Labour inspectors on a mission

Labour inspectors on a mission

• 25 July 2022
• Accounting
• South African Accounting Academy

The Department of Employment and Labour Inspection and Enforcement Services (IES), in the Western Cape Province, has recovered a grand total of R 2 563 440,00 during inspections conducted in the 2021/2022 financial year, made up as follows:

1. R712 472,24 on BCEA
2. R649 665,48 for NMWA
3. R579 762,21 for UI Act
4. R621 540,07 for COIDA

Of the total 30 252 inspections conducted, a total of 8 809 workplaces were found to be non-compliant and of those, 804 were referred for prosecution.

It is the duty of inspectors to advice employees and employers of their rights and obligations; conduct inspections; investigate complaints; endeavour to secure compliance by securing undertakings or issuing compliance orders; contravention notices; prohibition notices and referral to court.

Click here to access the Media Statements:

• https://www.labour.gov.za/department-of-employment-and-labour-inspectorate-recovers-over-r2-million-rands-for-non-compliance-with-labour-legislation
• https://www.labour.gov.za/department-of-employment-and-labour-closes-free-state-provincial-south-african-police-service-station-for-non-compliance-wi

Relevance to Auditors, Independent Reviewers & Accountants:

• It is vital that your clients comply with Labour Legislation as well as Occupational Health and Safety legislation, both of these which you must assess compliance with. 
• If they don’t comply with the relevant laws and regulations, you have certain reporting obligations in terms of NOCLAR (NOn-Compliance with Laws And Regulations) – this could include reporting to management, qualifying your audit opinion, reporting a Reportable Irregularity, etc. – depending on your role as auditor, independent reviewer, or accountant.
• As an employer, you also need to comply with Labour Legislation in your workplace.

Relevance to Your clients:

• An employer and entity (company or close corporation) has a duty to comply with Labour Legislation as well as Occupational Health and Safety legislation, otherwise they could be held liable.

To stay current with all the latest changes and updates subscribe to our Monthly Compliance and Legislative Update series for R 250.00 per month. This gives you access to a monthly 2-hour webinar and monthly newsletter:
https://accountingacademy.co.za/profession/monthly-legislation-update

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