South Africa’s latest labour law updates explained

International Workers’ Day, or May Day, as is popularly known, is observed worldwide to commemorate the struggles of the past; recognise victories of the present and acknowledge progressive advancements in the world of work.
  1. The Minister of Employment and Labour, Nomakhosazana Meth, amended the National Minimum Wage Act 9 of 2018, with effect from 1 March 2026. The National Minimum Wage in South Africa is now R30.23 for each ordinary hour worked, and R16.62 per hour for workers employed on the Expanded Public Works Programme (EPWP). Workers who have concluded learnership agreements, as contemplated in section 17 of the Skills Development Act, 1998 (Act No. 97 of 1998), are entitled to the allowances contained in Schedule 2 to the relevant Government Gazette.
  2. In November 2020, the Constitutional Court made a landmark ruling that domestic workers be covered by the provisions of the Compensation for Occupational Injuries and Diseases Act 130 of 1993 (COIDA) and that damages can be claimed for work-related injuries, illnesses and death. Employers, including households that employ domestic works, must register for COIDA. Employers that are registered under COIDA must submit annual Returns of Earnings (ROEs), including in respect of domestic workers. The submission deadline for the 2025 assessment period is 30 June 2026. Failure to comply may attract penalties. The Department of Employment and Labour may enforce compliance through measures such as monitoring, directives, and compliance notices.
  3. The new earnings threshold under the Basic Conditions of Employment Act 75 of 1997 (BCEA) is R269 600.90 per annum, effective 1 May 2026. For purposes of the threshold, earnings are calculated as an employee’s regular annual remuneration before deductions, excluding overtime pay. Employees earning below the threshold are afforded additional BCEA protections in respect of, among other things, working hours, overtime pay, and related entitlements. Non-compliance with BCEA obligations may attract scrutiny through the Department of Labour or the Commission for Conciliation, Mediation and Arbitration (CCMA). Employers are advised to review employment contracts and workplace policies to ensure alignment with the updated legislative requirements.

Disclaimer: This article is the personal opinion/view of the author(s) and does not necessarily present the views of the firm. The content is provided for information only and should not be seen as an exact or complete exposition of the law. Accordingly, no reliance should be placed on the content for any reason whatsoever, and no action should be taken on the basis thereof unless its application and accuracy have been confirmed by a legal advisor. The firm and author(s) cannot be held liable for any prejudice or damage resulting from action taken based on this content without further written confirmation by the author(s).

May 30, 2026
Fee or tax? The court decides

Fee or tax? The court decides

With effect from 1 July 2025, the City of Cape Town introduced three new charges on residential rate bills. These charges were challenged by the South African Property Owners’ Association (SAPOA) and AfriForum, who argued that they were unlawful and improperly calculated. The dispute culminated in court applications seeking declaratory orders that the charges were invalid because they were inconsistent with the Constitution, national legislation, and the City’s own By-Laws.

Pay first… maybe not

Pay first… maybe not

For decades, the South African Revenue Service (“SARS”) has relied on the “pay now, argue later” rule as a cornerstone of tax administration. This principle permits SARS to collect disputed taxes before the underlying dispute has been resolved, often placing significant financial strain on taxpayers. While the rule serves an important fiscal purpose, it also raises critical questions regarding fairness, proportionality, and the limits of administrative discretion.

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