EE Amendment act

EE Amendment Act

During DG reviews it became evident that number of Employers that are non-compliant or in breach of the EE Act, continue to unfairly benefit financially from State by accessing State contracts, despite lack of commitment to transform and create equal opportunities
It became prudent to promulgate Section 53 of the Act for first time since 1998.
The EE Act was amended, allowing the Minister of Employment and Labour to establish sectoral numerical targets for the purpose of ensuring the equitable representation of suitably qualified people from designated groups.

Please note that the below are just some of the main amendments EECMS identified and does not cover and / or explain all the amendments.

The definition of a designated employer is amended by repealing paragraph (b) which classifies employers with fewer than 50 employees who meet a turnover threshold as designated employers.
Section 16A certificate (designated employers) and Section 16B certificate (non-designated employers) introduced.
Sectors and sub-sectors amended (from 11 to 18 sectors).
A new section, 15A, is inserted allowing the Minister to –
- identify national economic sectors for the purposes of the administration of the Employment Equity Act.
- establish numerical targets for these sectors.
- The sectoral targets set may differentiate between occupational levels, sub-sectors, regions or other relevant factors and
- The Minister may publish regulations listing the criteria to be applied in setting sectoral targets.
Amendment of Section 20 of Act 55 of 1998 (provision to link the sectoral numerical EE targets to the numerical targets set by designated employers in the EE Plan).
Regulations and sectoral numerical targets still to be introduced to define the process of the EE Amendment implementation