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
Contractors, copyright and computer programs – what should business owners know?
by Danelle Plaatjies, and, Monique le Roux, Candidate Attorneys. Reviewed by, Jacques van Wyk, Director and Janine Hollesen, Head of [...]
Illegal mining, the ‘zama zamas’ and the Law
Illegal mining is a critical challenge in the South African mining and minerals industry. The South African government previously recognised [...]
Derivative misconduct in the workplace
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; Kelly Sease and Danelle Plaatjies, Candidate Attorneys Issue Whether or [...]
Normal retirement age versus agreed retirement age
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; Kelly Sease and Danelle Plaatjies, Candidate Attorneys An agreed retirement [...]
Road block ahead! Are data protection laws stifling technological innovation?
by Ahmore Burger-Smidt, Head of Data Privacy and Cybercrime Practice, and Siyabonga Galela, Candidate Attorney Oh, where the time has gone! It [...]
Sticks, straws and bricks: POPIA compliance strategy & governance framework
The Protection of Personal Information Act, 4 of 2013 (POPIA) is now over a year in full effect. Indeed, the [...]
