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Employment law bills: update

26th November 2013

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The Employment Tax Incentive Bill

As at 31 October 2013 the National Assembly has approved the Employment Tax Incentive Bill (“Bill”). The Bill will now be referred to the National Council of Provinces (“NCOP”) for concurrence. The Bill’s purpose is to provide a financial incentive for employers to invest in the employment of certain unemployed and unskilled individuals.

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To the extent that the employee and employer both qualify, the employer will be entitled to an incentive calculated in accordance with a prescribed formula. It is anticipated that this incentive will only be operative for an initial two-year period after which a determination will be made as to whether to continue with the incentive scheme.

The Basic Conditions of Employment Amendment Bill, 2012

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As at 5 November 2013 this Bill has been passed by the NCOP and is currently awaiting the assent of the President.

The Labour Relations Amendment Bill, 2012

As at 5 November 2013 this Bill has been passed by the NCOP but has been returned to the Portfolio Committee on Labour of the National Assembly for the consideration of further amendments proposed by the NCOP.

The Employment Equity Amendment Bill, 2012

As at 5 November 2013 this Bill is presently before the NCOP for consideration.

Written by Andre van Heerden, associate, edited by Jacques van Wyk, director at Werksmans Attorneys

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