DECEMBER 2013: NEWSLETTER FOR THE CLIENTS OF ALTITUDE

This is just a short newsletter, firstly and primarily wishing everyone a healthy, safe and peaceful time over the festive period.  We wish everyone a fantastic New Year and great strength to their businesses during 2014.

2013 has been a volatile year with many strikes and knocks to the economy.  Many small businesses have suffered through 2013 and have just managed to survive.  The labour law environment has not treated business well and despite calls for labour reform our Government has seen fit to introduce some harsh changes to the labour law which will likely to be implemented by about April 2014.

We will see the changes introduced into the Basic Conditions of Employment Act, The Labour Relations Act and the Employment Equity Act.  There are still some discussions in the Employment Services Bill but this will also probably go through during mid year 2014.

The businesses that are involved in temporary employment services will have to register with the Department of Labour.  This registration will probably be in the second half of 2014.

Obviously some of the changes will need to be properly managed and as currently advised any staff members who earn less than R200,000-00 per annum and who are employed for over three months will mean that there is a joint and several liability between the employment service and the Client.  There will be a deeming provision stating that the employee becomes the employee of the Client but this deeming provision can be overcome in certain circumstances.  Altitude will be having a seminar on the law changes in the first quarter of 2014.

Michael Bagraim