Confusion over labour law amendments

THE hype around the implementation of labour law amendments at the beginning of this year is creating much confusion and debate for many contract workers.

Last month, CCMA’s Director Nerine Kahn said that many problems would arise surrounding the new amendments, and expected many temporary employment contracts to be terminated.

The amendments are leaving contractors with the impression that if they are employed by labour brokers for three months, they automatically have to be converted into permanent employees once that period lapses.

But according to a reputable employment agency in the area, this is not the case.

Choosing to remain anonymous, the agency’s representative told the Zululand Observer that the new law was put in place to provide extra protection for employees, and is only applicable to those who are earning less than the threshold, which is currently set at R205 433 per annum.

‘Interpreted correctly, this law states that after three months, the employee will remain on the Temporary Employment Services’ (TES) books, as well as on the client company’s records.

‘After this period, the employee may declare a dispute with TES and the client company at the CCMA.

Amendments to the labour law are expected to also establish a closer relationship between the TES and clients to ensure that contracts, terms of employment and disciplinary processes are managed correctly.

Organisations were expected to have gotten their houses in order and comply with these obligations as of 1 April.