Employment Equity

The Employment Equity Act, was establish to readdress the discrepancies and injustice of the past.  It was further established to ensure that everyone receives an equal opportunity. The Employment Equity Act assist companies to ensure that organisations companies become more diverse

Employment Equity is a legal requirement and your EEA2 and EEA4 needs to be submitted by the 15th of January every year.   The flow chart below indicates which organisations need to submit Employment Equity documentation.

Sector or subsectors in accordance with the Standard Industry Classification Total Annual Turnover
Agriculture R 6.00 m
Mining and Quarrying R 22.50 m
Manufacturing R 30.00 m
Electricity, Gas and Water R 30.00 m
Construction R 15.00 m
Retail and Motor Trade and Repair Services R 45.00 m
Wholesale Trade, Commercial Agents and Allied Services R 75.00 m
Catering, Accommodation and other Trade R 15.00 m
Transport, Storage and Communications R 30.00 m
Finance and Business Services R 30.00 m
Community, Special and Personal Services R 15.00 m

The Employment Equity act requires company to have all the following documentation and processes in place:

  1. EEA1
  2. EEA3 displayed in the organization.
  3. Employment Equity Committee in place and trained
  4. Quarterly Employment Equity Committee meetings and minutes.
  5. Employment Equity Analysis Report
  6. Employment Equity Plan
  7. EEA2
  8. EEA4
  9. Proof of Employment Equity Submission
  10. Employment Equity File
  11. Administrative Documentation such as:
  • Employment Equity Policy
  • Employment Equity Committee Constitution
  • Employment Equity Committee Appointment Letters

 

Employment Equity also have a direct influence on the Management Control Element on B-BBEE Scorecard.  Organisations needs to actively monitor their management according to the EAP Targets to ensure that they achieve maximum points.  Organisation can also not achieve points on the Management Control Element if they do not submit their EEA2 and EEA4.

We leave you with one question, does a diverse workforce give a company a competitive edge in the market or not?

Let Dalitso assist your organization today, to submit your Employment Equity Reports and keep your Organisation compliant.

Contact us today on naudine@dalitso.co.za  or 012 753 2425.