In April the DA announced its intention to take employment & labour minister Nomakhosazana Meth to court, arguing that section 15A of the Employment Equity Amendment Act (EEA) violates section 9 of the constitution, which guarantees equality before the law.
Section 15A allows for the imposition of binding quotas on employers based on their employees’ race. These quotas are enforceable under threat of a penalty of up to 10% of a company’s turnover, and the law empowers Meth to impose them without clearly defined criteria for determining an individual’s race.
In July both Sakeliga and the National Employers’ Association of SA (Neasa) filed an interdict to prevent the implementation of the amended EEA. They correctly argue that this act poses a threat to businesses and the economy, with costly consequences.
EEA quotas are set to commence at the beginning of next month, unless Sakeliga and Neasa succeed in their legal action. Should the EEA come into force businesses will have about two years to adjust their staff by race before the government comes knocking at their doors.
Those that can may move elsewhere will, but for the economy as a whole investment will decline and unemployment will rise, placing many livelihoods at risk.
Elnieke Bronkhorst
Institute of Race Relations
JOIN THE DISCUSSION: Send us an email with your comments to letters@businesslive.co.za. Letters of more than 200 words may be edited for length. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.