The Markets Ledger

Employers face million-rand fines for hiring undocumented workers – SA Labour Department

Deputy Labour Minister Jomo Sibiya says employers who repeatedly hire undocumented foreign nationals could face fines of up to R1 million per worker under proposed changes to South Africaโ€™s employment laws.
In an interview with Newzroom Afrika, Sibiya said the proposed amendments to the Employment Services Act would introduce tougher penalties for employers who hire undocumented foreign nationals.
He said the proposed fines would increase from R100,000 for a first offence to R200,000 for a second offence and up to R1 million for a third offence.
Sibiya said the changes were being pursued as the Department of Employment and Labour intensified inspections amid what he described as widespread non-compliance with labour laws.
โ€œThe employment of illegal foreign immigrants in our country is rife. We can’t deny it. We’ve got evidence,โ€ Sibiya said.

Labour violations under scrutiny
His comments followed a joint inspection in Johannesburgโ€™s city centre that uncovered serious labour, health and safety violations, including workers allegedly being paid below the minimum wage and working without proper protective equipment.
Inspectors also found unsafe food handling and electrical hazards at a butchery, prompting the city to order its immediate closure.
Sibiya said the department had increased its enforcement operations to address employers who continued to disregard labour laws.
โ€œIt is now an order of the day. We’ve been doing it in fact even before, but we have enhanced the level and ramped up the work that we are doing in trying to curb and stop this non-compliance by employers in our country,โ€ he said.
โ€œIndeed, the level of non-compliance in our country is very high.โ€