one of its sales agents and King Goodwill Zwelithini was leaked on social media. The telephone call in question was made by the sales agent to...
The importance of Supply Chain Management for B-BBEE
All entities participating in the Broad-Based Black Economic Empowerment (B-BBEE) verification process are aware of how important preferential procurement is to the entity’s scorecard, and the level they will obtain. Keeping this in mind, entities should always ensure that they have a proper supply chain as well as supply chain management system in place. All employees working with suppliers and purchasing must always ensure that the suppliers they are procuring from have valid B-BBEE...
Repair, Replace or Refund – who’s choice is it?
The Consumer Protection Act (CPA) was introduced to the consumer community in 2011, notwithstanding the phenomenon that 7 years later, the consumer still accepts that the supplier selects the recourse on the consumer’s behalf. As a consumer, you may have 3 separate potential claims available to aid yourself in a dispute with a supplier; provided that the dispute relates to unsafe, damaged or defective goods or services. These remedies are repair, replace or refund. What does the CPA say?...
The Employer’s Guide to: intoxicated employees
Almost every employer has had to deal with one of the following situations: An employee reports for duty while under the under the influence of liquor of drugs. An employee consumed alcohol while on duty. An employee reports for duty while the exceeding the allowed limit of alcohol in his bloodstream. This conduct constitutes misconduct and employers need to deal with this in an appropriate manner. What’s the employer’s duty when this happens? In terms of the Operational Health & Safety...
