The latest South African unemployment figureswere released last week. Stats SA is now accused of undercounting, which throws the entire report into question. But here's the thing - it's not just Stats SA that's getting their figures wrong. Stating inaccurate figures in your EE report is an area where your business is most likely to attract a huge fine from the Department of Labour (DoL). Here's what to do to avoid this...
South Africa's latest unemployment figures have just been released by Statistics SA.
They show that unemployment has dropped to 24.9% against an expected rise to 26%.
But now, the figures have been called 'questionable' by the Business Day's BDLive website
'Stats SA is consistently undercounting by 30% the amount of unemployment in the country,' says Loane Sharpe, labour economist at Adcorp.
Many businesses face a similar threat of inaccurate reporting when submitting their employment equity reports.
Especially as one of the recent Employment Equity changes is that you need to separate numerical targets reporting from numerical goals reporting, in line with legislative requirements, says FSP Business.
Getting this wrong might mean that organisation have to close down as fines for non-compliance will be extremely high, says Beyond Consulting
And there's little chance that your 'EE reporting slip' will fall under the radar as public employers must publish summaries of their employment equity reports in their annual financial reports, says the Department of Labour
But there's a way you can prove your target reports are accurate.
Here's how to prove your EE reporting figures to the Department of Labour
You'll need to keep the previous two years' EEA2 reports on workplace profiles and numerical EE target reports with proof of delivery to the DoL for small companies, and the previous three years' reports with proof of delivery to the DoL for large companies, the Labour Bulletin explains
Best you comply, as the Department of Labour has put together two levels of inspection and can drop in unannounced to audit your company's EE implementation.
Make sure you're keeping record that you're reporting your business's EE figures correctly to avoid fines from the Department of Labour and the possibility of criminal charges.