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Showing posts from June, 2023

Exemption for Employers Unable to Afford the National Minimum Wage

Introduction: The Department of Employment and Labour is offering a lifeline to employers who find it challenging to meet the National Minimum Wage requirements. In an advocacy seminar held in Mthatha, Eastern Cape, Unathi Ramabulana, the Director of Employment Standards, highlighted the opportunity for exemption available to employers facing financial constraints. This article delves into the details of the exemption process and its implications for employers who cannot afford to pay the National Minimum Wage. The Exemption Process: To be exempted from paying the National Minimum Wage, employers must consult with relevant trade unions or, in their absence, the affected employees. The application for exemption must be submitted to the Department of Employment and Labour. The Department requires employers to provide comprehensive financial statements for the current year and the previous two years, including predictions for the current year.  Additional information, such as depreciation

Impact of Landmark Verdict on Small Businesses in South Africa.

Introduction: A recent landmark verdict achieved through a nine-month mediation process under the International Labour Organisation (ILO) has significantly changed the government's racial policy in South Africa. This breakthrough, driven by civil society organisations such as Solidarity, marks a significant shift in the implementation of racial legislation since the inception of the Employment Equality Act. While the battle is not over, let's explore how the verdict will impact small businesses in the country, considering the newfound flexibility in legislation and the implications for hiring practices and workforce composition. Redefining the Use of Race: The crucial outcome of the ILO-mediated process is eliminating demographic diversity as the sole criterion for determining workforce composition. Instead, the government has conceded to pressure and adjusted the regulations for greater flexibility. This represents a significant departure from the rigid application of race-bas