How Long Can an Employer Legally Not Pay You in South Africa?

Under South African law, an employer has no general right to delay payment of wages beyond the contractual pay date. The Basic Conditions of Employment Act 75 of 1997 (“BCEA”) requires wages to be paid in accordance with the employment contract, and any unpaid amount becomes a debt due to the employee on the agreed pay date. Section 73A of the BCEA gives an employee a 12-month window from the date the wages became due to lodge a complaint with the Department of Employment and Labour, which the Director-General may convert into a compliance order. The parallel route is a CCMA referral for an unfair labour practice involving unpaid wages, which must be made within 90 days of the act or omission, with condonation available on good cause shown. Once non-payment stretches past the contractual pay date, interest at the prescribed rate begins to accrue under the Prescribed Rate of Interest Act 55 of 1975.
The Short Answer: No General Grace Period
South African law does not give an employer a fixed “legal number of days” of grace within which non-payment is excused. Wages are due on the agreed pay date set out in the employment contract, or on the BCEA’s default pay cycle where the contract is silent. Late payment from that date is a breach of the BCEA and a debt that begins to accrue interest at the prescribed rate from the day after the pay date.
Key point: The defences an employer typically raises in informal correspondence — “cash-flow problems,” “pending payroll,” “we are waiting on a client payment,” “the books are not yet finalised” — have no basis in the BCEA. The employer remains liable for the full principal plus interest, regardless of the reason for non-payment.

The Statutory Framework Governing Unpaid Wages
Four statutes together govern unpaid-wage claims in South Africa. They are not alternatives; each one does a different job.
| Statute | Role |
|---|---|
| Basic Conditions of Employment Act 75 of 1997 (“BCEA”) | Section 73A is the central enforcement mechanism for unpaid wages; it sets out the complaint process to the Department of Employment and Labour and the compliance-order route. |
| Labour Relations Act 66 of 1995 (“LRA”) | Section 186(2) defines non-payment of agreed wages as a possible unfair labour practice and governs the CCMA referral and Labour Court route. |
| Employment Equity Act 55 of 1998 | Relevant where non-payment is tied to discrimination (for example, unequal pay for equal work of equal value), but not the primary route for a stand-alone unpaid-wages claim. |
| Prescribed Rate of Interest Act 55 of 1975 | Provides that interest accrues on unpaid wages at the prescribed rate from the date the amount became due; the rate is set periodically by the Minister of Justice and published in the Government Gazette. |
Section 73A of the BCEA: The 12-Month Compliance Order Route
Section 73A of the BCEA is the principal administrative route for recovering unpaid wages. It works as follows:
- A worker who has not been paid any amount due in terms of the BCEA may lodge a complaint with the Department of Employment and Labour in writing.
- The complaint must be lodged within 12 months of the date the amount became due. Outside this window, the Department of Employment and Labour has no jurisdiction to investigate, and condonation is not available under Section 73A.
- The Director-General of Labour must investigate the complaint and may issue a compliance order requiring the employer to pay the outstanding amount.
- If the employer does not comply with the compliance order, the Director-General may file it with the Labour Court, which makes it an order of the Labour Court enforceable as a judgment.
The compliance-order route is administrative and does not require legal representation at the Department of Employment and Labour stage. Representation is permitted and is advisable for larger claims or where the employer contests the quantum.
For Gauteng-based employees, complaints under this route are typically lodged with the Department of Employment and Labour’s Gauteng Provincial Inspectorate in Parktown, which handles investigations across Johannesburg, Pretoria and surrounding municipalities and can issue compliance orders directly without going to court first.
The CCMA Unfair Labour Practice Route
Failure to pay agreed wages can constitute an unfair labour practice under section 186(2) of the LRA. This is the route most commonly used where the Section 73A window has lapsed, or where the dispute goes beyond the wage quantum and turns on the reason for non-payment.
- A referral to the CCMA must be made within 90 days of the act or omission (or within 90 days of the dispute becoming apparent). Outside the window, the employee must apply for condonation and show good cause for the delay.
- The CCMA conciliates and, if unresolved, arbitrates the dispute; the award is then reduced to a written arbitration award.
- If either party is unhappy with the award, it may be taken on review to the Labour Court.
The CCMA route is the appropriate channel where the underlying reason for non-payment needs to be tested (for example, alleged breach by the employee, deduction disputes, or retrospective claw-backs), rather than only the wage amount.
In Gauteng, CCMA referrals for unpaid-wage unfair labour practices are processed through the CCMA’s Johannesburg or Pretoria offices, depending on where the workplace sits. Johannesburg-headquartered claimants typically refer at the Johannesburg office; Pretoria and Tshwane-area claimants refer at the Pretoria office.
Comparison Table: The Three Routes
| Provision | Forum | Time limit | Condonation | Best suited to |
|---|---|---|---|---|
| BCEA Section 73A | Department of Employment and Labour, with escalation to the Labour Court | 12 months from date amount became due | No | Clean unpaid-wage claims with no factual dispute |
| LRA Section 186(2) unfair labour practice | CCMA, with Labour Court review | 90 days from act or omission | Yes (good cause shown) | Disputes where the reason for non-payment is contested |
| Common-law breach of contract | Magistrate’s Court (claims up to R200 000) or High Court | 3 years under the Prescription Act 68 of 1969 | For lapsing only | Concurrent contractual claim running alongside the statutory routes |
The Gauteng Division of the Labour Court, sitting in both Johannesburg and Pretoria, is the court of record for any compliance order or CCMA award that requires enforcement.
Interest on Unpaid Wages
- Interest begins to accrue from the day after the agreed pay date at the prescribed rate under the Prescribed Rate of Interest Act 55 of 1975.
- The current prescribed rate is set by the Minister of Justice and is reviewed periodically — confirm the rate in force on the date the claim is filed by checking the latest Government Gazette notice before issuing any demand.
- Compound interest does not usually apply to unpaid wages; the claim is for simple interest at the prescribed rate.
- A compliance order or CCMA award may also include an order for interest in addition to the principal amount.
What the Employee Can Practically Do
A worker who has not been paid can move through the claim in roughly the following sequence. The exact route depends on whether the 12-month BCEA window is still open and whether the reason for non-payment is in dispute.
- Written demand: Send a written demand (email or letter) to the employer setting out the amount owed, the pay date, and a reasonable deadline (typically 7 to 14 days) for payment.
- Lodge a Section 73A complaint with the Department of Employment and Labour if the demand is not met, while the 12-month window is still open.
- Refer to the CCMA as an unfair labour practice within 90 days if the Section 73A route is closed, or where the dispute is contested on grounds of breach or deductions.
- Approach the Labour Court to make the award or compliance order executable if the employer does not honour the outcome.
Engaging a labour attorney early in this process is generally worthwhile where the claim is sizeable, where the employer is contesting on grounds of alleged breach or misconduct, or where the file needs to be pushed through on review. Burger Huyser Attorneys handles CCMA referrals, disciplinary hearings, employment-contract disputes and unpaid-wages recovery through its Labour Law practice, with specialist input from labour law consultant Marius Ferreira.
What the Employer Cannot Do to Avoid Payment
There are a number of moves employers commonly try that have no effect on the underlying debt:
- Unilaterally deducting from wages for prior overpayments absent the employee’s written consent (BCEA Section 34).
- Setting off the employee’s alleged misconduct or alleged breach against unpaid wages.
- Delaying payment on the basis of a “below-cost” month, pending financial statements, or a force majeure claim.
- Requiring the employee to wait for a future date for overdue wages — the debt is due immediately, not on a delayed schedule.
Penalties and Consequences for the Employer
Failure to pay carries consequences beyond the principal debt:
- A compliance order under Section 73A is enforceable as a Labour Court order; contempt proceedings follow if the employer continues not to pay.
- The Department of Employment and Labour may also pursue an administrative fine for non-compliance under the BCEA.
- The CCMA may order costs against the employer in addition to the principal and interest.
- The employer remains liable for the full principal plus interest at the prescribed rate, regardless of the reason for the non-payment.
Frequently Asked Questions
How long can an employer legally not pay you in South Africa?
There is no fixed grace period. Wages are due on the agreed pay date in the employment contract or the BCEA’s default pay cycle. Any amount unpaid from that date is immediately a debt due to the employee, accruing interest at the prescribed rate from the day after the pay date.
How long do you have to claim unpaid wages in South Africa?
Under Section 73A of the BCEA, a complaint to the Department of Employment and Labour must be lodged within 12 months of the amount becoming due; outside this window, the Department has no jurisdiction and condonation is not available. A CCMA unfair labour practice referral must be made within 90 days, with condonation available on good cause shown.
Can interest be charged on unpaid wages?
Yes. Interest at the prescribed rate set under the Prescribed Rate of Interest Act 55 of 1975 begins to accrue from the day after the pay date. The current rate is set periodically by the Minister of Justice and published in the Government Gazette.
Can an employer refuse to pay a dismissed employee their final wages?
No. Final wages, including accrued leave pay and any notice pay, are due on the usual pay date and are subject to the same Section 73A and CCMA remedies. The reason for dismissal does not affect the obligation to pay wages already earned.
What is the difference between a Section 73A complaint and a CCMA referral?
A Section 73A complaint is administrative, handled by the Department of Employment and Labour, and has a 12-month window with no condonation. A CCMA unfair labour practice referral is a dispute-resolution process, has a 90-day window with condonation available on good cause, and is appropriate where the reason for non-payment is contested.
What if the employer says they cannot afford to pay?
Cash-flow problems are not a legal defence to non-payment of wages. The employer remains liable for the full principal plus interest, and the Section 73A compliance order or CCMA award is enforceable as a Labour Court order. A pending audit, force majeure, or a “bad month” does not pause the obligation to pay.
If unpaid wages have stacked up and a written demand has gone unanswered, the next practical step is to lodge a Section 73A complaint with the Department of Employment and Labour (within 12 months of the amount becoming due) or a CCMA referral (within 90 days) — and if the file already needs a labour attorney to draft the referral or appear at arbitration, contact Burger Huyser Attorneys on 011 888 0246 (head office, 49 First Avenue, Linden, Randburg, 2194) or visit the branch closest to you. The firm runs employment-related and CCMA work through its Labour Law practice, with specialist input from labour law consultant Marius Ferreira. Initial consultations are booked through the Linden head office or any of the firm’s Gauteng branches in Johannesburg, Pretoria, Centurion, Midrand, Sandton, Roodepoort, Bedfordview and Alberton.
General Information Disclaimer: This article describes the general South African legal framework for unpaid wages under the Basic Conditions of Employment Act 75 of 1997 and the Labour Relations Act 66 of 1995. It is general information, not legal advice for a specific claim. Claim windows, prescribed interest rates, and enforcement procedures change, and employees should consult a qualified attorney or the Department of Employment and Labour directly for advice on their own situation. Confirm the current prescribed rate in the Government Gazette before relying on it.
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