[Image: Flickr]
Starting Tuesday, employees with an annual income above a specified threshold will no longer be covered by South Africa’s labour legislation.
As outlined in a notice in the Government Gazette, the new earnings threshold is set at R261,748.45 annually or R21,812.37 per month. This marks an increase of R7,376.78, or a 2.9% rise from last year’s threshold.
The threshold affects the application of the Basic Conditions of Employment Act, the Labour Relations Act, and the Employment Equity Act.
Under the updated regulations, employees earning above the threshold will be excluded from rules governing working hours, overtime, Sunday pay, night work pay, and compensation for work on public holidays, among others.
Labour expert Malesela Letwaba from Cliffe Dekker Hofmeyr explains, “The Basic Conditions of Employment Act is designed to protect vulnerable employees, typically those with lower earnings. By granting them protections under Chapter 2, these employees can approach forums like the CCMA and various bargaining councils to enforce their rights.”
Letwaba continues, “On the other hand, employees earning above the threshold are considered well-compensated and can enforce their rights either through the CCMA or, when applicable, the Labour Court of South Africa.”
[Source: SABC News]
