Legal updates and opinions
News / News
Increase to BCEA earnings threshold
On 20 February 2023 the Minister of Employment and Labour, Thembelani Waltermade Nxesi, published a Government Gazette providing for the increase of the earnings threshold, as provided for in the Basic Conditions of Employment Act 75 of 1997 (“BCEA”). The increase will be from R224,080.48 per annum to R241,110.59 per annum with effect of 1 March 2023.
The meaning of ‘Earnings’ is set out in the Government Gazette notice as
“the regular annual remuneration before deductions i.e income tax, pension, medical and similar payments but excluding similar payments (contributions) made by the employer in respect of the employee: Provided that subsistence and transport allowances received, achievement awards and payments for overtime worked shall not be regarded as remuneration for the purpose of this notice.”
Employees who earn in excess of the threshold are excluded from certain provisions of the BCEA including ordinary hours of work (section 9), overtime (section 10), compressed working weeks (section 11), averaging hours of work (section 12), meal intervals (section 14), daily and weekly rest periods (section 15), pay for work on Sundays (section 16), pay for night work (section 17(2)) and pay for public holidays where the employee works on a day he/she would not ordinarily work (section 18(3))
Latest News
Retrenchment Remedies – Getting The Process Back On Track
By Bradley Workman-Davies, Director and Mishkah Abdool Sattar, Candidate Attorney Retrenchments in South African law are regulated in terms of [...]
When Can Taxpayers Rely On Prescription Of Assessments?
By Ernest Mazansky, Director, Head of Tax Practice, Werksmans Tax (Pty) Ltd INTRODUCTION As is widely known, the general principle [...]
Does Validity Of A Contract Trump All Considerations In Review Of Agreements With Organs Of State?
By Jennifer Smit, Director Recently, Theron J handed down a judgment in the Buffalo City Metropolitan Municipality / Asla Construction [...]
The Legal Position Concerning Strict Compliance With The Stipulations In A Demand Guarantee
By Boitumelo Rammala, Associate and Dimakatso Mogafe, Candidate Attorney Reviewed By Jennifer Smit, Director Sasol Oil (Pty) Ltd ("Sasol") and [...]
IP & LEGACY
By Donvay Wegierski, Director NELSON MANDELA INTERNATIONAL DAY 18 July is Nelson Mandela International Day in remembrance and in [...]
BBBEE Commission Makes Findings Against Eskom
By Pieter Steyn, Director On 11 June 2019, the Broad‑Based Black Economic Empowerment (BBBEE) Commission published its findings and recommendations following [...]
