LEGAL COMPLIANCE IN SOUTH AFRICA

KEY LEGISLATION THAT SOUTH AFRICAN ENTITIES MUST COMPLY WITH:

1. The Companies Act, 71 of 2008
All South African registered companies must comply with the Companies Act. Compliance regarding the Companies Act includes but is not limited to having a security register in place, ensuring that share certificates are issued to relevant stakeholders and that the necessary resolutions are passed for the required director and shareholder decisions.

2. Labour Relations Act, 66 of 1995
The Labour Relations Act aims to facilitate the employee-employment relationship by regulating the organisational rights of trade unions for the employees. It promotes collective bargaining by facilitating fair negotiation of employment contracts and defines unfair dismissals and the resolution of disputes through the CCMA.

3. Basic Conditions of Employment Act, 75 of 1997
The Basic Conditions of Employment Act regulates and prescribes certain minimum conditions of employment for all employees and sets out constraints such as working hours, overtime and notice periods. An employer’s failure to comply with the BCEA can have severe legal repercussions.

4. Unemployment Insurance Act, 63 of 2001
In terms of the Unemployment Insurance Act, all defined employers and employees must contribute to the fund every month. The purpose of the fund is to ensure that employees whose employment has been terminated are provided with interim financial relief. The failure of a business to register itself and its employees and effect concomitant payments towards the fund can result in a fine, imprisonment or both.

5. Employment Equity Act 55 of 1998
The Employment Equity Act functions as a regulatory tool to remove unfair discrimination in the workplace while promoting equity.

6. Employment Equity Amendment Act, 4 of 2002
As per the Employment Equity Amendment Act, 4 of 2002, designated employers are obliged to comply with affirmative action provisions, in terms of which the Minister of Employment and Labour sets numerical targets for specific economic sectors.

7. Consumer Protection Act, 68 of 2008
The Consumer Protection Act aims to promote a fair, accessible, and sustainable marketplace for South African consumers while ensuring transparency and accessibility void of customer exploitation. It clearly defines all entities’ rights and responsibilities when interacting with consumers by limiting and defining direct marketing opportunities and the solicitations of sales, among other things. A business’s failure to comply may result in complaints filed with the Consumer Goods and Services Ombud.

8. Occupational Health and Safety Act, 85 of 1993
The Occupational Health and Safety Act regulates the measures to be taken by employers to protect the health and safety of all employees, such as preventing workplace hazards, and defines the extent of employer responsibilities. Furthermore, the Act protects employees’ rights to work in an environment free from risks to their health and safety.

9. Protection of Personal Information Act, 4 of 2013 and Promotion of Access to Information Act, 2 of 2000 
The Protection of Personal Information Act (POPIA) promotes the protection of all personal information against identity theft and privacy infringements. It regulates the manner and purpose for third parties to collect, process and apply personal information. POPIA goes hand-in-hand with the Promotion of Access to Information Act, which aims to foster an environment of transparency and accountability in private and public entities.

10. Financial Intelligence Centre Act, 38 of 2001
The main objective of the Financial Intelligence Centre Act is to ensure that the proceeds of unlawful activities are identified and reported so that activities related to money laundering, terrorist funding and tax evasion can be combatted. All reportable institutions must be registered with FICA and possess a carefully curated Risk Management and Compliance Programme (“RCMP”) to guide the entity in identifying, measuring, monitoring and reporting any material risks to which the entity may be exposed.

11. Amendment Act, 22 of 2022
The Amendment Act aims to combat money laundering and financial terrorism by requiring that entities file all their beneficial ownership information with the Companies and Intellectual Property Commission (CIPC). Failure to do so will constitute non-compliance on behalf of the entity and may lead to a fine of no less than R 1,000,000.00.

BURGER HUYSER ATTORNEYS’ COMPLIANCE SERVICES

• Regulatory Compliance Audits: We conduct a detailed assessment to evaluate your entity’s compliance with the relevant laws and regulations.
• Risk Assessment and Management: We identify all potential compliance risks and develop proper strategies to address them.
• Registration and Regulatory Reporting: We ensure that your entity is registered with all the regulatory reporting bodies and that your annual returns are filed timeously.
• Training: We provide your entity with in-depth training on all necessary legislation, equipping your team with essential knowledge on compliance issues.