Jun 17, 2014

SA labour law compares well globally: report

SA labour law compares well globally: report

11 June 2014 

South Africa's labour law is on par with many developed countries, according to a new report comparing labour legislation governing redundancies and restructuring in 23 countries around the world.

The report, "A Global Employment Guide to Redundancies and Reductions in Force", was compiled by global law firm DLA Piper, with a chapter on South Africa contributed by local law firm Cliffe Dekker Hofmeyr, and was released last week.

Its findings stand in contrast to those of a number of international reports, including the World Economic Forum's Global Competitiveness Index, which criticise South Africa's labour law for being rigid and restrictive.

Aadil Patel, director and national head of the employment practice at Cliffe Dekker Hofmeyr, said their research showed that South Africa's employment legislation "is actually on par with many first world counties. The company we keep in terms of our labour legislation regime includes Australia, Singapore, France, the Netherlands, Hong Kong and the United Kingdom."

South Africa received an A-rating for its redundancy and restructuring legislation in the DLA Piper report. According to Patel, an A-rating indicates that legislation is balanced, providing protection and legal recourse for both employers and employees.

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