Employees can’t work because of bad weather? Here’s what to do
What happens if the weather is of such a nature that the employer’s operational requirements cannot continue or even commence? What should the employer do when employees are unhappy or dispute their remuneration effected by the weather? The answer for employers: A system of lay-off The contract of employment should make provision for a system of lay-off clause for circumstances which is out of the employer’s control, usually not limited to inclement weather. The system of lay-off clause must...
Skills Development and BEE – a perfect combo
With Skills Development as a priority element on the Broad-Based Black Economic Empowerment (B-BBEE) Scorecard, you now have the opportunity to earn 30 vital points. This means you must emphasise the Skills Development element and at least meet the 40% sub-minimum required as a Priority Element. Should you fail in doing so, you’ll be discounted 1 level which may lead to non-compliance. SETAs and BEE All entities with a payroll exceeding R500 000 per annum are required to register with...
Will the Amended Construction Sector Codes affect your business? Ask these 3 questions to know.
The publication of the Amended Construction Sector Charter in December 2017 changed the status quo for the construction industry. How do you know whether you will be subject to the provisions of the Amended Construction Sector Code? Ask yourself these 3 questions: Do you operate in the Construction Sector? The Construction Sector includes all enterprises that derive more than 50% of their annual revenue from construction-related activities. Do you perform any construction-related activities...
The Employer’s Test: Employee or Independent Contractor?
The Employer’s Test: Employee or Independent Contractor? It is important to distinguish between employees and independent contractors because their status determines their remuneration and how they pay taxes. An independent contractor is an independent business person who runs his or her own business but who does work for another business. An employee is hired by a company to perform specific work at the discretion of the employer. How to distiguish between an employee and an independent...
The employers guide to: Handling employees when you get liquidated
What happens to employees when a business goes bankrupt? In the normal sphere of the law, a business needs to start retrenchment proceedings if there is financial difficulties and there is no other way of getting around it. If a business is liquidated, the retrenchment process isn’t always followed. Section 38 of the Insolvency Act, as amended, is our primary legislation in dealing with employees during a liquidation procedure. Step 1: Suspension In a sequestration process, the employees’...
Restraint of trade – is it worth the paper it’s written on?
All employers should consider whether or not to include a restraint of trade in an employment contract. Companies normally include a restraint to ensure the financial future of a business. This is done without proper consideration being made to the needs of the company, what a restraint entails, when a restraint is applicable or when and how it is enforced. What to keep in mind before including a restraint of trade When considering a restraint of trade the company should first establish why...
Disappearing Data Bundles – NCC stands firm
At a recent public hearing on draft regulations proposed for data expiry and out-of-bundle billing, the National Consumer Commission (NCC) stated their view that data bundles should have a minimum expiry period of 3 years, in line with Section 63 of the Consumer Protection Act (CPA). In some cases in the telecommunications industry, data bundles expire as soon as 30 days after purchase by consumers. Questions have long been asked on the fairness of losing the use of goods or services already...
Everything you need to know about the new National Minimum Wage – soon to be a reality
After months of speculation over a compulsory minimum wage, the National Minimum Wage Bill was published on 17 November 2017 in the Government Gazette. Despite a long and complex parliamentary process, Government anticipated that the Bill will become an Act of Parliament by May 2018. What is the purpose of the proposed Act? The Act intends to rectify the unequal and huge disparities in income in the labour market. It is a mechanism to prescribe and to enforce a national minimum wage. What does...
A closer look at the Amended Agriculture Sector Code
The amended Agriculture (Agri) Sector Code was gazetted on 8 December 2017 and came into effect immediately. This Sector Code applies to any entity falling within the following scope of application: Primary production of agricultural products. Provision of inputs and services to Enterprises engaged in the production of agricultural products. Beneficiation of agricultural products, whether of a primary or semi beneficiated form (beneficiation is where value is added to a product). Storage,...
The need for cultural sensitivity training in the workplace
As recently highlighted in the media, the South African public are still very sensitive and highly reactionary when it comes to advertising campaigns that can be interpreted as racially or culturally insensitive. As a result of this miscommunication and misinterpretation, there has been a loss of both time, money and, perhaps most importantly, it has been damaging to the reputation of several companies. The reality is that different assumptions based on cultural differences can be a major...