SA companies still not complying with EE Act, says labour department

More than two decades since the enactment of the Employment Equity Act (EEA) to transform the South African labour market, compliance levels still remain low, said department of employment and labour on Thursday.

Speaking during the official launch of the 22nd CEE Annual Report and Public Register of all designated employers on the status of workplace transformation in Midrand, Minister Thulas Nxesi said it was time to get hard on non-compliance.

“If we are serious about transformation we should not be begging now. The time has now come to get hard on non-compliance,” said Nxesi.

Nxesi said there was a need to push hard for transformation.

“If we do not do it now, will see the status quo prevailing for the next 100 years”. He said the measure of success of society will be defined by the extent in which government had been able to uplift the vulnerable in society. He admitted government’s failure for its snail pace in transforming the country.

“I hope the proposed EE amendments currently in Parliament will serve as a game changer. It cannot be business as usual while our people compete for space in the labour market,” he said.

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The latest CEE report showed that in 2021 White males accounted for 63,2 percent (2020: 64,7 percent) of Top management positions; followed by Africans 17,0 percent (2020: 15,8 percent); Indians account for 10,9 percent (2020: 10,6 percent) and Coloureds made 5,9 percent (2020: 5,7 percent).

The White and Indian population groups remain over represented in relation to their Economically Active Population (EAP) at the Top Management level.

The African and Coloured population groups remain grossly under represented and the representation of Foreign Nationals still remain relatively high at 3,0%, although a slight decline of 0.1% is noted from the previous year at this occupational level. Transformation at the top management is more visible within the public administration, said the report.

In terms of the National Economically Active by Population Group and Gender, the report shows that males of all racial groups accounted for 55.3 percent while females made 44.7 percent.

African males account for 43.6 percent, Coloured male 5.0 percent, Indian male 1.8 percent and White male 4.9 percent. While African females accounted for 35.8 percent, Coloured female 4.1 percent, Indian female 0.9 percent and White female 3.9 percent.

The disabled group at top management level has remained at 1.6 percent after a 1.5 percent representation in 2019.

The CEE report covers the period from 1 April 2021 to 31 March 2022.

Nxesi also shared concerns over the continued slave conditions in the labour market, where the immigrants were being exploited, saying “we seem to be going back to slave conditions in this country”.