⚖️ Compliance Blitz: South Africa’s Labour Inspections

13 Aug 2025
In recent months, the Department of Employment and Labour has intensified its nationwide blitz inspections — and the results are sobering. From underpayment of wages to unsafe working conditions, nearly half of the 2,700 companies inspected were found to be non-compliant. Over R10 million in monetary corrections have been enforced, and 81 undocumented workers were arrested.

🚨 What’s Driving the Blitz?

Minister Nomakhosazana Meth, who assumed office in July 2024, has made it clear: these inspections are about restoring dignity to South Africa’s workforce. Partnering with Home Affairs, SAPS, and sectoral bargaining councils, the Department is targeting violations of key legislation including:

The Western Cape, Gauteng, and KwaZulu-Natal have seen the highest inspection volumes, with infractions ranging from unlawful deductions to lack of PPE and poor safety signage.

🧭 What This Means for Employers

For employers, this is a moment of reflection and recalibration. Compliance isn’t just about avoiding penalties — it’s about building trust, protecting workers, and aligning with the values that define a fair and sustainable workplace.

At openHR, we believe compliance should be proactive, not reactive. That means:

  • Conducting regular internal audits
  • Ensuring employment contracts and wage structures meet legal standards
  • Prioritising health and safety with designated reps and proper risk assessments
  • Verifying documentation and work permits for all employees

🌍 Compliance as a Catalyst for Change

South Africa’s unemployment rate hovers around 33.5%, with youth disproportionately affected. Ethical employment practices — from fair wages to safe conditions — are not just legal obligations; they’re social imperatives. As openHR scales globally, we remain committed to SDG #8: promoting inclusive and sustainable economic growth, employment, and decent work for all.

✅ South African Workplace Compliance Checklist

📄 Employment Contracts & Documentation

  • Ensure all employees have signed, legally compliant contracts
  • Include job descriptions, working hours, leave entitlements, and termination clauses
  • Verify work permits and documentation for foreign nationals

💰 Wage & Payroll Compliance

  • Pay at least the National Minimum Wage (R28.79/hour as of March 2025)
  • Provide itemised payslips with all required details (as per BCEA)
  • Avoid unlawful deductions and ensure transparency in all payroll transactions
  • Submit and pay EMP201/PAYE returns on time (usually by the 7th of each month)

🧯 Health & Safety Standards

  • Appoint Health & Safety Representatives (for workplaces with 20+ employees)
  • Conduct regular risk assessments and maintain safety signage
  • Provide Personal Protective Equipment (PPE) where required
  • Comply with the Occupational Health and Safety Act

🛡️ UIF, COIDA & SDL Submissions

  • Register and contribute to the Unemployment Insurance Fund (UIF)
  • Submit Return of Earnings (ROE) annually to the Compensation Fund
  • Ensure Skills Development Levy (SDL) is calculated and paid correctly

🔐 POPIA & PAIA Compliance

  • Appoint and register an Information Officer via BizPortal
  • Submit PAIA reports annually
  • Implement data protection policies and employee consent protocols

🕵️ Internal Audits & Training

  • Conduct quarterly internal compliance audits
  • Train managers and HR staff on labour laws and ethical practices
  • Use openHR’s free tools to generate reports, payslips, COIDA forms, EMP201 reports and UIF 1-click submissions.

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