The BCEA, the Basic Conditions of Employment Act, is the statute that sets the floor for employment conditions in South Africa. It governs the minimum terms an employer must meet on hours, leave, overtime, deductions and pay records.
What it means
The BCEA is where many payroll rules originate. It fixes the leave entitlements that drive annual, sick and family responsibility leave, the overtime premiums, the limits on what an employer may deduct from pay, and the requirement to issue a payslip each pay period. Terms more generous than the Act are allowed; less generous ones are not.
Where it fits in
Payroll has to apply the BCEA alongside the tax rules: SARS dictates how pay is taxed, the BCEA dictates the minimum pay, leave and record-keeping that produce it. An earnings threshold under the Act also determines which employees are covered by certain provisions, such as overtime pay.
Key rules
- Sets minimum leave, working hours, overtime and payslip requirements.
- Limits the deductions an employer may make from an employee's pay.
- Contracts may improve on the Act but may not fall below it.
- An earnings threshold determines who is covered by provisions like overtime.
