Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Increase to BCEA Earnings Threshold

New Regulation or Official Guidance

Author: Tracy van der Colff, Partner and Head of Employment – OWP Partners

On March 5, 2024, the Minister of Employment and Labor published a determination increasing the earnings threshold in terms of the Basic Conditions of Employment Act 75 of 1997 (BCEA). The earnings threshold increased from ZAR 241 110.59 to ZAR 254 371.67 per year, with effect from April 1, 2024.

“Earnings” means the regular annual remuneration paid to employees before deductions. When employees earn below the threshold amount, certain important provisions of the BCEA and the Labor Relations Act 66 of 1995 are triggered which afford additional rights and protections to those employees.

Increase to National Minimum Wage

New Regulation or Official Guidance

Author: Tracy van der Colff, Partner and Head of Employment – OWP Partners

With effect from March 1, 2024, the national minimum wage increased to ZAR 27.58 per hour, including for farm workers and domestic workers.

Proposal to Introduce "Digital Nomad” Visa

Proposed Bill or Initiative

Author: Tracy van der Colff, Partner and Head of Employment – OWP Partners

On February 8, 2024, the Department of Home Affairs published a draft amendment to the 2014 Immigration Act Regulations. One of the notable proposed amendments include the introduction of a “digital nomad” visa in respect of remote workers who are employed by foreign companies.

The visa would allow remote employees who are based in South Africa to work for a foreign company provided that:

• Such foreigner earns ZAR 1,000,000.00 or more per year
• If the visa is issued for a period not exceeding six months within a 12-month period, the foreigner will not be required to register with the South African Revenue Service
• If the visa is issued for a period longer than six months within a 12-month period, the foreigner must register with the South African Revenue Service

The proposed draft was open for public comment until March 29, 2024. We will provide an update on the outcome of this proposal.

Proposal for Sector-Specific Employment Equity Targets

Proposed Bill or Initiative

Author: Tracy van der Colff, Partner and Head of Employment – OWP Partners

The Employment Equity Act 55 of 1998 (EEA) applies to all employers and employees in South Africa. The EEA contains provisions to eliminate unfair discrimination and to promote affirmative action. Affirmative action measures are designed to ensure equal employment opportunities for black people, women, and people with disabilities.

"Designated employers" are required to implement an employment equity plan and report annually to the Department of Labour. The Employment Equity Amendment Act 4 of 2022 (EEAA) amends the definition of "designated employer" and empowers the Minister of Employment and Labour to set numerical employment equity targets. Failure to comply with the EEA can result in fines.

On February 1, 2024, the Minister of Employment and Labour published proposed sectoral numerical targets for public comment. The period for comment on the proposed targets will run for 90 days from the date of publication of the notice. We will provide an update on the outcome of this proposal.