STUDY UNIT 4: Employment Equity 1Saterdag - SU 4 Employment Equity

Relevant pages Chapter 6 : Employment Equity and diversity management See pages 162 – 168 2Saterdag - SU 4 Employment Equity

Objectives: 4.Explain employment equity and how it relates to affirmative action 5.Discuss the requirements of the Employment Equity Act 6.Compile a recruitment policy for an organisation. 3Saterdag - SU 4 Employment Equity

4.Explain employment equity and how it relates to affirmative action Chapter 6 - pp. 162 – Introduction South African organisations are skewed in terms of their workforce Affirmative action (AA), employment equity (EE) and diversity management are strategies by the SA Government and business to remove discrimination Saterdag - SU 4 Employment Equity4

Introduction (cont) Views from different countries are discussed e.g. USA, Malaysia, Namibia, and Canada to understand diversity better Diversity management is a necessity in a global competitive environment The BBBEE Act and EE Act are discussed as well. Saterdag - SU 4 Employment Equity5

1.2Employment equity Saterdag - SU 4 Employment Equity6

1.2Employment equity (Cont) Page 164 (6.2) AA reflect labour market policy to address past imbalances as a direct result of discrimination Definitions of EE reflect labour market policy aimed at preventing future discrimination Saterdag - SU 4 Employment Equity7

1.2 Employment equity (cont) Aim of EE is to correct disparities in labour market brought about by apartheid Both Employment Equity (EE) Act No.55 of 1998 and affirmative action (AA) emphasize groups – thus a group rights approach is followed. AA, unlike EE, is ‘fair’ discrimination to correct past ‘unfair’ discrimination Saterdag - SU 4 Employment Equity8

1.3Unfair discrimination Page (6.2.1) The EE Act prohibits direct and indirect discrimination on various grounds Burden of proof of innocence regarding unfair discrimination rest with employer - it is a reversal of normal doctrine of onus of proof which lies with accuser Saterdag - SU 4 Employment Equity9

1.3 Unfair discrimination (cont) Discrimination is not unfair if its measures are in line with the purpose of the EE Act Disputes are referred to the CCMA. Saterdag - SU 4 Employment Equity10

1.4Need for employment equity (cont) Page (6.3) Equity in employment is based on following bases A)Act defines who are protected categories of people are and who a designated employer is. B)Purposes of The EE Act are two-fold Saterdag - SU 4 Employment Equity11

1.4 Need for employment equity (cont)  1. Monitor employer’s workforce by race, gender, and physical ability  2. Identify ‘under representation’ of black people, women and the disabled at any level in an organisation Saterdag - SU 4 Employment Equity12

1.5Requirements of EE Act Page 166 (6.4) Prohibition of discrimination - Act requires every employer to promote equal opportunity in workplace by eliminating unfair discrimination - The employer required to justify composition of workforce Saterdag - SU 4 Employment Equity13

1.6AA action for designated groups (CONT) AA action for designated groups - Designated groups are defined -Designated employers implement AA measures for designated groups -AA measures to ensure that ‘suitably qualified’ persons from designated groups are equitably represented in all occupational categories Saterdag - SU 4 Employment Equity14

6. Discuss the requirements of the Employment Equity Act The EE Act list five steps to ensure employment equity in sections 16 to 20 namely: Page Consult with employees - Conduct an analysis - Prepare an employment equity plan - Implement the plan - Report to the Director-General (DG) of the Department of Labour on progress made Saterdag - SU 4 Employment Equity15

Requirements of EE Act (Cont.) Employment Equity Plan – Page 167 (6.4.4) - Such a plan is a major requirement for designated employers to follow - Plan must progress towards EE and has seven requirements Saterdag - SU 4 Employment Equity16

Requirements of EE Act (Cont.) Reporting is done to Director General (DG) (6.4.5)_ -Reports must comply as follows - When 150 plus employees are employed, then reports must be sent to DG of Dept. of Labour by first working day in October every year Saterdag - SU 4 Employment Equity17

Requirements of EE Act (Cont.) -When less than 150 employees are employed, reports must be sent to DG of Dept. of Labour by first working day in October every alternative year Saterdag - SU 4 Employment Equity18

Requirements of EE Act (Cont.) Clear that Dept. of Labour plays a specific role in compliance regime of EE Act Designated employers to comply with 3 requirements re EE Compliance cost and fines for contravening EE Act - Schedule 1 of EE Act contain prescribed fines. Saterdag - SU 4 Employment Equity19

To be continued!!! Saterdag - SU 4 Employment Equity20