SA Labour Law Shake-Up

Labour Law Shake-Up: What SA Employers Must Know in 2025 

South Africa’s labour landscape is undergoing its most significant transformation in over a decade. With 47 proposed amendments to the Labour Relations Act, 13 changes to the BCEA, and new sector targets under the Employment Equity Act, employers must act now to stay compliant, competitive, and crisis-free. 

This isn’t just legislative housekeeping—it’s a strategic reset. 

Key Changes That Demand Your Attention 

1. Redefined Unfair Labour Practices 

• Probation rules and dismissal procedures are being tightened. 

• Employers must revise onboarding frameworks and disciplinary policies. 

2. Retrenchment Reform 

• Employees can now challenge both procedural and substantive fairness after dismissal. 

• CCMA will take over facilitation rules, making dispute resolution more accessible. 

3. Employment Equity Overhaul 

• Sector-specific EE targets now apply across 18 industries. 

• Small businesses (1–49 employees) are exempt from Chapter III, but must still comply with discrimination laws. 

4. Payroll & Budget Implications 

• Severance pay increases and stricter benefit fund timelines mean higher labour costs. 

• Bonuses excluded from minimum wage calculations—review your payroll structure now. 

  
  

Compliance Checklist for Employers 

✅ Review and update employment contracts 

✅ Audit disciplinary, grievance, and dismissal policies 

✅ Align onboarding and probation procedures with new definitions 

✅ Train HR and line managers on updated dispute resolution protocols 

✅ Submit EE reports using the new online system and sector targets 

✅ Budget for increased severance and benefit obligations 

✅ Confirm bargaining council obligations—even if you're a small business 

People Inc offers tailored HR audits and contract reviews to help businesses prepare. Whether you're a startup or a legacy employer, we’ll ensure your policies, payroll, and people practices are future-proof. 

👉 Book your compliance consult today and stay ahead of the curve. 

hallo@peopleinc.co.za

+27 68 419 3035