Employment Equity

Introduction:

According to the Employment Equity Amended Act of 2013 – Section 20 (gazetted on the 16th of January, 2014), designated employers (see below) are required to prepare and implement an Employment Equity Plan. Failing to do so can lead to fines from R1.5 million or more.

Inspectors: 

Recently it has become apparent that the Department of Labour has become active in sending EE inspectors to selected companies to investigate the existence of Employment Equity Reports and Plans.



What is a Designated Employer?

Designated employers are employers who:

  • Employs 50 or more employees, or

  • Whose annual turnover is equal or more than the following thresholds;

    • Agriculture: R6 million

    • Mining and Quarrying: R22.5 million

    • Manufacturing: R30 million

    • Electricity, Gas and Water: R30 million

    • Construction: R15 million

    • Retail and Motor Trade and Repair Services: R45 million

    • Wholesale Trade, Commercial Agents and Allied Services: R75 million

    • Catering, Accommodation and other Trade: R15 million

    • Transport, Storage and Communications: R30 million

    • Finance and Business Services: R30 million

    • Community, Special and Personal Services: R15 million
       

What are the obligations of Designated Employers?  

  • Affirmative Action: A designated employer must implement affirmative action measures for designated groups to achieve employment equity.

  • Responsibilities: In order to implement affirmative action measures, a designated employer must appoint an Employment Equity Manager, responsible for:

    • Employment Equity Analysis (EEA 12) : Conduct an analysis in terms of the company employment equity.

    • Employment Equity Plan (EEA 13): Prepare an Employment Equity Plan indicating what the plans are to improve Employment Equity in the company.

    • Employment Equity Committee: Consult with employees regarding equity matters.

    • Employment Equity Reports: Report to the Director-General on progress made in the implementation of the plan on an annual basis.

 
ExcelGrow Services: 

ExcelGrow offers the following services:

  • Phase 1:  1-Hour Training Session​

Attendees: Employment Equity Key Stakeholders​

Outcomes:   To enable the stakeholders to

      • Understand Employment Equity.

      • Understand how to become compliant.

      • Understand how to manage the risks related to Employment Equity.

 

  • Phase 2:  Employment Equity Plan Facilitation

Participants: Employment Equity Team & Excelgrow Consultant.

Outcomes:  To assist the Employment Equity Team to:

      • Employment Equity Plan File: Assistance in the compilation of the EE Plan File.

      • EE Committee: Assistance in the selection, training and activation of the EE Committee. 1 to 3 Meetings annually.

      • EE Plan Inspections:  Assistance at the time of the Employment Equity Inspection.

Templates:   To supply a set of templates to use in the completion of a EE Plan.

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  • Phase 3:  Employment Equity Report Completion

Participants: Employment Equity Team & Excelgrow Consultant.

Outcomes:  To assist the Employment Equity Team to:

      • Employment Equity Plan Report: Assistance in the compilation of the EE Report – normally from October to December of every year.

Next Steps:
  • Contact our office to arrange a meeting.
  • An assessment will be made of your specific needs, followed by an agreed upon process.
  • Note: The first meeting is always free of charge.
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