For all other purposes the labour broker remains the employer and therefore remains responsible for, among others: Payment of the employee’s salary; Administration of leave; Registration with and payment of UIF contributions; and
Registration with SARS and payment of PAYE and skills development levies.
Employees who are deemed to be employees of the client must be treated on the whole not less favourably than an employee of the client performing the same or similar work, unless there is a justifiable reason for different treatment. Section 198D lists the justifiable reasons that could be relied upon, namely seniority, experience, length of service, merit, quantity or quality of work performed and any other non-discriminatory reason. Again, the right to equal treatment arguably does not mean that labour broker employees can demand identical treatment to that offered to employees of the client and the employer would therefore arguably be in compliance with the equal treatment provisions of s198A if it provided a monetary equivalent where provision of the exact same benefit is not practicable or possible.