South Africa: Employment and Labour On Recovering Over R2 Million for Non-Compliance With Labour Legislation

press release

Department of Employent and Labour Inspectorate recovers over R2 million rands for non-compliance with labour legislation

The Department of Employment and Labour Inspection and Enforcement Services (IES), in the Western Cape Province, has recovered a grand total of R 2 563 440,00 during inspections conducted in the 2021/2022 financial year.

According to Principal Inspector Desmond Brown, of the 30252 inspections conducted, a total of 8809 workplaces were found to be non-compliant and of those, 804 were referred for prosecution.

Mr. Brown was speaking today, (29 June 2022), during the Unemployment Insurance Fund (UIF) media briefing held in Cape Town.

In terms of compliance with the Employment Equity Act, of the 227 workplaces inspected, 143 were found to be non-compliant and 10 were referred for prosecution. The 14374 inspections conducted in relation to the Basic Conditions of Employment Act (BCEA) and National Minimum Wage Act (NMWA) revealed that, 554 workplaces inspected were found to be non-compliant and of those, 79 were referred for prosecution resulting in the recovery of R712 472,24 on BCEA and R649 665,48 for NMWA.

Inspections conducted in terms of compliance with the Unemployment Insurance Act legislation, Brown revealed that, of the 2428 inspections, 1195 were found to be non-compliant and of those, 257 were referred for prosecution with the inspectorate recovering R579 762,21.

Compliance in respect of the Compensation for Occupational Injuries and Diseases Act (COIDA) was sitting with non-compliance of 638 of the 1189 workplaces conducted. Monies recovered amounted to 621 540,07.

The Department of Employment and Labour inspectors and Employer Auditors are responsible to administer the Unemployment Insurance Act and Compensation for Occupational Injuries and Diseases Act. Chapter 10 of the Basic Conditions of Employment Act, gives powers and functions of inspectors to promote, monitor, and enforce compliance with labour legislation.

It is the duty of inspectors to advice employees and employers of their rights and obligations; conduct inspections; investigate complaints; endeavor to secure compliance by securing undertakings or issuing compliance orders; contravention notices; prohibition notices and referral to court.

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