Extracts from the BASIC CONDITIONS OF EMPLOYMENT ACT, 75 of 1997: 

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CONTENTS

Chapter One  Definitions, Purpose and Application of this Act

1. Definitions
2. Purpose of this Act
3. Application of this Act

4. Inclusion of provisions in contracts of employment
5. This Act not affected by agreements

Chapter Two:  The Regulation of Working Time

Chapter Three:  Leave

Chapter Four:  Particulars of Employment and Remuneration

Chapter Five:  Termination of Employment

Chapter Six:  Prohibition of Employment of Children and Forced Labour

    43. Prohibition of employment of children
    44. Employment of children of 15 or older
    45. Medical examinations
    46. Prohibitions
    47. Evidence of age
    48. Prohibition of forced labour

Chapter Seven:  Variation of Basic Conditions of Employment

    49. Variation by agreement
    50. Variation by the Minister

Chapter Eight:  Sectoral Determinations

    51. Sectoral determination
    52. Investigation
    53. Conduct of investigation
    54. Preparation of report
    55. Making of sectoral determination
    56. Period of operation of sectoral determination
    57. Legal effect of sectoral determination
    58. Employer to keep a copy of sectoral determination

Chapter Nine:  Employment Conditions Commission

    59. Establishment and functions of Employment Conditions Commission
    60. Composition of the Commission
    61. Public hearings
    62. Report by the Commission

Chapter Ten  Monitoring, Enforcement and Legal Proceedings

    63. Appointment of labour inspectors
    64. Functions of labour inspectors
    65. Powers of entry
    66. Powers to question and inspect
    67. Co-operation with labour inspectors
    68. Securing an undertaking
    69. Compliance order
    70. Limitations
    71. Objections to compliance order
    72. Appeals from order of Director-General
    73. Order may be made order of Labour Court
    74. Consolidation of proceedings
    75. Payment of interest
    76. Proof of compliance
    77. Jurisdiction of the Labour Court
    78. Rights of employees
    79 Protection of rights
    80. Procedure for disputes
    81. Burden of proof

Chapter Eleven General

82. Temporary employment services
83. Deeming of persons as employees
84. Duration of employment
85. Delegation
86. Regulations
87. Codes of good practice
88. Minister's power to add and change footnotes
89  Representation of employees or employers
90. Confidentiality
91. Answers not to be used in criminal prosecutions
92. Obstruction, undue influence and fraud
93. Penalties
94. This Act binds the State
95. Transitional arrangements and amendment and repeal of laws
96. Short title and commencement

SCHEDULES


EXTRACTS 

Chapter One  

Definitions Purpose and Application of this Act

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1.  Definitions

In this Act, unless the context indicates otherwise-

"agreement" includes a collective agreement;

"area" includes any number of areas, whether or not contiguous;

"bargaining council" means a bargaining council registered in terms of the Labour Relations Act, 1995, and, in relation to the public service, includes the bargaining councils referred to in section 35 of that Act;

"basic condition of employment" means a provision of this Act or sectoral determination that stipulates a minimum term or condition of employment; "CCMA" means the Commission for Conciliation, Mediation and Arbitration established in terms of section 112 of the Labour Relations Act, 1995;

"child" means a person who is under 18 years of age;

"code of good practice" means a code of good practice issued by the Minister in terms of section 87 of this Act;

"collective agreement" means a written agreement concerning terms and conditions of employment or any other matter of mutual interest concluded by one or more registered trade unions, on the one hand and, on the other hand

(a) one or more employers;

(b) one or more registered employers' organisations; or

(c) one or more employers and one or more registered employers' organisation;

"Commission" means the Employment Conditions Commission established by section 59( 1 ) ;

"compliance order" means a compliance order issued by a labour inspector in terms of section 69(1);

"Constitution" means the Constitution of the Republic of South Africa, 1996 (Act No. 108 of 1996);

"council" includes a bargaining council and a statutory council.

"Department" means the Department of Labour;

"Director-General" means the Director-General of Labour; 25

"dispute" includes an alleged dispute;

"domestic worker" means an employee who performs domestic work in the home of his or her employer and includes-

(a)  a gardener;

(b)  a person employed by a household as driver of a motor vehicle; and

(c)  a person who takes care of children, the aged, the sick, the frail or the disabled, but does not include a farm worker;

"employee" means-

(a)  any person, excluding an independent contractor, who works for another person or for the State and who receives, or is entitled to receive, any 35 remuneration; and

(b) any other person who in any manner assists in carrying on or conducting the business of an employer, and

"employed" and "employment" have a corresponding meaning;

"employers' organisation" means any number of employers associated together for the purpose, whether by itself or with other purposes, of regulating relations between employers and employees or trade unions;

"employment law" includes this Act, any other Act the administration of which has been assigned to the Minister, and any of the following Acts:

(a)  The Unemployment Insurance Act, 1966 (Act No. 30 of 1966);

(b)  the Manpower Training Act, 1981 (Act No. 56 of 1981);

(c)  the Guidance and Placement Act, 1981 (Act No. 62 of 1981);

(d)  the Occupational Health and Safety Act, 1993 (Act No. 85 of 1993);

(e)  the Compensation for Occupational Injuries and Diseases Act, 1993 (Act No. 130 of 1993);

"farm worker" means an employee who is employed mainly in or in connection with farming activities, and includes an employee who wholly or mainly performs domestic work in a home on a farm;

"Labour Appeal Court" means the Labour Appeal Court established by section 167 of the Labour Relations Act, 1995;

"Labour Court" means the Labour Court established by section 151 of the Labour Relations Act, 1995;

"labour inspector" means a labour inspector appointed under section 63, and includes any person designated by the Minister under that section to perform any function of a labour inspector;

"Labour Relations Act, 1995" means the Labour Relations Act, 1995 (Act No. 66 of 1995);

"medical practitioner" means a person entitled to practice as a medical practitioner in terms of section 17 of the Medical, Dental and Supplementary Health Service Professions Act, 1974 (Act No. 56 of 1974);

"midwife" means a person registered or enrolled to practice as a midwife in terms of section 16 of the Nursing Act, 1978 (Act No. 50 of 1978);

"Minister" means the Minister of Labour

"month" means a calendar month;

"NEDLAC" means the National Economic, Development and Labour Council established by section 2 of the National Economic, Development and Labour Council Act, 1994 (Act No. 35 of 1994);

"ordinary hours of work" means the hours of work permitted in terms of section 9 or in terms of any agreement in terms of sections 11 or 12;

"overtime" means the time that an employee works during a day or a week in excess of ordinary hours of work;

"prescribe" means to prescribe by regulation and "prescribed" has a corresponding meaning;

"public holiday" means any day that is a public holiday in terms of the Public Holidays Act, 1994 (Act No. 36 of 1994);

"public service" means the public service referred to in section 1(1) of the Public Service Act, 1994 (Proclamation No. 103 of 1994), and includes any organisational component contemplated in section 7(4) of that Act and specified in the first column of Schedule 2 to that Act, but excluding-

(a)  the members of the National Defence Force;

(b)  the National Intelligence Agency; and

(c)  the South African Secret Service;

"registered employers' organisation" means an employers' organisation registered under section 96 of the Labour Relations Act, 1995;

"registered trade union" means a trade union registered under section 96 of the Labour Relations Act, 1995;

"remuneration" means any payment in money or in kind, or both in money and in kind, made or owing to any person in return for that person working for any other person, including the State, and

"remunerate" has a corresponding meaning;

"sector" means an industry or a service or a part of an industry or a service; "sectoral determination" means a sectoral determination made under Chapter Eight. "senior managerial employee" means an employee who has the authority to hire discipline and dismiss employees and to represent the employer internally and externally;

"serve" means to send by registered post, telegram, telex, telefax or deliver by hand. "statutory council" means a council established under Part E of Chapter III of the Labour Relations Act, 1995;

"temporary employment service" means any person who, for reward, procures for, or provides to a client, other persons-

(a)  who render services to, or perform work for, the client; and

(b)  who are remunerated by the temporary employment service;

"this Act" includes the Schedules and any regulation made under this Act, but does not include the headings or footnotes;

"Trade union" means an association of employees whose principal purpose is to regulate relations between employees and employers, including any employers' organisations;

"trade union official" includes an official of a federation of trade unions;

"trade union representative" means a trade union representative who is entitled to exercise the rights contemplated in section 14 of the Labour Relations Act, 1995;

"Remuneration" is given a specific meaning in section 35(5).

"wage" means the amount of money paid or payable to an employee in respect of ordinary hours of work or, if they are shorter, the hours an employee ordinarily works in a day or week;

"week" in relation to an employee, means the period of seven days within which the working week of that employee ordinarily falls;

"workplace" means any place where employees work

"workplace forum" means a workplace forum established under Chapter V of the Labour Relations Act, 1995.

2.  Purpose of this Act

The purpose of this Act is to advance economic development and social justice by fulfilling the primary objects of this Act which are-
(a)  to give effect to and regulate the right to fair labour practices conferred by section 23(1) of the Constitution-
(i)  by establishing and enforcing basic conditions of employment; and

(ii)  by regulating the variation of basic of basic conditions of employment;

(b)  to give effect to obligations incurred by the Republic as a member state of the International Labour Organisation.
3.  Application of this Act

(1) This Act applies to all employees and employers except-

(a)  members of the National Defence Force, the National Intelligence Agency and the South African Secret Service; and

(b)  unpaid volunteers working for an organisation serving a charitable purpose.

(2) This Act applies to persons undergoing vocational training except to the extent that any term or condition of their employment is regulated by the provisions of any other law.

(3) This Act, except section 41, does not apply to persons employed on vessels at sea in respect of which the Merchant Shipping Act, 1951 (Act No. 57 of 1951), applies except to the extent provided for in a sectoral determination.

4.  Inclusion of provisions in contracts of employment

A basic condition of employment constitutes a term of any contract of employment except to the extent that-
(a)  any other law provides a term that is more favourable to the employee,

(b)  the basic condition of employment has been replaced, varied, or excluded in accordance with the provisions of this Act; or

(c)  a term of the contract of employment is more favourable to the employee than the basic condition of employment.

5.  This Act not affected by agreements

This Act or anything done under it takes precedence over any agreement, whether entered into before or after the commencement of this Act.

Chapter Two:  The Regulation of Working Time

Chapter Three:  Leave

Chapter Four:  Particulars of Employment and Remuneration

Chapter Five:  Termination of Employment

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CHAPTER SIX

 PROHIBITION OF EMPLOYMENT OF CHILDREN AND FORCED LABOUR

 43.  Prohibition of employment of children

(1) No person may employ a child-

(a) who is under 15 years of age; or
(b) who is under the minimum school-leaving age in terms of any law, if this is 15 or older.

(2) No person may employ a child in employment-

(a) that is inappropriate for a person of that age;
(b) that places at risk the child's well-being, education, physical or mental health, or spiritual, moral or social development.

(3) A person who employs a child in contravention of subsection (1) commits an offence.

44.  Employment of children of 15 years or older.

(1) Subject to section 43(2), the minister may, on the advice of the commission, make regulations to prohibit or place conditions on the employment of children who are 15 years of age and no longer subject to compulsory schooling in terms of any law.

(2) A person who employs a child in contravention of subsection (1) or (2) commits an offence.

45.  Medical examinations

The Minister may, after consulting the Commission, make regulations relating to the conduct of medical examinations of children in employment. (Note 10)

46.  Prohibitions

It is an offence to-

(a) assist an employer to employ a child in contravention of this Act; or
(b) discriminate against a person who refuses to permit a child to be employed in contravention of this Act.

47.  Evidence of age

In any proceedings in terms of this Act, if the age of an employee is a relevant factor for which insufficient evidence is available, it is for the party who alleges that the employment complied with the provisions of this Chapter to prove that it was reasonable for that party to believe, after investigation, that the person was not below the permitted age in terms of section 43 or 44.

48.  Prohibition of forced labour

(1) Subject to the Constitution, all forced labour is prohibited.

(2) No person may for his or her own benefit or for the benefit of someone else, cause, demand or impose forced labour in contravention of subsection (1).

(3) A person who contravenes subsection (1) or (2) commits an offence.

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CHAPTER SEVEN

VARIATION OF BASIC CONDITIONS OF EMPLOYMENT
 
49.  Variation by agreement

(1) A collective agreement concluded in a bargaining council may alter, replace or exclude any basic condition of employment if the collective agreement is consistent with the purpose of this Act and the collective agreement does not-

 

(a) reduce the protection afforded to employees by sections 7, 9 and any regulation made in terms of section 13;

(b) reduce the protection afforded to employees who perform night work in terms of section 17(3) and (4);

(c) reduce an employee's annual leave in terms of section 20 to less than two weeks;

(d)reduce an employee's entitlement to maternity leave in terms of section 25;

(e)reduce an employee's entitlement to sick leave in terms of sections 22 to 24;

(f) conflict with the provisions of chapter 6.

(2) A collective agreement, other than an agreement contemplated in subsection (1), may replace or exclude a basic condition of employment, to the extent permitted by this Actor a sectoral determination.

(3) An employer and an employee may agree to replace or exclude a basic condition of employment to the extent permitted by this Act or a sectoral determination.

(4) No provision in this Act or a sectoral determination may be interpreted as permitting-

(a) contract of employment or agreement between an employer and an employee contrary to the provisions of a collective agreement;
(b) collective agreement contrary to the provisions of a collective agreement concluded in a bargaining council.

50.  Variation by the Minister

(1) The Minister may, if it is consistent with the purpose of this Act, make a determination to replace or exclude any basic condition of employment provided for in this Act in respect of-

(a)any category of employees or category of employers; or
(b)any employer or employee in respect of whom an application is made by-

(i) the employer;
(ii) the registered employers' organisation;
(iii) the employer and any registered employers' organisation.

(2) A determination in terms of subsection (1)

(a) may not be made in respect of sections 7, 9, 17 (3) and (4), 43 (2), 44 or 48 or a regulation made in terms of section 13; and

(b) may only be made in respect of section 43(1) to allow the employment of children in the performance of advertising, sports, artistic or cultural activities.

(3) A determination in terms of subsection 1(a) must-

(a) be made on the advice of the commission; and

(b) be issued by a notice in the gazette

(4) The minister may request the commission-

(a) to advise on any application made in terms of subsection 1(b);

(b) to prepare guidelines for the consideration of applications made in terms of subsection 1(b);

(5) A determination in terms of subsection (1) that applies to the public service must be made by the Minister in consultation with the Minister for the Public Service and Administration.

(6).If a determination in terms of subsection (1) concerns the employment of children, the Minister must consult with the Minister of Welfare and Population Development before making the determination.

(7) (a) A determination in terms of subsection (1)(b) may be issued if the application has the consent of any registered trade union that represents the employees in respect of whom the determination is to apply.

   (b) if no consent contemplated in paragraph (a) has been obtained, a determination in terms of subsection(1)(b) may be issued if-

(i) the employer or employers' organisation has served a copy of the application, together with a notice stating that representations may be made to the Minister, on any registered trade union that represents employees affected by the application; and

(ii) in the case where the majority of employees are not represented by a trade union, the employer or employers organisation has taken reasonable steps to bring the application and the fact that representations may be made to the Minister, to the attention of those employees. 

(8) A determination made in terms of subsection (1)(b)-

(a) may be issued on any conditions and for a period determined by the Minister;
(b) may take effect on a date earlier than the date on which the determination is given, but not earlier than the date on which application was made;
(c) must be issued in a notice in the prescribed form if the determination is made in respect of an application made by an employer;
(d) must be published in a notice in the Gazette if the determination is made in respect of an application made by an employers' organisation.

(9) (a) The Minister may on application by any affected party and after allowing other affected parties a reasonable opportunity to make representations, may amend or withdraw a determination issued in terms of subsection (1).

(b) For the purposes of paragraph (a), an affected party is-

(i) an employer or employers' organisation that is covered by the determination;
(ii) a registered trade union representing employees covered by the determination, or an employee covered by the determination who is not a member of a registered trade union.

(10) An employer in respect of whom a determination has been made, or whose employees are covered by a determination in terms of subsection (1) must-

(a) display a copy of the notice conspicuously at the workplace where it can be read by the employees to whom the determination applies;
(b) notify each employee in writing of the fact of the determination and of where a copy of the notice has been displayed; and
(c) give a copy of the notice to-

(i) any registered trade union representing those employees;
(ii) any trade union representative representing those employees; and
(iii) any employee who requests a copy.

CHAPTER EIGHT

SECTORAL DETERMINATIONS

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51.  Sectoral determination

(1) The Minister may make a sectoral determination establishing basic conditions of employment for employees in a sector and area.

(2) A sectoral determination must be made in accordance with the provisions of this Chapter and by notice in the Gazette.

52.  Investigation

(1) Before making a sectoral determination, the Minister must direct the Director-General to investigate conditions of employment in the sector and area concerned.

(2) The Minister must determine terms of reference for the investigation, which must include-

 (a) the sector and area to be investigated;
 (b) the categories or classes of employees to be included in the investigation; and
 (c) the matters to be investigated, which may include any matter listed in section 55(4).

(3) The Minister must publish a notice in the Gazette setting out the terms of reference of the investigation and inviting written representations by members of the public.

 (4) If an organisation representing employers or employees in a sector and area makes a written request to the Minister to investigate conditions of employment in that sector and area, the Minister must either-

 (a) direct the Director-General to conduct an investigation; or
 (b) request the Commission to advise the Minister on whether the requested investigation ought to be conducted.

53. Conduct of investigation

(1) For the purposes of conducting an investigation in terms of section 52(1) the Director-General may-

 (a) question any person who may be able to provide information relevant to any investigation; or
 (b) require, in writing, any employer or employee in a sector and area that is being investigated or any other person to furnish any information, book, document or object that is material to the investigation within a specified period, which must be reasonable.

(2) A person may not refuse to answer any relevant question by the Director-General that he or she is legally obliged to answer. (11)

54.  Preparation of report

(1) On completion of an investigation, and after considering any representations made by members of the public, the Director-General must prepare a report.

(2) A copy of the report must be submitted to the Commission for its consideration.

(3) When advising the Minister on the publication of a sectoral determination, the Commission must consider in respect of the sector and area concerned-

 (a) the report prepared in terms of subsection (1);
 (b) the ability of employers to carry on their business successfully;
 (c) the operation of small, medium or micro-enterprises, and new enterprises;
 (d) the cost of living;
 (e) the alleviation of poverty;
 (f) conditions of employment;
 (g) wage differentials and inequality;
 (h) the likely impact of any proposed condition of employment on current employment or the creation of employment;
 (i) the possible impact of any proposed condition of employment on the health, safety or welfare of employees.
 (j) any other relevant information made available to the Commission.

(4) The Commission must prepare a report for the Minister containing recommendations on what matters which should be included in a sectoral determination for the relevant sector and area.

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55.  Making of sectoral determination

(1) After considering the report and recommendations of the Commission contemplated in section 54 (4), the Minister may make a sectoral determination for one or more sector and area.

(2) If the Minister does not accept a recommendation of the Commission made in terms of section 54(4), the Minister must refer the matter to the Commission for its reconsideration indicating the matters on which the Minister disagrees with the Commission.

(3) After considering the further report and recommendations of the Commission, the Minister may make a sectoral determination.

(4) A sectoral determination may in respect to the sector and area concerned-

 (a) set minimum terms and conditions of employment, including minimum rates of remuneration;
 (b) provide for the adjustment of minimum rates of remuneration;
 (c) regulate the manner, timing and other conditions of payment of remuneration;
 (d) prohibit or regulate payment of remuneration in kind;
 (e) require employers to keep employment records;
 (f) require employers to provide records to their employees;
 (g) prohibit or regulate task-based work, piecework, home work and contract work;
 (h) set minimum standards for housing and sanitation for employees who reside on their employers' premises;
 (i) regulate payment of travelling and other work-related allowances;
 (j) specify minimum conditions of employment for trainees;
 (k) specify minimum conditions of employment for persons other than employees;
 (l) regulate training and education schemes;
 (m) regulate pension, provident, medical aid, sick pay, holiday and unemployment schemes or funds; and
 (n) regulate any other matter concerning remuneration or other terms or conditions of employment.

(5) Any provision of a sectoral determination may apply to all or some of the employers and employees in the sector and area concerned.

(6) A sectoral determination in terms of subsection (1)-

(a)  may not be made in respect of section 7, 43 (2) or 44;

(b)  may only be made in respect of section 43 (1) to allow the employment of children in the performance of advertising, sports, artistic or cultural activities;

(c)  may not reduce the protection afforded to employees by section 9 and 17 (3) and (4) or a regulation made in terms of section 13.

(7) The Minister may not publish a sectoral determination -

(a) covering employees and employers who are bound by a collective agreement concluded at a bargaining council;
(b) regulating any matter in a sector and area in which a statutory council is established and in respect of which that statutory council has concluded a collective agreement;
 (c) regulating any matter regulated by a sectoral determination for a sector and area which has been in effect for less than 12 months.

56.  Period of operation of sectoral determination

(1) The provisions of a sectoral determination remain binding until they are amended or superseded by a new or amended sectoral determination, or they are cancelled or suspended by the Minister.

(2) If a collective agreement contemplated by section 55(6)(a) or (b) is concluded, the provisions of a sectoral determination cease to be binding upon employers and employees covered by the agreement.

(3) The Minister, by notice in the Gazette, may-

 (a) cancel or suspend any provision of a sectoral determination, either in the sector and area as a whole or in part of the sector or in a specific area; or
 (b) correct or clarify the meaning of any provision of a sectoral determination as previously published.

(4) Before publishing a notice of cancellation or suspension in terms of subsection (3)(a) the Minister, by notice in the Gazette, must announce the intention to do so, and allow an opportunity for public comment.

57.  Legal effect of sectoral determination

 If a matter regulated in this Act is also regulated in terms of a sectoral determination, the provision in the sectoral determination prevails.

58.   Employer to keep a copy of sectoral determination

Unless a sectoral determination provides otherwise, every employer on whom the sectoral determination is binding must-

 (a) keep a copy of that sectoral determination available in the workplace at all times;
 (b) make that copy available for inspection by an employee; and
 (c) give a copy of that sectoral determination-

(i) to an employee who has paid the prescribed fee; and
(ii) free of charge, on request, to an employee who is a trade union representative or a member of a workplace forum

CHAPTER NINE

Employment Conditions Commission

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59.  Establishment and functions of Employment Conditions Commission

(1) The Employment Conditions Commission is hereby established.

(2) The functions of the Commission are to advise the Minister-

(a) on sectoral determinations in terms of Chapter Eight;

(b) on any matter concerning basic conditions of employment;

(c) on any matter arising out of the application of this Act;

(d) on the effect of the policies of the government on employment;

(e) on trends in collective bargaining and whether any of those trends undermine the purpose of this Act;

(f) and the Minister for Welfare and Population Development, on any matter concerning the employment of children, including the review of section 43;

(g) and the Minister for the Public Service and Administration, on any matter concerning basic conditions of employment in the public service.

(3) The Commission may draw up rules for the conduct of its meetings and public hearings.

(4) Subject to the laws governing the public service, the Minister must provide the Commission with the staff that the Minister considers necessary for the performance of its functions.

(5) The Minister must direct the Director-General to undertake research that is required to enable the Commission to perform its functions.

(6) The expenses of the Commission are to be met by money appropriated by Parliament for that purpose and which is subject to audit by the Auditor-General, referred to in section 188 of the Constitution.

60.  Composition of Commission

(1) The Minister must, after consultation with NEDLAC, appoint as members of the Commission three persons who are knowledgeable about the labour market and conditions of employment, including the conditions of employment of vulnerable and un-organised workers, and designate one of them as the chairperson.

(2) The Minister must, in addition, appoint two more members to the Commission

(a) one of whom must be nominated by the voting members of NEDLAC representing organized labour;

(b) one of whom must be nominated by the voting members of NEDLAC representing organized business.

(3) The chairperson and members of the Commission-

(a) must be citizens or permanent residents of the Republic;

(b) must act impartially when performing any function of the Commission

(c) may not engage in any activity that may undermine the integrity of the Commission; and

(d) must recuse themselves from advising the Minister on any matter in respect of which they have a direct financial interest or any other conflict of interest.

(4) The Minister must determine-

(a) the term of office of the chairperson and members of the Commission, which may not be more than three years;

(b) with the concurrence of the Minister of Finance, the remuneration and allowances to be paid to members of the Commission; and

(c) any other conditions of appointment not provided for in this section.

(5) The Minister must appoint a member to act as chairperson whenever

(a) the chairperson is absent from the Republic or from duty, or for any reason is temporarily unable to function as chairperson; or

(b) the office of chairperson is vacant.

(6) A person whose period of office as the chairperson or a member of the Commission has expired is eligible for reappointment.

(7) The chairperson or a member of the Commission may resign in writing.

(8) The Minister may remove the chairperson or a member of the Commission from office for-

(a) serious misconduct;

(b) permanent incapacity; or

(c) engaging in any activity that may undermine the integrity of the Commission.

  • 61.  Public hearings

    The Commission may hold public hearings at which it may permit members of the public to make oral representations on any matter that the Commission is considering in terms of section 59(2).

    62.  Report by Commission

    (1) The Commission's advice to the Minister must be in the form of a written report.

    (2) The Commission must, when performing any function in terms of section 59(2)(b) to (e), take into account the considerations set out in section 54(3) to the extent that they are appropriate.

    (3) The members of the Commission must endeavour to prepare a unanimous report to the Minister. If the members are not able to prepare a unanimous report, each member is entitled to have his or her views reflected in the report.

    CHAPTER TEN

    Monitoring, enforcement and legal proceedings

    PART A

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    Monitoring and enforcement

    63.  Appointment of labour inspectors

    (1) The Minister may-

    (a) appoint any person in the public service as a labour inspector;

    (b) designate any person in the public service, or any person appointed as a designated agent of a bargaining council in terms of section 33 of the Labour Relations Act, 1995, to perform any of the functions of a labour inspector.

    (2) Any person appointed under subsection (1) must perform his or her functions in terms of this Chapter, subject to the direction and control of the Minister.

    (3) The Minister must provide each labour inspector with a signed certificate in the prescribed form stating-

    (a) that the person is a labour inspector;

    (b) which legislation that labour inspector may monitor and enforce; and

    (c) which of the functions of a labour inspector that person may perform.

    64.  Functions of labour inspectors

    (1) A labour inspector appointed under section 63(1) may promote, monitor and enforce compliance with an employment law by-

    (a) advising employees and employers of their rights and obligations in terms of an employment law;

    (b) conducting inspections in terms of this Chapter;

    (c) investigating complaints made to a labour inspector;

    (d) endeavouring to secure compliance with an employment law by securing undertakings or issuing compliance orders; and

    (e) performing any other prescribed function.

    (2) A labour inspector may not perform any function in terms of this Act in respect of an undertaking in respect of which the labour inspector has, or may reasonably be perceived to have, any personal, financial or similar interest.

    65.  Powers of entry

    (I) In order to monitor and enforce compliance with an employment law, a labour inspector may, without warrant or notice, at any reasonable time, enter

    (a) any workplace or any other place where an employer carries on business or keeps employment records, that is not a home;

    (b) any premises used for training in terms of the Manpower Training Act, 1981 (Act No. 56 of 1981); or

    (c) any private employment office registered under section 15 of the Guidance and Placement Act, 1981 (Act No. 62 of 1981).

    (2) A labour inspector may enter a home or any place other than a place referred to in subsection (1) only-

    (a) with the consent of the owner or occupier; or

    (b) if authorised to do so in writing in terms of subsection 3.

    (3) The Labour Court may issue an authorisation contemplated in subsection (2) only on written application by a labour inspector who states under oath or affirmation the reasons for the need to enter a place in order to monitor or enforce compliance with any employment law.

    (4) If it is practical to do so, the employer and a trade union representative must be notified that the labour inspector is present at a workplace and of the reason for the inspection.

    66.  Powers to question and inspect

    (1) In order to monitor or enforce compliance with an employment law, a labour inspector may-

    (a) require a person to disclose information, either orally or in writing, and either alone or in the presence of witnesses, on any matter to which an employment law relates, and require that the disclosure be made under oath or affirmation;

    (b) inspect, and question a person about, any record or document to which an employment law relates;

    (c) copy any record or document referred to in paragraph (b), or remove these to make copies or extracts;

    (d) require a person to produce or deliver to a place specified by the labour inspector any record or document referred to in paragraph (b) for inspection;

    (e) inspect, question a person about, and if necessary remove, any article, substance or machinery present at a place referred to in section 65;

    (f) inspect or question a person about any work performed; and

    (g) perform any other prescribed function necessary for monitoring or enforcing compliance with an employment law.

    (2) A labour inspector may be accompanied by an interpreter and any other person reasonably required to assist in conducting the inspection.

    (3) A labour inspector must-

    (a) produce on request the certificate referred to in section 63(3);

    (b) provide a receipt for any record, document, article, substance or machinery removed in terms of subsection (1)(c) or (e); and

    (c) returning anything removed within a reasonable period of time.

    (4) The powers provided for in this Part are in addition to any power of a labour inspector in terms of any other employment law.

    67.  Co-operation with labour inspectors

    (1) Any person who is questioned by a labour inspector in terms of section 66 must answer all relevant questions lawfully put to that person truthfully and to the best of his or her ability.

    (2) Every employer and each employee must provide any facility and assistance at a workplace that is reasonably required by a labour inspector to perform the labour inspector's functions effectively.

    68.  Securing an undertaking

    (1) A labour inspector who has reasonable grounds to believe that an employer has not complied with any provision of this Act must endeavour to secure a written undertaking by the employer to comply with the provision.

    (2) In endeavouring to secure the undertaking, the labour inspector

    (a) may seek to obtain agreement between the employer and employee as to any amount owed to the employee in terms of this Act;

    (b) may arrange for payment to an employee of any amount paid as a result of an undertaking;

    (c) may, at the written request of an employee, receive payment on behalf of the employee; and

    (d) must provide a receipt for any payment received in terms of paragraph (c).

    69.  Compliance order

    (1) A labour inspector who has reasonable grounds to believe that an employer has not complied with a provision of this Act may issue a compliance order.

    (2) A compliance order must set out-

    (a) the name of the employer, and the location of every workplace, to which it applies;

    (b) any provision of this Act that the employer has not complied with, and details of the conduct constituting non-compliance;

    (c) any amount that the employer is required to pay to an employee;

    (d) any written undertaking by the employer in terms of section 68(1) and any failure by the employer to comply with a written undertaking;

    (e) any steps that the employer is required to take including, if necessary, the cessation of the contravention in question and the period within which those steps must be taken; and

    (f) the maximum fine that may be imposed upon the employer in accordance with Schedule Two for a failure to comply with a provision of this Act.

    (3) A labour inspector must deliver a copy of the compliance order to the employer named in it, and to each employee affected by it or, if this is impractical, a representative of the employees.

    (4) The employer must display a copy of the compliance order prominently at a place accessible to the affected employees at each workplace named in it.

    (5) An employer must comply with the compliance order within the time period stated in the order unless the employer objects in terms of section 71.

    70.  Limitations

    A labour inspector may not issue a compliance order in respect of any amount payable to an employee as a result of a failure to comply with a provision of this Act if

    (a) the employee is covered by a collective agreement that provides for resolution by arbitration of disputes concerning amounts owing in terms of this Act;

    (b) the employee is employed in a category of employees mentioned in section 6(1)(a) or in respect of which a notice has been issued in terms of section 6(3) ;

    (c) any proceedings have been instituted for the recovery of that amount or, if proceedings have been instituted, those proceedings have been withdrawn; or

    (d) that amount has been payable for longer than 12 months.

    71.  Objections to compliance order

    (1) An employer may object to a compliance order by making representations in writing to the Director-General within 21 days of receipt of that order.

    (2) If the employer shows good cause at any time, the Director-General may permit the employer to object after the period of 21 days has expired.

    (3) After considering any representations by the employer and any other relevant information, the Director-General-

    (a) may confirm, modify or cancel an order or any part of an order; and

    (b) must specify the period within which the employer must comply with any part of an order that is confirmed or modified. .

    (4) The information that the Director-General must consider includes;
    (a) any evidence concerning the employer's compliance record;

    (b) the likelihood that the employer was aware of the relevant provisions; and

    (c) the steps taken by the employer to ensure compliance with the relevant provision.

    (5) The Director-General must serve a copy of the order made in terms of subsection (3) on the employer and on each employee affected by it or, if this is impractical, on a representative of the employees.

    (6) If the Director-General confirms or modifies the order or any part of the order, the employer must comply with that order within the time period specified in that order.

    72.  Appeals from order of Director-General

    (1) An employer may appeal to the Labour Court against an order of the Director-General within 21 days of receipt of that order.

    (2) The order is suspended pending the final determination of the appeal by the Labour Court or any appeal from the Labour Court.

    (3) If the employer shows good cause at any time, the Labour Court may permit the employer to appeal after the period of 21 days has expired.

    73.  Order may be made order of Labour Court

    (1) The Director-General may apply to the Labour Court for a compliance order to be made an order of the Labour Court in terms of section 158(1)(c) of the Labour Relations Act, 1995, if the employer has not complied with the order and has not lodged an objection against the order in terms of section 71(1).

    (2) The Director-General may apply to the Labour Court for an order of the Director-General in terms of section 71(3) to be made an order of the Labour Court in terms of section 158(1)(c) of the Labour Relations Act, 1995, if the employer has not complied with the order and has not appealed against the order in terms of section 72(1).

    (3) For the purposes of section 158(1)© of the Labour Relations Act, 1995, a compliance order or an order in terms of section 71(3) is deemed to be an arbitration award.

    PART B

    Legal proceedings

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    74.  Consolidation of proceedings

    (1) A dispute concerning a contravention of this Act may be instituted jointly with proceedings instituted by an employee under Part C of this Chapter.

    (2) If an employee institutes proceedings for unfair dismissal, the Labour Court or the arbitrator hearing the matter may also determine any claim for an amount that is owing to that employee in terms of this Act if

    (a) the claim is referred in compliance with section 191 of the Labour Relations Act, 1995;

    (b) the amount has not been owing to the employee for longer than one year; and

    (c) no compliance order has been made and no other legal proceedings have been instituted to recover the amount.

    (3) A dispute concerning any amount that is owing to an employee as a result of a contravention of this Act may be initiated jointly with a dispute instituted by that employee over the entitlement to severance pay in terms of section 41(6).

    75.  Payment of interest

    An employer must pay interest on any amount due and payable in terms of the Prescribed Rate of Interest Act, 1975 (Act No. 55 of 1975), to any person to whom a payment should have been made.

    76.  Proof of compliance

    (1) In any proceedings concerning a contravention of this Act or any sectoral determination it is for an employer-

    (a) to prove that a record maintained by or for that employer is valid and accurate;

    (b) who has failed to keep any record required by this Act that is relevant to those proceedings, to prove compliance with any provision of this Act.

    77.  Jurisdiction of Labour Court

    (1) Subject to the Constitution and the jurisdiction of the Labour Appeal Court, and except where this Act provides otherwise, the Labour Court has exclusive jurisdiction in respect of all matters in terms of this Act, except in respect of an offence specified in sections 43, 44, 46, 48, 90 and 92.

    (2) The Labour Court may review the performance or purported performance of any function provided for in this Act or any act or omission of any person in terms of this Act on any grounds that are permissible in law.

    (3) The Labour Court has concurrent jurisdiction with the civil courts to hear and determine any matter concerning a contract of employment, irrespective of whether any basic condition of employment constitutes a term of that contract.

    (4) Subsection (1) does not prevent any person relying upon a provision of this Act to establish that a basic condition of employment constitutes a term of a contract of employment in any proceedings in a civil court or an arbitration held in terms of an agreement.

    (5) If proceedings concerning any matter contemplated in terms of subsection (1) are instituted in a court that does not have jurisdiction in respect of that matter, that court may at any stage during proceedings refer that matter to the Labour Court.

    PART C

    Protection of employees against discrimination

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    78.  Rights of employees

    (1) Every employee has the right to-

    (a) make a complaint to a trade union representative, a trade union official or a labour inspector concerning any alleged failure or refusal by an employer to comply with this Act;

    (b) discuss his or her conditions of employment with his or her fellow employees, his or her employer or any other person;

    (c) refuse to comply with an instruction that is contrary to this Act or any sectoral determination;

    (d) refuse to agree to any term or condition of employment that is contrary to this Act or any sectoral determination;

    (e) inspect any record kept in terms of this Act that relates to the employment of that employee;

    (f) participate in proceedings in terms of this Act;

    (g) request a trade union representative or a labour inspector to inspect any record kept in terms of this Act and that relates to the employment of that employee.

    (2) Every trade union representative has the right, at the request of an employee to inspect any record kept in terms of this Act that relates to the employment of that employee.

    79.  Protection of rights

    (1) In this section, "employee" includes a former employee or an applicant for employment.

    (2)  No person may discriminate against an employee for exercising a right conferred by this Part and no person may do, or threaten to do, any of the following:

    (a) Require an employee not to exercise a right conferred by this Part;

    (b) prevent an employee from exercising a right conferred by this Part; or

    (c) prejudice an employee because of a past, present or anticipated-

    (i) failure or refusal to do anything that an employer may not lawfully permit or require an employee to do;

    (ii) disclosure of information that the employee is lawfully entitled or required to give to another person; or

    (iii) exercise of a right conferred by this Part.

    (3) No person may favour, or promise to favour, an employee in exchange for the employee not exercising a right conferred by this Part. However, nothing in this section precludes the parties to a dispute from concluding an agreement to settle the dispute.

    80.  Procedure for disputes.

    (1) If there is a dispute about the interpretation or application of this Part, any party to the dispute may refer the dispute in writing to-

    (a) a council, if the parties to the dispute fall within the registered scope of that council; or

    (b) the CCMA, if no council has jurisdiction.

    (2) The party who refers a dispute must satisfy the council or the CCMA that a copy of the referral has been served on all the other parties to the dispute.

    (3)  The council or the CCMA must attempt to resolve a dispute through conciliation.

    (4) If a dispute remains unresolved, any party to the dispute may refer it to the Labour Court for adjudication.

    (5) In respect of a dispute in terms of this Part, the relevant provisions of Part C of Chapter VII of the Labour Relations Act, 1995, apply with the changes required by the context.

    81  Burden of proof

    In any proceeding in terms of this Part-

    (a) an employee who alleges that a right or protection conferred by this Part has been infringed, must prove the facts of the conduct said to constitute such infringement; and

    (b) the party who allegedly engaged in the conduct in question must then prove that the conduct did not infringe any provision of this Part.

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    CHAPTER ELEVEN

    General

    82.  Temporary employment services

    (1) For the purposes of this Act, a person whose services have been procured for, or provided to, a client by a temporary employment service is the employee of that temporary employment service, and the temporary employment service is that person's employer.

    (2) Despite subsection (1), a person who is an independent contractor is not an employee of a temporary employment service, nor is the temporary employment service the employer of that person.

    (3) The temporary employment service and the client are jointly and severally liable if the temporary employment service, in respect of any employee who provides services to that client, does not comply with this Act or a sectoral determination.

    83.  Deeming of persons as employees

    (1) The Minister may, on the advice of the Commission and by notice in the Gazette, deem any category of persons specified in the notice to be employees for purposes of this Act or any sectoral determination.

    (2) Before the Minister issues a notice under subsection (1), the Minister must

    (a) publish a draft of the proposed notice in the Gazette; and

    (b) invite interested persons to submit written representations on the proposed notice within a reasonable period.

    84.  Duration of employment

    (1) For the purposes of determining the length of an employee's employment with an employer for any provision of this Act, previous employment with the same employer must be taken into account if the break between the periods of employment is less than one year.

    (2) Any payment made or any leave granted in terms of this Act to an employee contemplated in subsection (1) during a previous period of employment must be taken into account in determining the employee's entitlement to leave or to a payment in terms of this Act.

    85.  Delegation

    (1) The Minister may in writing delegate or assign to the Director-General or any employee in the public service of the rank of assistant director or of a higher rank, any power or duty conferred or imposed upon the Minister in terms of this Act, except the Minister's powers in terms of sections 6(3), 55(1), 60, 83, 87 and 95(2) and the Minister's power to make regulations.

    (2) A delegation or assignment in terms of subsection (1) does not limit or restrict the Minister's authority to exercise or perform the delegated or assigned power or duty. 

    (3) Any person to whom a power or duty is delegated or assigned in terms of subsection (1) must exercise or perform that power or duty subject to the direction of the Minister.

    (4) The Minister may at any time-

    (a) withdraw a delegation or assignment made in terms of subsection (1); and

    (b) withdraw or amend any decision made by a person exercising or performing a power or duty delegated or assigned in terms of subsection (1).

    (5) The Director-General may in writing delegate or assign any power or duty conferred or imposed upon the Director-General by Chapter Ten of this Act to any employee in the Department of the rank of assistant director or of a higher rank.

    (6) Subsections (2), (3) and (4) apply with changes required by the context to any delegations or assignments by the Director-General under subsection (5).

    86.  Regulations

    (1) The Minister may by notice in the Gazette, after consulting the Commission, make regulations regarding any matter that may be necessary or expedient to prescribe in order to achieve the objects of this Act.

    (2) A regulation regarding state revenue or expenditure may be made only with the concurrence of the Minister of Finance.

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    87.  Codes of Good Practice

    (1) The Minister, after consulting NEDLAC-

       (a) must issue a Code of Good Practice on the Arrangement of Working Time;

       (b) must issue a Code of Good Practice on the Protection of Employees during Pregnancy and after the Birth of a Child;

       (c) may issue other codes of good practice; and

       (d) may change or replace any code of good practice.

    (2) Any code of good practice or any change to or replacement of a code of good practice must be published in the Gazette.

    (3) Any person interpreting or applying this Act must take into account relevant codes of good practice.

    88.  Ministers power to add and change footnotes

    The Minister may, by notice in the Gazette, add to, change or replace any footnote in this Act.

    89.  Representation of employees or employers

    (1) A registered trade union or registered employers' organisation may act in any one or more of the following capacities in any dispute to which any of its members is a party:

    (a) In its own interest;

    (b) on behalf of any of its members;

    (c) in the interest of any of its members.

    (2) A registered trade union or a registered employers' organisation is entitled to be a party to any proceedings in terms of this Act if one or more of its members is a party to these proceedings.

    90.  Confidentiality

    (1) It is an offence for any person to disclose information which that person acquired while exercising or performing any power or duty in terms of this Act and which relates to the financial or business affairs of any other person, except if the information is disclosed in compliance with the provisions of any law

    (a) to enable a person to perform a function or exercise a power in terms of an employment law;

    (b) for the purposes of the proper administration of this Act;

    (c) for the purposes of the administration of justice.

    (2) Subsection {1) does not prevent the disclosure of any information concerning an employer's compliance or non-compliance with the provisions of any employment law.

    (3) The record of any medical examination performed in terms of this Act must be kept confidential and may be made available only-

    (a) in accordance with the ethics of medical practice;

    (b) if required by law or court order; or

    (c) if the employee has in writing consented to the release of that information.

    91.  Answers not to be used in criminal prosecutions

    No answer by any person to a question by a person conducting an investigation in terms of section 53 or by a labour inspector in terms of section 66 may be used against that person in any criminal proceedings except proceedings in respect of a charge of perjury or making a false statement.

    92.  Obstruction, undue influence and fraud

    It is an offence to -

    (a) obstruct or attempt to influence improperly a person who is performing a function in terms of this Act;

    (b) obtain or attempt to obtain any prescribed document by means of fraud, false pretences, or by presenting or submitting a false or forged document;

    (c) pretend to be a labour inspector or any other person performing a function in terms of this Act;

    (d) refuse or fail to answer fully any lawful question put by a labour inspector or any other person performing a function in terms of this Act;

    (e) refuse or fail to comply with any lawful request of, or lawful order by, a labour inspector or any other person performing a function in terms of this Act;

    (f) hinder or obstruct a labour inspector or any other person performing a function in terms of this Act.

    93.  Penalties

    (1) Any magistrates' court has jurisdiction to impose a penalty for an offence provided for in this Act.

    (2) Any person convicted of an offence in terms of any section mentioned in the first column of the table below may be sentenced to a fine or imprisonment for a period not longer than the period mentioned in the second column of that table opposite the number of that section.

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    OFFENCES AND PENALTIES

    Section under which convicted Maximum term of imprisonment
    Section 43 3 years
    Section 44 3 years
    Section 46 3 years
    Section 48 3 years
    Section 90 (1) and (3) 1 year
    Section 92 1 year

    94..This Act binds the State

    This Act binds the State except in so far as criminal liability is concerned.

    95.  Transitional arrangements and amendment and repeal of laws

    (1) The provisions of Schedule Three apply to the transition from other laws to this Act.

    (2) The Minister may for the purposes of regulating the transition from any law to this Act add to or change Schedule Three.

    (3) Any addition or change to Schedule Three must be tabled in the National Assembly and takes effect-

    (a) if the National Assembly does not pass a resolution that the addition or change is not binding within 14 days of the date of the tabling; and

    (b) on publication in the Gazette.

    (4) Section 186 of the Labour Relations Act, 1995 , is hereby amended by the deletion of subparagraph (ii) of paragraph ©.

    (5) The laws mentioned in the first two columns of Schedule Four are hereby repealed to the extent indicated opposite that law in the third column of that Schedule.

    (6) The repeal of any law by subsection (5) does not affect any transitional arrangement provided for in Schedule Three.

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    96.  Short title and commencement

    This is the Basic Conditions of Employment Act, 1997, and comes into effect on a date to be fixed by the President by proclamation in the Gazette.

    SCHEDULES

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