Employment equity encourages the establishment of working conditions that are free of barriers, corrects the conditions of disadvantage in employment and promotes the principle that employment equity requires special measures and the accommodation of differences for the designated groups in South Africa.

Submission of Employment Equity reports and related record keeping is done to:•Avoid huge fines for non-compliance (ranging between 2% and 10% of the company’s annual turnover or from 1.5 million to 2.7 million)•Up to R30 000 fines for responsible person – HR Manager/EE Manager•Ensure points on BBBEE (Black Based Broad Economic Empowerment) scorecard for Employment Equity as well as Management and Control.

EE and BBBEE:

Uplifting of Skills. Race and Gender representation, Localisation. Ownership

PE

PE

PE

Currently no sector charters!

A representative workforce of the Economically Active Population (EAP):

NATIONAL EAP:

The requirement in practical terms:

African Male 40.7 AF African Female 34.2Coloured Male 5.8 CF Coloured Flemale 5.0Indian Male 1.9 IF Indian Female 1.1White Male 6.4 WF White Female 4.9

54.8% 45.2

MALE FEMALE

TOTAL TOTAL

PROVINCIAL EAP:

A C I W A C I WWestern Cape 17.8 27.1 0.2 7.8 16.1 23.9 0.1 7.0 100.0Eastern Cape 39.9 7.7 0.4 5.7 35.5 5.5 0.4 4.8 100.0Northern Cape 28.0 20.7 0.1 4.9 24.2 19.0 0.0 3.0 100.0Free State 47.1 1.7 0.2 5.3 40.4 1.2 0.1 4.1 100.0KwaZulu-Natal 42.3 1.3 7.3 3.3 38.3 0.8 4.4 2.3 100.0North West 52.2 0.8 0.2 5.7 37.7 0.4 0.0 3.1 100.0Gauteng 42.5 1.9 1.5 9.8 34.2 1.9 0.9 7.2 100.0Mpumalanga 47.8 0.3 0.5 4.7 42.9 0.1 0.1 3.6 100.0Limpopo 54.5 0.2 0.5 1.8 41.3 0.1 0.2 1.5 100.0

Male FemaleProvince Total

Designated employers:"designated employer" means-(a) an employer who employs 50 or more employees; (b) an employer who employs fewer that 50 employees, but has a total annual turnover that is equal to or above the applicable annual turnover of a small business in terms of the schedule 4 of the Act:

Designated Employers:

Turnover threshold:Sector or subsectors Total annual turnoverAgriculture R6,00 mMining and Quarrying R22,50 mManufacturing R30,00 mElectricity, Gas and Water R30,00 mConstruction R15,00 mRetail and Motor Trade and Repair Services R45,00 mWholesale Trade, Commercial Agents and Allied Services R75,00 mCatering, Accommodation and other Trade R15,00 mTransport, Storage and Communications R30,00 mFinance and Business Services R30,00 mCommunity, Social and Personal Services R15,00 m

Designated groups: This means black people, women and people with disabilities who are citizens of South Africa by birth or descent or became citizens of South Africa by naturalization –

Before 27 April 1994 or After 26 April 1994 who would have been entitled to acquire

citizenship by naturalization prior to that date but were precluded due to Apartheid policies

‘Black people’ is a generic term which means, Africans, Coloureds (Chinese) and Indians.

Designated Groups

Assigning responsibility – senior managerConsultation – communication and awarenessPlanning – numerical goals, succession planning to achieve

management and control representation. A representative committee of the organization should be involved and devising and monitoring the EE plan.

EE Plan – EEA13:Section 19(1) of the EEA requires a designated employer to

conduct an analysis as prescribed, of its employment policies, practices, procedures and the working environment in order to identify employment barriers which adversely affect people from designated groups.

Steps to compliance:

Required reports for submission:EEA2 – Report on current workforce and numerical

goalsEEA4 – Income differentials between occupational levelsSystem opens for submission 1 SeptemberDeadlines:

Manual submission 1 October Online submission 15 January

Steps to compliance:

Monitor and review plan – regular meetings are requiredRelated required documents:

Declaration by employee of raceEE policyAppointments letters for senior managers and

committee membersEmployment equity constitutionWorkforce representation analysis

Steps to compliance:

Steps to compliance:Best practice policies

Code of good practice Disability in the workplace Performance management and job grading Equal work for equal pay Skills development Recruitment and selection Assessments and testing

Thank youwww.compliancehub.co.za

Tel o12 460 1337Cell – Cindy Jordaan 072 106 1324cindy@compliancehub.co.za