Employment Equity implications for companies in business with state - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.

The Act which will take effect at the beginning of next month will empower the Employment and Labour Minister to publish sectoral targets.

The affected employers will need to ensure that their employment equity plans align with the published sectoral targets.Legal expert Melissa Cogger explains how the Act will effect employers. “There are implications for businesses that want to do business with the state, it applies to both designated non-designated, your non-designated employers are going to be those that have less than 50 employees in the work force and they’re going to have to confirm that they comply with Chapter 2 of the Employment Equity Act, which is the unfair discrimination chapter.”

“For designated employers you have to comply with the Affirmative Action requirements of the Employment Equity Act, they’re going to have to comply with any sectoral targets that are eventually published and if they don’t comply, what’s their reasonable justification for lack of compliance,” she adds.

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