Legal updates and opinions
News / News
New Earnings Threshold
and Danelle Plaatjies – Candidate Attorney
On 5 March 2024 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 R241,110.59 to R254,371.67 per annum with effect of 1 April 2024.
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 they would not ordinarily work (section 18(3)).
Latest News
CCMA pronounces on mandatory vaccination policy
Mandatory vaccination policy On Friday 21 January 2022, the Commission for Conciliation, Mediation and Arbitration (CCMA) delivered a much anticipated first pronouncement [...]
Effects of Business Rescue
What effect does business rescue have? 1. What happens to the directors during business rescue? The directors of the company [...]
Your Actions in Cyberspace can Land You in Prison!
Cybercrimes Act, 19 of 2020 By proclamation in the Gazette, President Cyril Ramaphosa has fixed 1 December 2021 as the date [...]
Data protection and privacy regulation: A roundup of developments in Africa in 2021
Data protection, cybercrimes and/or cybersecurity laws The increase in internet penetration in Africa has made it easier to collect, use [...]
Who was worse: The Attorney or the Legal Practice Council?
Roll of attorneys In a matter recently heard before the Western Cape High Court, erstwhile attorney Gerrit Smit Van Wyk [...]
Shareholders stuck between a rock and a hard place
Companies Act 71 of 2008 Brief overview of Section 163 Introduction There are instances where the Companies Act 71 of [...]
