Enforcing the Basic Conditions of Employment Act
Published in Labour Law · 5 July 2022
Has your business been visited by the Department of Labour? Can a Labour Inspector visit your business without permission or warning?
Our previous article explained the importance of the employment contract. In this article we will look at how the Basic Conditions of Employment Act 75 of 1997 (BCEA) can be monitored, enforced and what the consequences of non-compliance are.
The labour inspector is an individual that is appointed by the Minister in writing to monitor and enforce compliance to labour legislation. If your business has not been visited by a labour inspector, then consider yourself lucky. Labour inspectors can visit your business premises without warrant and without notice in order to monitor and enforce compliance to Labour Legislation.
Labour inspectors can request documents regarding working hours, payslips and they may interview your staff. If you do not comply with the National Minimum Wage, Unemployment Insurance Act or payment of workmen’s compensation for your employees, the inspector will discover this, and the penalties may be immediate. Every business is also required to have a summary of the BCEA, Labour Relations Act, Employment Equity Act and the Occupational Health and Safety Act available to their staff.
Please note that labour inspectors may not enter a person’s home without consent or written authorisation from the Labour Court. The labour inspector is required, if possible, to notify the business owner and a trade union representative when entering the business premises.
Many honest business owners want to comply with the law but are unaware of applicable legislation or sectoral determinations that govern their businesses. When the labour inspector visits, it is important not to protest or react in anger but to comply and endeavour to correct any areas where you are found wanting.
Labour inspectors can allow for grace periods to rectify areas of concern if the employer is cooperating, but this may not always be the case. If employers are stubborn, hostile or persist in violation of legislation this can result in the issuance of compliance orders, hefty penalties, CCMA referrals, the shutting down of your business or even imprisonment.
Ensuring that you are in compliance with the labour laws reduces the risk of disputes with your employees, the CCMA and with the Department of Labour. It also promotes a safe and productive work environment and most importantly, gives you better control of your workforce.
This article does not constitute legal advice and is based on the author’s interpretation of legislation and case law. Book a consult for legal advice or assistance pertaining to your specific matter.