New Employment Equity Act to come into effect on 1 Jan
Minister of Employment and Labour Nomakhosazana Meth announced that the Employment Equity Amendment Act – aimed at reducing the regulatory burden for small employers – will come into effect on New Year’s Day.
She says this will allow smaller businesses to focus more on job creation.
President Cyril Ramaphosa signed the EEAA on 14 April 2023, introducing some changes to the EEA of 1998.
The department says in terms of the notice gazetted on 28 November 2024, small businesses that employ less than 50 employees are no longer bound to comply with Chapter III of the Employment Equity.
Act, 1998 (EEA) for example, in relation to the submission of their EE reports starting from 2025 EE reporting period.
The main objectives of the Employment Equity Amendment legislation are as follows:
- To reduce the regulatory burden for small employers (employers employing between1 to 49 employees) – will be excluded from complying with the provisions of Chapter III of the EE Act.
- To empower the Minister to regulate the sector-specific numerical EE targets.
- To promulgate Section 53; and
- To strengthen compliance, including the issuing of EE compliance certificates.
Meth said she's positive that the regulatory flexibility will enable small businesses to now focus on growing their businesses and create jobs.
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