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Warning: Even if you haven't guaranteed a salary increase in your employment contracts, you could still be guilty of unfair labour practice if you don't give your employees one

by , 07 November 2014
Dealing with salary increases is a complex issue.

One wrong move could see you being guilty of unfair labour practice and harsh consequences follow.

If you're thinking to yourself 'I'm safe because I don't guarantee salary increases in my workplace', you're wrong.

The reality is, even if you haven't guaranteed a salary increase in your employment contracts, you could still be guilty of unfair labour practice if you don't give your employees one.

Here's why...


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Here's why could be guilty of unfair labour practice if you don't give an increase, even if you haven't guaranteed it

 
According to the Labour Law for Managers Loose Leaf Service, you could be guilty of unfair labour practices if you don't give an increase even if you don't guarantee it.
 
For example, your employee meets all requirements for a discretionary increase but you don't give him one and you don't have a valid reason for it.
 
In this case, your employee would have to prove:
 
  • He has some entitlement to an increase. For example, it's company practice to give annual increases, or all other employees got one; and
 
  • You acted unfairly by not increasing his salary. For example, by deciding not to give him an increase without a valid reason.

 
To avoid being guilty of unfair labour practice, do this when it comes to salary increases
 

If you don't have a contractual or collective agreement that says you'll give salary increases, include a clause in new employees' contracts. This must say they have no automatic right to an increase and you'll give them at your discretion. But when you do give increases, be clear about your criteria for doing so. Tell your employees about the criteria and enforce it consistently.
 
PS: For more information on salary increases, check out the Labour Law for Managers Loose Leaf Service.


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Comments
1 comments


malikah cassim 2014-11-08 19:35:48

I have hinted time and time again. Since I have been employed at this company I have never signed a contractual agreement. I am already going on maternity. Where I will have to claim uif as there are no maternity benefits. This is a closed corporation, shop fitting company. I am already being alienated prior to going on leave allocated for all workers within the building bargaining council and master builder's association 12 December. Preceding my maternity.

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