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
Spotlight on boards and shareholder activism
INTRODUCTION Corporate activism places public pressure on boards to improve both financial and non-financial performance of companies. Non-financial performance [...]
New treatment of fractional entitlements in terms of the JSE listings requirements
A recent change to the Johannesburg Stock Exchange (JSE) Listings Requirements, which deals with the manner in which entitlements to [...]
Strike action in circumstances where there has been a long delay between the issuing of a certificate of outcome and the subsequent election to embark on a strike
PRASA t/a Metrorail v SATAWU and Others (C190/2016) ISSUE Whether a strike is protected in circumstances where there has [...]
Is length of service reason to pay different salaries to employees performing the same functions?
Pioneer Foods (Pty) Ltd v Workers Against Regression (WAR) & others ISSUE Whether length of service is a [...]
Is a trade union entitled to organisational rights in terms of the LRA after acquiring majority representation at a single branch?
Professional Transport and Allied Workers Union obo members / Professional Aviation Services [2016] 4 BALR 421 ISSUE Whether a [...]
Asset for share transactions – beware of selling your shares within 18 months especially in the context of a share buy-back
To prevent tax considerations from discouraging the incorporation of a business, a specific form of ‘rollover relief’ is available when an asset [...]
