How is payroll managed in South Africa?

In South Africa, all employers are obligated to contribute to the Skills Development Levy (SDL) and the Unemployment Insurance Fund (UIF), each requiring a 1% contribution from the employer. The SDL is established to fund workforce education and training.

What are the key employment regulations?

Each employee in South Africa is entitled to 21 consecutive days of leave per annual cycle. This equates to 15 working days for a 5-day workweek or 18 working days for a 6-day workweek, all fully paid. Additionally, employees are entitled to 12 public holidays each year, which are also fully paid.

What should be considered when dismissing an employee?

The minimum notice period for dismissal depends on the employee’s length of service: 1 week for up to six months of service, 2 weeks for six months to a year, and 4 weeks for more than a year. Along with the notice period, severance pay equivalent to at least one week’s pay per year of service is typically required for a standard dismissal, although there are instances where no severance pay is needed.