June 16th – Youth Day.

The commemoration of Youth Day this year marks the 37th anniversary of the 16 June Soweto uprising and was celebrated under the theme “Working together for youth development and a drug free South Africa”. The national Youth Day commemoration took place in Newcastle, KwaZulu-Natal.

In 1975 protests started in African schools after a directive from the then Bantu Education Department that Afrikaans had to be used on an equal basis with English as a language of instruction in secondary schools. The issue, however, was not so much the Afrikaans as the whole system of Bantu education which was characterised by separate schools and universities, poor facilities, overcrowded classrooms and inadequately trained teachers.

On 16 June 1976 more than 20 000 pupils from Soweto began a protest march. In the wake of clashes with the police, and the violence that ensued during the next few weeks, approximately 700 hundred people, many of them youths, were killed and property destroyed.

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TERS for COVID-19

UIF to process COVID-19 TERS benefit to assist employers and workers during Coronavirus (COVID 19) lockdown26 March 2020

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The Minister of Employment and Labour, T.W Nxesi has recently announced measures that the Department will put in place under the current special circumstance relating to the Corona virus (COVID-19) and its impact on UIF contributors.

To mitigate the impact of the 21-day national lockdown on workers, business and the economy, the UIF will be electronically processing applications for the Covid-19 TERS Benefit.

Therefore, the Unemployment Insurance Fund (UIF) Commissioner, Teboho Maruping, after consultation with UIF’s Executive and the Board developed the Covid-19 Temporary Employer-Employee Relief Scheme (COVID-19 TERS) to contribute to the containment of the pandemic. 

For assistance with the application process, please contact Viva labour Consultants or alternatively the Department of Labour or Call the UIF hotline.

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Compensation Fund introduces a new system in an effort to improve service delivery

In an effort to facilitate easy access for claimants particularly the injured workers, the Fund has replaced the old system (UMEHLUKO), and introduced a new one  called (COMPEASY).

The Department of Employment and Labour Compensation Funds’ (CF) role is to provide for compensation for disablement caused by the occupational injuries or diseases sustained or contracted by employees in the course of their employment, or for death resulting from such injuries or diseases; and to provide for matters connected therewith.

COMPEASY was launched on 11 October 2019, and has processed in excess of hundred and twenty thousand (120 000) medical claims and over  eight thousand (8 000) claims registration.

Because it is a new system which is meant to address fraudulent and invalid claims, it is experiencing few challenges which includes:

·         Some users who are struggling to access the new system;

·         Migration and cleaning of data from the old to new system;

·         General network down time experienced by  external users.

Noting that the Fund  has received some complaints and frustrations from clients, we are continuing with the following :

  • Providing training to stakeholders as we have been since 2019;
  • Supporting stakeholders in accessing the new system and;
  • Using feedback from users to continue improving user experience.

 All our clients are encouraged to access All user manuals which  are available on the departments website (www.labour.gov.za).  Lastly  we encourage all our stakeholders who are experiencing challenges  with the system to contact us as follows:

Compeasysupport@labour.gov.za, all COMPEASY manuals can be accessed through http:www.labour.gov.za/compeasy-manuals.

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Issued by:

Teboho Thejane

Departmental Spokesperson

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The new NMW base rate to come into effect in March 2020

The new rate for the National Minimum Wage (NMW) for each ordinary hour worked will now be R20.76. 
In terms of a notice as published in the Government Gazette and signed by Employment and Labour Minister, T.W Nxesi the new rate will be applicable on 01 March 2020. 
The new amendment to the NMW is in line with the Basic Conditions of Employment Act, which allows for an annual review.  
In terms of the new determination farmworkers are entitled to a minimum wage of R18.68 per hour,• Domestic workers are entitled to a minimum wage of R15.57 per hour, • Workers employed on an expanded public works programme will receive a minimum wage of R11.42 per hour. 
The national minimum wage is the floor level below which no employee should be paid, and this does not include any other allowances. The NMW came into effect on 01 January 2019 at a level of R20 per hour. The NMW apply to all workers  –  that is, any person who works for another person and who receives or is entitled to receive any payment for that work.
For workers who still earn below the NMW level, legislation provided for a transition until all employers are subjected to the NMW. 
For enquiries:
Teboho Thejane Departmental SpokespersonTeboho.thejane@labour.gov.za 082 697 0694
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Issued by: Department of Employment and Labour

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Everything you need to know about the national minimum wage

Workers pour cement.

As of January 1, 2019, South Africa’s first-ever national minimum wage is in effect. Fin24 unpacks everything you need to know about it.

What is the rate?

The legislation stipulates a minimum national rate of R20 per hour, or   R3 500 per month, depending on the number of hours worked.

The R20 an hour rate will be phased in slowly in the agriculture and domestic work sectors, with workers earning R18 and R15 per hour respectively. 

When did it become law?

In February 2017, stakeholders in government, labour and business, represented in the National Economic Development and Labour Council, first signed the national minimum wage agreement.

The bill was approved by Cabinet later in 2017. The National Assembly and the National Council of Provinces both passed the bill in late May 2018, along with the related legislation the Basic Conditions of Employment Amendment Bill and the Labour Relations Amendment Bill.

President Cyril Ramaphosa signed the bill into law November 2018. In early December, at a ceremony held in Kliptown, Soweto, he announced that it would come into effect on January 1, 2019. 

The location was chosen in a nod to the Freedom Charter, which was adopted there in 1955 and called for a minimum wage.

Whose idea was it to have a national minimum wage?

A unified national minimum wage, which spans all economic sectors, has been more than four years in the making. It followed the signing of the Ekurhuleni Declaration by business, government, labour and civil society, represented at the National Economic Development Council, in November 2014. 

Organised labour have been calling for a national minimum wage since at least 1994. In August 1997 trade union federation Cosatu, for example, proposed to lobby for a national minimum wage, in part to “prevent the re-emergence of apartheid-type employment strategies”.

Does everyone support the national minimum wage?

Cosatu and the Federation of Unions of South Africa have supported the wage, saying it is expected to benefit over six million workers earning less than the prescribed level.

Cosatu president Zingiswa Losi said in early December that half the nation would benefit from the minimum wage directly, as 47% of the workforce currently earns below the threshold. She also said it would act as a stimulus for the economy.

Tanya Cohen, the CEO of Business Unity SA, speaking at the same event as Losi, said ratings agencies want to see a stable labour market in the country and the minimum wage would be credit positive. She added that the design of the wage took into account affordability and the phasing in of the wage threshold for domestic workers and farmworkers. “In the end, we did manage to find a sweet spot, between what is socially acceptable and economically efficient,” she said.

The South African Federation of Trade Unions (Saftu) has criticised the wage for not being a living wage, and has held a national protest, challenging the president to try and live on it. 

Some economists. meanwhile, have warned it may depress SA’s already high unemployment rate further by making it more expensive to hire workers. 

What does the president say?

At a Worker’s Day rally in 2018, Ramaphosa called the wage a “great victory”, He said the wage would provide a “firm and unassailable” foundation from which to build towards a living wage.

“A wage increase of that size and that extent is unprecedented in our history, and we must celebrate it.

“The national minimum wage is like a great hill that we have climbed, but we dare not linger, because there are still many more hills to climb,” he said at the time.

In his New Year’s message, a day before the wage came into effect, Ramaphosa described it as a “powerful demonstration of shared resolve of all social partners to tackle poverty and inequality”.

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Minimum Wage for Hospitality Sector As Of 1 July 2018

The Department of Labour has announced that the the minimum wage for South Africa’s hospitality sector will be revised upward with effect from 1 July 2018.

As defined under current sectoral determinations, these changes apply to all workers in the hospitality sector – including those that work in:

Hotels
Inns
Resorts
Accommodation faculties
Restaurants
Pubs
Coffee shops
Catering
However, they do not apply to those involved in the trading and letting of flats, rooms, and houses, or employees who are covered under another sectoral determination.

According to the Department, the minimum rate for employers with 10 or less employees will be a monthly wage of R3,384.71; a weekly rate of R781.14; and an hourly rate of R17.34

The new wages for employers with more than 10 employees will be a minimum monthly rate of R3,772.65; a weekly rate of R870.62; and an hourly rate of R19.35.

“The current wage increases have been determined by using the April CPI (excluding owners’ equivalent rent) reported by Stats SA on the 23 May 2018 which is 4.5% plus 1.5% as prescribed in the Sectoral Determination. The total increase is 6%,” the Department said.

While these fees are the minimum amounts that those working in the hospitality sector can expect to earn, workers can earn substantially more – especially if working for a large or well-respected business.

A number of workers in the hospitality sector also expect to earn tips or some form of gratuity, and because the new legislation has changed in recent years to apply to the whole hospitality sector (whereas it used to set out minimum wages for each job type), some may earn more than others.

For example, PayScale found that waiters and waitresses can expect to earn an average salary of R35,851 per year, while those working as a receptionist at a hotel can expect to earn closer to R60,000 a year.

10 or less employees

Amount worked 2018/2019 2016/2017
Month R3 384.71 R2 959.35
Day R781.14 R689.97
Hour R17.34 R15.17
10 or more employees
Amount worked 2018/2019 2016/2017
Month R3 772.65 R3 298.52
Day R870.62 R761.25
Hour R19.35 R16.91

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Newcastle Employment Equity Workshop!

INVITATION

This workshop seeks to focus on the following objectives:

-Publicising the code of good practice on employment of persons with disabilities;and

-The 2017 EE reporting particularly ON-Line reporting;and

-CCMA – Unfair discrimination cases

This workshop will take place as follows:

When: Friday, 22 September 2017
Time : 09h30 for 10h00 to 14h00
venue : Farmers Hall @ Newcastle Show Grounds (inside the small hall)

The Programme will include:

-Opening by the Department of Labours Deputy Director: Labour Centre Operations

-A presentation on three objectives outlined above

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An innovation pilot project in the domestic sector nears.

By Lloyd Ramutloa —30 June 2017

The Department of Labour’s Innovation Pilot Project will kick-start on the 3rd of July 2017. This is a pilot project aimed at unearthing innovative inspection methods in the Domestic Sector.
The move to embark on this project in this sector was necessitated by the fact that domestic employers are often employees themselves, and therefore unable to reach for inspections during normal working hours. This therefore meant that labour inspectors had to find other means to adequately attend to all inspections in the sector.
In addition to that, domestic workers are regarded as vulnerable workers and the sector within which they operate is therefore one of the priority areas where innovation has long been earmarked.
This pilot project is a culmination of deliberations which took place during the Innovation Workshop which was aimed at devising ways and means to respond to changes in the labour market.
These inspections will then be conducted from the 3rd – 6th of July 2017 in Bloemfontein, Welkom, Harrismith and Petrusburg respectively.
Two inspection methodologies aimed at enhancing the quality and efficiency of the inspection process will be adopted for this project;

Desktop Inspection – an inspection that will be conducted by an inspector while stationed at the Labour Centre. The inspection could be finalized without physically visiting the employer provided that all the information requested from the employer is received and the employer complies. Interview with both the employer and the employee will be conducted telephonically.
Afterhours Inspection – an inspection that will be conducted after normal working hours. This inspection requires a physical visit to the employer’s household. Information is requested during the inspection with the exception of Unemployment Insurance as it will be required prior the visit. Interview with the employee is conducted in person if the domestic employee resides with the employer and telephonically if he/she commutes daily.
These inspections will be conducted to check compliance with the following labour laws;
Sectoral Determination (SD) for the Domestic Sector (SD 7);
Unemployment Insurance Act (UIA); and
Unemployment Insurance Contributions Act (UICA).
At the end of this Innovation Pilot Project a comparison will be done between the two inspection approaches to identify the most efficient and effective approach to be adopted for future inspections in the Domestic Sector.

Issued by: Josial Ramokoena
Provincial Spokesperson
Department of Labour: Free State

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Employment Equity Roadshows 11 July- 08 September 2017

The Department of Labour will be hosting its annual workshops/road shows to promote the implementation and compliance with the Employment Equity
by Lloyd Ramutloa —21 June 2017

The Department of Labour will be hosting its annual workshops/roadshows to promote the implementation and compliance with the Employment Equity Act

The Department of Labour hosts workshops/roadshows in all provinces annually to share key information and at the same time, provide a platform to stakeholders to engage on matters relating to employment equity from 11 July to 08 September 2017.

Held under the theme: “Real transformation makes business sense” – the roadshows in addition to creating awareness on compliance with the Employment Equity Act, will share the most current information and help prepare employers to submit fully and accurately EE reports online to the Department for the 2017 reporting period. This year’s workshops focus on the following:

• publicise the Amended Code of Good Practice on the Preparation and Implementation of the EE plans,

• encourage employers to submit EE reports online,

• publicise the 17th CEE Annual Report and the 2016 EE Public Register, and

• present current CCMA cases on Employment Equity Act.

During the recent launch of the 17th CEE Annual Report, Labour Minister Mildred Oliphant announced that government was considering amending Sections of the EE Act in order to promulgate Section 53 and to strengthen the compliance provisions of the Act.

The 17th Commission For Employment Equity Report showed that the representation of the White group at Top Management Level was 68.9 percent which is more than six times their Economic Active Population (EAP). The situation was also the case with the Indian group at 8,6 percent as they have a representation of three times more than their EAP. The opposite is true for the African group at 14,3 and Coloured group at 4,7 percent – as they are under-represented in relation to their EAP.

This skewed demographic picture is also the same at Senior Management, at Skilled Technical, and Professional level.

Oliphant called on workers to be vigilant, by ensuring that they truly scrutinize the equity plans and reports, before being submitted to the department.

Due to the high demand for the workshops, the department will host a few additional workshops in some of the key metropolitan areas this year. This year’s workshops will be held as follows:

• Northern Cape, Kimberley (11 July);

• North West, Rustenburg (13 July);

• Mpumalanga, Witbank (17 July);

• Limpopo, Thohoyandou (18 July) and Polokwane (19 July);

• Free State, Bloemfontein (24 July);

• KwaZulu-Natal, Richards Bay (01 August) and Durban (02 August);

• Eastern Cape, East London (15 August) and Port Elizabeth (16 August);

• Western Cape, George (22 August) and Cape Town (24 August); and

• Gauteng, Pretoria (05 September), Ekurhuleni (06 September), Vaal (07 September) and Ekurhuleni (08 September).

For the third year in the running, the Department of Labour will also share the stage with the Commission for Conciliation Mediation and Arbitration (CCMA) in order to share information on dispute resolution and case law.

The target audience for the workshops during the roadshows includes: human resources executives and practitioners; EE Forum members; assigned senior EE managers/transformation managers; academics and trade unions among others.

The EE national workshops will be held from 08:30-14:00 at venues to be confirmed for each province.

Please note that the season for reporting, i.e. for manual and online reporting, opens on 1 September 2017.

For more information contact:

Teboho Thejane

Department of Labour Spokesperson

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Hospitality sector minimum wage for 2017/2018

by Lloyd Ramutloa — 3 July 2017

The minimum wage for South Africa’s vulnerable sector of hospitality has been revised upward with effect from 01 July 2017.

The new Hospitality Sectoral Determination which governs minimum wage rate in the sector will be effective until 30 June 2018.

The minimum rate for employers with 10 or less employees will be a monthly wage of R3 193.12 (2016/2017: R2 959.35); a weekly rate of R736.92 (2016/2017: R689.97); and an hourly rate of R16.36 (2016/2017: R15.17).

The new wages for employers with more than 10 employees will be a minimum monthly rate of R3 559.10 (2016/2017: R3 298.52); a weekly rate of R821.34 (2016/2017: R761.25); and an hourly rate of R18.25 (2016/2017: R16.91).

The latest increase was arrived at using the consumer price index of 6.4 percent plus 1.5 percent. The total increase is 7.9 percent.

Issued by:

Department of Labour Spokesperson

Teboho Thejane

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