Legal updates and opinions
News / News
New Earnings Threshold
and Isabella Keeves, Candidate Attorney
As of 1 April 2025, the annual earnings threshold as stipulated under the Basic Conditions of Employment Act 75 of 1997 (“BCEA”) will increase from R254,371.67 per year to R261,748.45 per year.
This increase has arisen from the recent publication of the Government Gazette on 7 March 2025 by the Minister of Employment and Labour. A link to the relevant gazette can be found here, Basic Conditions of Employment Act Determination Earnings Threshold 2025.pdf
The annual earnings threshold is a monetary ceiling for employee income and provides that employees that earn above the threshold on an annual basis will be exempt from certain statutory provisions contained within the BCEA.
These statutory provisions are:
- 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 they would not ordinarily work (section 18(3)).
These provisions are of relevance in that they all ultimately provide a limitation on ordinary working hours, overtime hours, and provide for an entitlement to overtime pay, for employees who earn below the threshold. Employers should keep an eye on this annual threshold amount, as it is changed and updated frequently by the Department of Employment and Labour.
Latest News
Sick leave and annual leave during the lock-down
By Andre van Heerden, Senior Associate; Jacques van Wyk, Director, Bradley Workman-Davies, Director; and Thabisa Yantolo , Candidate Attorney Having [...]
When Insolvency meets the Environment: Directors and liquidators should develop a corporate green thumb
By Nastascha Harduth, Director. Bronwyn Parker, Senior Associate and Tsebo Masia, Candidate Attorney Introduction Corporate South Africa has long been [...]
When darkness comes, evil goes phishing….
By Ahmore Burger-Smidt, Head of Data Privacy Practice Let us not doubt the fact that cybercriminals are looking to exploit [...]
Home sweet home…. But do you know who is lurking in your space?
By Ahmore Burger-Smidt, Head of Data Privacy practice The concept of the home through the ages has been considered as [...]
The right not to be dismissed – a multiplicity of rights and actions
By Bradley Workman-Davies, Director The Labour Relations Act, 66 of 1995 has been a significant part of the South African [...]
The right of access to housing and its applicability to citizens or non-citizens
By Anele Ngidi, Director and Thomas Karberg, Candidate Attorney The latter part of 2019 was marred by a series of [...]
