New Act forces companies to disclose salary gap between highest and lowest earners in SA

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The amendments mandate the creation of social and ethics committees while extending the window in which to identify delinquent directors

Companies must now disclose the difference between the salary packages of their top 5% earners the lowest 5%,

Companies must now disclose at their AGMs the difference between the salary packages of their top 5% earners and the earnings of the lowest 5%, as well as present a median average for the company. Additionally, the Act requires the establishment of a social and ethics committee within every company that is to compile social and ethics policies and reports.The accompanying Act, the Companies Second Amendment Act, extends the period with which authorities can act against delinquent directors.

 

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