Employers urged to submit EE reports

THE Employment Equity (EE) reporting period is under way and all designated employers needed to submit their annual 2023 EE reports by January 15, the Department of Employment and Labour said yesterday.

The EE reporting season for both manual and online opened on September 1, 2023. For manual reporting, the closing date was October 2, 2023.

The department said that the 2023 EE reporting process was based on the current EE Act, and not the controversial EE Amendment Act, 2022.

The starting date of the EE Act Amendments was still pending (it had initially been touted for the end of September 2023) as the effective date was still awaiting President Cyril Ramaphosa's signature, the department said.

One of the chief critics of the EE Amendment Act, the DA, has threatened to challenge the matter in court as it believes the regulatory changes proposed will worsen racial relations in South Africa.

Parliament, comprising both the National Council of Provinces and the National Assembly, approved the Employment Equity Amendment Bill on May 17, 2022. Subsequently, the Employment Equity Amendment Act was officially published in the Government Gazette in April 2023.

Key objectives of the EE Amendment, 2022 include reducing the regulatory burden on small businesses (those who employ 1-49 employees) – not to be regarded as designated employers.

It empowers the Minister of Employment and Labour to set employment equity targets for economic sectors and prescribe demographic targets for employers with more than 50 employees.

For companies seeking to do business with government they will need a Certificate of Compliance from the department.

It also requires employers to submit employment equity plans and annual reports on their progress on meeting the targets.

Minister of Employment and Labour Thulas Nxesi defended the amendment act last year when it came under scrutiny.

He said it would provide more representation in senior management in companies of 50 or more people in the next five years for previously disadvantaged race groups.

The submission of annual equity reports is prescribed in the Employment Equity Act of 1998.

According to the 23rd Commission for Employment Equity (CEE) Report, during the 2022 employment equity reporting cycle, 27 532 employment equity reports were submitted by designated employers, which included 7 215 960 employees.

This represented an increase of 1.9 % of reports received against the previous year.