BASIC CONDITIONS OF EMPLOYMENT ACT ANNUAL EARNINGS

It has come to this time of the year that the Minister of Labour has reset the annual earnings threshold as from the 1st July 2014.  The new threshold is R205, 433.30.  Anyone earning over this figure is excluded from the protection offered in the BCEA in terms of Sections 9, 10, 11, 12, 14, 15, 16, parts of 17, and parts of 18.  The individuals earning over R205, 433.30 are not limited to 45 hours a week and nor are they given any overtime.  They are not paid extra to work on Sundays and they are not given the mandatory allowance for employees who engage in night work.

It is worthwhile considering giving employees an increase who are just under the threshold so as to ensure that they don’t have access to all the overtime payments.