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Amendments to legislation aim to address labour broking

On 22 March 2012 the South African Cabinet approved the amendments to the Labour Relations Act (LRA) and Basic Conditions of Employment Act (BCEA) to be submitted to parliament. According to Aadil Patel, director and national head of the employment practice at Cliffe Dekker Hofmeyr, this paves the way for the amendments to the suite of labour legislation to be passed into law soon.

The purpose of the amendments to the legislation is to respond to the growth of informalisation of work in the South African labour market and, in particular, to align the BCEA with the LRA in addressing the phenomenon of labour broking. The amendments also serve to bring the provisions regulating child labour in line with international standards and to strengthen the mechanisms for enforcement of basic conditions of employment, including minimum wages. The proposed amendments also include new provisions relating to fixed term contracts and part-time employment.

"The remaining labour legislation amendments - the Employment Equity Amendment Bill and the Employment Services Bill - as well as the passing of the legislation will be considered in due course. The time is now ripe for companies to commence considering the impact of these amendments on their businesses," Patel notes.

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