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Article 12/2026

LabourEdge

Regulations 2 to 7 of Government Gazette 52515 of 15 April 2025 (Gazette 2) deal with equal pay for work of equal value.  What is the approach to be followed in order to ensure compliance with the aforesaid Regulations?

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It is suggested that the following practical and sequential 6-step approach be followed:

1. Identify and classify all jobs that are:

  • the same (identical or interchangeable) – Regulation 4(1)
  • substantially the same (sufficiently similar to be reasonably considered to be the same) – Regulation 4(2)
  • of equal value (different jobs accorded the same value) – Regulation 4(3)

2. Map employees into the above classification based on actual earnings:

  • identify current remuneration for all employees within each job classification
  • identify remuneration ranges within such classification – Regulation 3(1)

3. Undertake an analysis of representation of race, gender and disability across the earning percentiles to:

  • determine which groups are concentrated in which bands
  • compare the demographic distribution per different pay levels – Regulation 3(2)

4. Identify trends based on race, gender and disability, so that:

  • discrimination potential may be identified
  • remedial action is to be taken if a specific group consistently earns less for work that is the same/substantially the same/of equal value

5. Identify factors justifying differentiation in terms and conditions of employment and these are:

  • seniority or length of service
  • qualification, ability, competence/potential above minimum levels
  • performance, quantity/quality of work (however, employees must be equally subject to a performance and evaluation system that is consistently applied)
  • differentiation attached to demotion
  • differentiation based on temporary employment to gain experience/training
  • shortage of a relevant skill/market value in a particular job classification
  • any other relevant factor not unfairly discriminatory ito s6(1) of the EEA – Regulation 7

6. Implement remedial action to:

  • address unjustifiable pay differences to design and implement changes to prevent future inequalities – s27 of the EEA and EEA4

Concluding remarks

  • It is clear that what is of paramount importance is to, firstly, classify all jobs, as set out above, in terms of Regulations 4(1) to 4(3) and, secondly, to map all employees into the above classification, based on actual earnings.
  • The analysis of a representation of race, gender and disability across the earning percentiles has as its objective to, firstly, identify potential discrimination on these grounds and, secondly, to address such discrimination.
  • The mere fact that there is a differentiation in terms and conditions of employment in respect of the incumbents of the aforesaid three job categories does not per se mean that such differentiation, firstly, amounts to discrimination and, secondly, found its place in remedial action – Regulation 7 sets out the factors justifying differentiation and, obviously, the presence of such factors means the absence of a remedial plan addressing such differentiation.
  • The remedial action plan has two objectives, firstly, addressing unjustifiable pay differences that currently exist and, secondly, taking action to prevent future inequalities.

Precautionary suspensions

In the public sector, the Senior Management Service Handbook (SMS Handbook) directly addresses precautionary suspensions and the 60-day time limit.

Clause 2.7(2)(c) of the SMS Handbook provides that ‘If a member is suspended or transferred as a precautionary measure, the employer must hold a disciplinary hearing within 60 days. The chair of the hearing must then decide on any further postponement.’

Regulation 6 of the Local Government: Disciplinary Regulations Senior Managers, 2010 (Regulations) provides for the precautionary suspension of senior municipal employees and Regulation 6(6)(a) provides: ‘If a senior is suspended, a disciplinary hearing must commence within three months after the date of suspension, failing which the suspension will automatically lapse.’

What are the principles governing a determination of the question as to whether or not a senior municipal employee’s suspension automatically lapses in terms of the aforesaid Regulation 6(6)(a)?

Obviously, the answers to the aforesaid question are very relevant in the private sector where, firstly, a collective agreement regulates a similar process or, alternatively, such contractual rights have been created between the parties, to be enforced in terms of s77(3) of the BCEA.

In the previous article, we dealt with the consequences of a plant level collective agreement with a definite beginning and end date. We indicated to you that, in line with s23(2) of the LRA, and an analysis of the relevant case law, that, once such a collective agreement reaches its expiry date, it expires and is no longer of any force or effect. In this article, we deal with the scenario where a plant level collective agreement is concluded for an indefinite period and the employer gave notice to terminate same.

What are the consequences when a party to a plant level collective agreement, concluded for an indefinite time period, gives notice to terminate such collective agreement?

In terms of s23(2), a collective agreement binds, for the whole period of the collective agreement, every person so bound in terms of s23(1)(c) (the members of a registered trade union and the employers who are members of a registered employers’ organisation who are a party to the collective agreement, if the collective agreement regulates the terms and conditions of employment, or the conduct of the employers and employees) who was a member at the time it became binding, or who becomes a member after it became binding (irrespective of whether or not that person continues to be a member of such trade union or employers’ organisation for the duration of the collective agreement).

What is the relevant case law development as to a plant level collective agreement that has an expiry date, i e does such collective agreement continue to be of force and effect after such expiry date?