BCEA: Increase in Earnings Threshold

INCREASE IN

EARNINGS THRESHOLD

Dear employer

On 7 February 2022, the Minister of Employment and Labour raised the annual earnings threshold to R 224 080.48 per annum. In terms of the Basic Conditions of Employment Act (BCEA), all employees earning in excess of the earnings threshold, are excluded from the ambit of certain sections of the BCEA, which primarily deal with:

• ordinary hours of work;
• overtime;
• compressed working week;
• averaging of hours of work;
• determination of hours of work by Minister;
• meal intervals;
• daily and weekly rest period;
• pay for work on Sundays;
• night work (section 17(2) that deals with transport and night shift allowances); and
• public holidays (section 18(3) that deals with payment for work on a public holiday that falls on a day on which the employee would ordinarily not have worked).

All employees earning under the threshold amount have the full protection of every section of the BCEA. The new earnings threshold will come into effect as from 1 March 2022.

To view the determination in the Gazette, click here.

For more information:
NEASA Media Department
media@neasa.co.za