Employment Equity (EE) submissions in South Africa are a crucial component of compliance for companies under the Employment Equity Act. This process is designed to promote equal opportunity and fair treatment in employment through the elimination of unfair discrimination and the implementation of affirmative action measures. Here’s a step-by-step guide on how employment equity submissions are typically done for companies:

1. Designation and Preparation

• Designated Employers: First, determine if your company is a “designated employer.” A designated employer is one that employs 50 or more employees, or has a total annual turnover that is equal to or above the applicable annual turnover of a small business in its sector, or is bound by a collective agreement.
• Employment Equity Committee: Establish an Employment Equity Committee or assign a senior manager as the Employment Equity Manager. This committee or manager will be responsible for driving the EE process within the company.

2. Analysis

• Conduct an Employment Equity Analysis: The analysis involves reviewing current policies, practices, procedures, and the workforce profile to identify barriers that might contribute to inequality and unfair discrimination within the workplace.

3. Plan

• Develop an Employment Equity Plan: Based on the analysis, the company must develop an Employment Equity Plan. This plan should outline the affirmative action measures the company intends to implement to address any inequalities or gaps identified. The plan must include objectives, affirmative action measures, timetables, duration (not more than five years), procedures, and responsibilities.

4. Reporting

• Employment Equity Reports: There are two types of reports that need to be submitted:
  • EEA2: The EEA2 report provides information on the employer’s workforce profile, employment equity policies, and practices. It includes numerical data about the employee demographics and the status of EE implementation.
  • EEA4: The EEA4 report provides information regarding remuneration and income differentials among employees of different demographic backgrounds. It helps identify disparities in pay that may need to be addressed.
• Submission: These reports are submitted annually to the Department of Labour. The submission deadlines are on the first working day of October every year for manual submissions, and electronic submissions typically have until January 15th of the following year. However, it’s important to check the current year’s deadlines as they may be subject to change.

5. Implementation and Monitoring

• Implement the Plan: After developing the Employment Equity Plan, the company must implement the measures outlined in the plan. This could involve training programs, changes in recruitment policies, or other interventions aimed at promoting equal opportunity and fair treatment.
• Monitor and Evaluate: Regularly monitor and evaluate the implementation of the Employment Equity Plan. This involves keeping track of progress against the plan’s objectives and making adjustments as necessary.

Online Submission

The Department of Employment and Labour in South Africa provides an online system known as the Employment Equity Online Reporting System for the submission of EEA2 and EEA4 reports. Companies are encouraged to register and submit their reports through this online platform to streamline the submission process.

Compliance

Failure to comply with the Employment Equity Act, including the submission of EE reports, can result in fines. The amount of the fine varies depending on the nature of the violation and whether there have been previous violations.

Employment equity is not just a legal requirement but also a good business practice that can improve workforce diversity, enhance employee morale, and contribute to a more equitable society.

Employers must conduct an analysis of their workforce to identify employment equity gaps, prepare an Employment Equity Plan with strategies to address these gaps, and report annually on their progress. The focus is on ensuring equitable representation and treatment in all levels of employment.

Cost: charges range between R6 000 – 15 000 pa depending on company turnover and staff compliment.