Legal updates and opinions
News / News
Increase to BCEA earnings threshold
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; and Thabisa Yantolo, Candidate Attorney
On 8 February 2021 the Minister of Employment and Labour, Thembelani Waltermade Nxesi, published a Government Gazette[1] providing for the increase of the earnings threshold, as provided for in the Basic Conditions of Employment Act 75 of 1997 (“BCEA”). The new earnings threshold will be R211,596.30 per annum with effect of 1 March 2021.
‘Earnings’ is defined 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 such as those relating to 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)).
[1] Gazette Number: 44137. Notice No: 77.
Latest News
The right to privacy and the Amendments to the Disaster Management Regulations
by Jones Antunes, Director; Innocentia Moele; Senior Associate; and Danielle Hertz, Candidate Attorney On 1 April 2020 the Minister of [...]
Litigation during the lock-down
Pending litigation during lockdown On the evening of 30 March 2020, President Cyril Ramaphosa addressed the Nation, four days into the [...]
COVID-19 and funerals: What is the legal position?
by Naledi Motsiri, Director and Nelsie Siboza, Candidate Attorney Introduction The highly contagious and even deadly Coronavirus ("Covid‑19") has had [...]
COVID-19 tax relief measures
By Erich Bell, Director, Werksmans Tax Proprietary Limited The Draft Disaster Management Tax Relief Bill, 2020 and Disaster Management Tax [...]
Update: The National Textile Bargaining Council
by Andre van Heerden, Senior Associate; Jacques van Wyk, Director, Bradley Workman-Davies, Director; and Thabisa Yantolo , Candidate Attorney The [...]
Tourism Relief Fund
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; Michiel Heyns, Senior Associate; and Nasheetah Smith, Senior Associate The [...]
