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You're next on the DoL inspector's hit list! Here are 4 steps to avoid receiving hefty penalties from him...

by , 09 March 2015
Our Employment Equity expert, Janine Nieuwoudt, has just informed me of the number of clients who've been hit with hefty penalties from the Department of Labour inspectors.

The Department of labour inspector comes to check if you're complying with the BCEA, EEA, LRA and COID.

One of the reasons for these penalties is many employers don't know how to prepare for labour law inspections.

Today, I want to help you avoid paying up to 10% of your turnover for non-compliance. Keep reading below and I'll show you four steps to help you prepare for the inspection and avoid getting penalties...

Employment Equity Plan half–day Workshop 2015
  • Do you have an Employment Equity Plan (EE Plan) for your company?
  • Do you have an EE Plan for each region and office for your company?
  • Does it have all the legislative EE Amendments recently passed?
  • Do you know what the new legislative EE measures and activities are?

If you answered no to any one of these questions, or you don't know the answer – You need to book and attend the Employment Equity Plan Workshop 2014 now!

Click here to book your seat so you're 100% EE compliant.

Four steps to help you prepare for the Department of Labour inspection so can avoid penalties

Step #1: Make sure you display a statement of employee rights
You have to display employee's rights in terms of the BCEA (Section 30 of the BCEA). Put your wall chart where all employees can see it. Ensure it's in the official languages spoken in your workplace. If the inspector's there to look at the premises for BCEA issues, he'll probably also look for the Employment Equity Act summary. Make sure you have both on display in your workplace.

Step #2: Make sure you have an attendance register
You must keep a record of each employee either electronically or on file. Keep this for three years from the date of the last entry in the record (Section 31 of the BCEA).

Each record must have each employee's:
  • Name and occupation;
  • Working hours;
  • Remuneration;
  • Date of birth, if under the age of 18 years; and
  • Any other prescribed information as set by the industry your business is in.

Step #3: Provide written particulars of employment
You must give written details of employment to an employee as soon as they start working for you (Section 29 of the BCEA). Include this as part of your employment contract.

This must include:
  • Your full name and address, as the employer;
  • The name and occupation of the employee. Include a brief description of the work the employee's been hired for;
  • The place of work. Include any other places the employee's required or permitted to work at;
  • The date on which the employment began.

Note: there are more than 16 items to include in your employment contract. Turn to chapter I07 of your Labour Law for Managers Handbook to see the full list. Don't have a copy yet? Click here to get it.

Step #4: Keep information about remuneration
You must:
  • Pay remuneration in Rands daily, weekly, fortnightly, or monthly;
  • Pay in cash, by cheque or direct deposit into a bank account designated by the employee;
  • Ensure payment happens no later than seven days after the end of the period for which remuneration is payable. Such as weekly or monthly, or after termination of employment;
  • Make any payments in cash or by cheque at the workplace, or a place you both agree on. Do this during the employee's working hours or within 15 minutes before the start or 15 minutes after the end of their working day; and
  • Make the payment in a sealed envelope if it's cash or a cheque. It then becomes the property of the employee.

You also have to give the employee certain information in writing on each payday. This typically takes the form of a payslip.

To get more information on how to be compliant with the new Employment Equity Act amendments, join EE expert, Janine Nieuwoudt at the Employment Equity Plan Workshop on 12 March 2015, in Johannesburg. Click here for more information.


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