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Employment Equity Certificate of Compliance

Monday, 06 October 2025   (0 Comments)
Posted by: Ernest Roper

The Department of Employment Labour Have Indicated that businesses seeking state contracts will be issued with an Employment Equity (EE) Certificate of Compliance valid for 12 months from the date of issue or until the next date on which the employer is obliged to submit a report.

Failure to comply with the relevant provisions of the EE Act would be sufficient grounds for rejection of any offer or cancellation of the agreement.

The Department published sets of Employment Equity (EE) Regulations on 15 April 2025:

  • General Administrative Regulations
  • Regulations on Sector Numerical EE

In terms of the amendments to EE legislation, the Minister of Employment and Labour is empowered to issue an EE Certificate of Compliance on condition that the employer has complied with a number of requirements. These conditions include the following:

  • The employer has complied with a numerical target set in terms of section 15A that applies to that employer.
  • In respect of any target with which the employer has not complied, the employer has raised a reasonable ground to justify its failure to comply, as contemplated by section 42(4).
  • The employer has submitted a report in terms of section 21.
  • There has been no finding by the CCMA or a court within the previous 12 months that the employer breached the prohibition on unfair discrimination in Chapter 2.
  • The CCMA has not issued an award against the employer in the previous 12 months for failing to pay the minimum wage in terms of the National Minimum Wage Act, 2018.

The Department of Employment and Labour is conducting EE workshops in partnership with the Commission for Employment Equity (CEE) and the Commission for Conciliation, Mediation and Arbitration (CCMA). The national workshops are part of advocacy to engage with various stakeholders in the labour market on the implementation of the new legislation and its regulations.

The 2025 EE workshops focus on the following:

  • How to implement the EE amendments contained in the EE Amendment Act, 2022, and its EE regulations.
  • Five-year sector EE targets for 18 economic sectors.
  • Practical demonstration of how to utilise the EE system online facilities to capture EE reports and request an EE Certificate of Compliance.
  • Presentation on discrimination disputes referred to the CCMA and the various courts, in particular, harassment cases, including dispute resolution mechanisms in terms of the EEA.

As of 1 September 2025, when employers submit their 2025 EE reports, they will have to do so in line with the new legislation.

Key in the implementation of the new amendments and regulations is the setting of five-year sector EE targets, the enhancement of the EE system and how to request an EE Certificate of Compliance to be able to conduct business with the State.

Master Builders KwaZulu-Natal provides assistance with employment equity compliance and reporting. Members are urged to contact the Association for assistance.

A Naidoo | HR Manager

Reference: //www.bing.com/

 

 

 

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