LABOUR LEGISLATION AND SMME's
Why Labour Legislation Hits SMME's Hardest
Businesses the world over regard government regulation as a mixed blessing - all the more so if you're a Small, Medium and Micro Enterprise (SMME).
Full regulatory compliance is compulsory - not an option, and the following labour relations, employment equity, and occupational health and safety legislation must be complied with:
- Labour Relations Act
- Basic Conditions of Employment Act
- Unemployment Insurance Funds Act
- Occupational Health and Safety Act
- Compensation for Occupational Injuries and Diseases Act
- Employment Equity Act
- Skills Development Act
- Skills Development Levies Act
However, the sheer volume of labour legislation puts SMME's at a serious competitive disadvantage compared to larger companies. Few SMME's can afford a full-time Payroll Administrator let alone a Human Resources Manager. In any case, a full-time post is hard to justify economically for companies with few staff to administer. Often SMME's resort to delegating responsibility for Payroll Administration and Human Resources to another member of staff to carry out in addition to their normal function. This person is generally unqualified to carry out these tasks and sooner or later a serious regulatory problem arises. The result can be a heavy fine, even a jail sentence or closure of the company. With a little foresight and modest outlay however this situation can be avoided.
Make sure you don't attract the unwelcome attentions of the regulatory authorities. Contact SHRS
today to find out how we can help