10 tips for employers heading into autumn

South Africa’s labour environment is strictly regulated and employers must manage labour relations in line with legislation. The basic principles employers should follow seldom change and once in place, only minor amendments are necessary in line with updates.  Here are 10 tips for employers:

1. Ensure you have an employment contract in place with every employee 

The employment contract is the most important document in the workplace and forms the basis of the relationship between the employer and employee. This is one of the key tips to protect your rights as the employer and to ensure that there is no uncertainty. Be sure not to settle for a generic employment contract but rather opt for a purpose-built one according to your business needs.

2. Use a fixed term contract carefully and ensure compliance with legislation 

A fixed term contract may not be used for a probation period. It should only be used when there is work for a temporary period. A fixed term contract may only be for a period of three months, unless there is a justifiable reason stipulated in the contract for the extension beyond three months. If an employee has a fixed term contract beyond three months without a valid reason or the employee has no contract at all, the employee may very well be regarded as a permanent employee until the contrary is proven.

3. Implement a formal retirement age

Legislation does not prescribe a retirement age in the private sector. Employers should decide what the retirement age in the workplace should be considering the type of work the employees are expected to do. Only one retirement age should be implemented for all employees to avoid unfair discrimination.

4. Pay the correct wages in terms of the employer’s specific sector

A new national minimum wage is published every year from 1 March for employers that do not resort under a Bargaining Council or a Sectoral Determination prescribing specific wages. Employers should ensure that they pay at least the current minimum wage applicable to their industry for the period of the payment concerned. If an employer is registered under a specific sector, the employer should ensure compliance with that sector’s published wages.

5. Keep a copy of the legislation specific to your industry

Whether the employer resorts under a Sectoral Determination or a Main Collective Agreement of a Bargaining Council, employers are expected to have the applicable legislation available in the workplace for employees to peruse.

6. Display the legally required legislative posters in the workplace

Employers are expected to display updated copies of the Basic Conditions of Employment Act, Employment Equity Act and Occupational Health and Safety Act.

7. Ensure you have a disciplinary code implemented

The disciplinary code should be specific to your workplace. It is important to ensure that there are clear rules in the workplace for employees to follow. Discipline should be applied progressively and consistently. All employees should be aware of the disciplinary code. Arrange a consultation with all employees where the rules are discussed and the employees are given the opportunity to ask questions. Keep an attendance register and minutes of the meeting as proof that it was brought to the attention of the employees.

8. Have a disciplinary hearing prior to dismissing an employee

A dismissal for workplace misconduct should be procedurally and substantively fair. Procedural fairness on the one hand, includes informing the employee in writing of the charges brought against him/her. The charges should be clear and unambiguous. Allow at least 48 hours’ notice (excluding weekends and public holidays) of the hearing to grant the employee sufficient time to prepare for the hearing. An employee has the right to representation by a co-employee, to present their case, to call witnesses, to question the evidence of the employer’s witnesses and to be informed of the outcome of the hearing in writing. It is important for an independent chairperson to chair the hearing. Substantive fairness on the other hand, is having valid grounds to dismiss an employee. An independent chairperson will make a recommendation based on the facts and in terms of the workplace disciplinary code and will assess if there are sufficient grounds to dismiss the employee.

9. Implement an attendance register

All employees are required to record hours worked on a daily basis.

10. Ensure you are legally compliant and registered where necessary

All employers must be registered with the Unemployment Insurance Fund (UIF) and the Compensation Commissioner for any injuries or diseases employees sustain whilst on duty.

Even though these principles are basic, it should still be done on the advice of labour professionals and also correctly to avoid arbitration awards against an employer.

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