An employment relationship originates when an employer and an employee enter a contract of employment. The employee undertakes to execute certain specific and/or implied duties and in return for the employer to compensate the employee with a certain amount of remuneration. For as long as an employee tenders its service, the employer must pay their remuneration on the date as specified in the employment contract and/or on the date the employee would normally receive its remuneration.
During these dire times, employers may find themselves in a situation where they cannot timeously pay their employees’ remuneration as and when expected. Luckily our legislature has made provision for employers who find themselves in this predicament. In terms of section 32(3)(a) of the Basic Conditions of Employment Act (no 75 of 1997), the Act provides employers with a grace period of seven days to effect payment of employees’ salaries. When an employer should make use of this exception, it is advisable that the employees are given reasonable notice in writing why their salaries will not be paid on the expected date and advising them to make alternative arrangements for their debit orders.
If you should ever find yourself in such a scenario, please contact your nearest SEESA office for further advice in this regard.
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Should you require assistance with the abovementioned, please contact your Legal Advisor at your nearest SEESA office.
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