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What employers must know about the new Employment Services Amendment Bill
- 15 June 2026
- Law
- South African Accounting Academy
Summary:
In line with the Employment Services Amendment Bill, employers are expected to verify that all employees, particularly foreign nationals, are legally allowed to work in South Africa.
Article:
Documents businesses should request and keep on file include:
- South African ID documents or smart ID cards for citizens
- Permanent residence permits
- Valid passports
- Work visas or critical skills visas
- Asylum seeker permits
- Refugee status documents
- Proof that visa conditions allow employment
- Employment contracts and payroll records
The proposed amendments emphasise that employers should keep proper records and be able to present them during inspections.
Under the existing Immigration Act, employers already have a legal obligation to make a “good faith effort” to ensure that a foreign national is legally allowed to work in South Africa. It is also advisable to keep employment records for at least 2 years after employment ends.
What employers should look out for
Employers are warned not to simply accept a passport as proof that somebody may legally work in South Africa. This is because a foreign national may legally enter the country but still not have permission to work.
Employers should therefore check:
- Whether the visa is still valid
- Whether the visa specifically permits employment
- Expiry dates on permits
- Whether the worker is employed in the same role listed on the visa
- Whether documents appear altered or fraudulent
Businesses are also being encouraged to regularly re-check documents instead of only verifying them when somebody is hired.
Government has already suggested that labour inspections will intensify in industries that frequently employ migrant labour.
Recent enforcement operations have focused on construction sites, restaurants and hospitality businesses, farms and agricultural operations, delivery and e-hailing services and informal businesses.
Although the Bill has not yet become law, companies are advised to audit all employee records; ensure copies of permits and visas are stored securely; train HR staff to identify invalid documentation; track visa expiry dates; and prepare for unannounced labour inspection.
Employers who knowingly hire undocumented workers are not only breaking the law but are also undermining fair competition and weakening labour protections for all workers.
As part of government's Comprehensive Approach for Migration Management, authorities will step up inspections at companies suspected of employing undocumented foreign nationals.
The inspections will involve joint operations by the South African Police Service, the Department of Home Affairs and the Department of Employment and Labour.
In a move aimed at strengthening enforcement capacity, the DoEL has begun the phased recruitment of 10 000 labour inspectors during the current financial year.
Authorities can no longer allow employers found guilty of exploiting undocumented workers to simply pay fines and continue operating without consequence.
The latest measures signal government's intention to tighten oversight of labour migration while tackling worker exploitation and promoting compliance with South Africa's employment and immigration legislation.
Refer to our previous Alert dated 15 June 2026 for more information on the Employment Services Amendment Bill
Click here to access more information:
Relevance to Auditors, Independent Reviewers & Accountants:
- The labour laws are pieces of legislation that your clients must comply with, and 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.
- As an employer, you also need to comply with the relevant labour laws in your workplace.
- You should also be aware of and keep up-to-date with proposed amendments to relevant labour laws.
Relevance to Your clients:
- An entity (company or close corporation) has a duty to comply with all laws, otherwise they could be held liable.
- An employer has a duty to comply with all the relevant labour laws.
- Employers should also be aware of court and keep up-to-date with proposed amendments to relevant labour laws.