The Tax Benefits of BBBEE
B-BBEE stands for Broad-Based Black Economic Empowerment, which is a policy framework in South Africa that aims to promote economic inclusion and transformation for historically disadvantaged groups1. B-BBEE has various tax benefits for businesses that comply with its requirements and achieve high scores on the B-BBEE scorecard.
The National Minimum Wage, 8.5% increase!
The National Minimum Wage (NMW) in South Africa is set to increase by 8.5% from 1 March 2024, following the announcement by the Minister of Employment and Labour, Thulas Nxesi. The NMW, which came into effect in 2019, is a legal requirement which aims to prevent exploitation by setting a floor below which no employee should be paid.
Enforcing Discipline Includes Enforcing Sound Values and detailed planning in 2024
In 2024, South Africa will experience the full impact of the Constitutional right to equality and fair discrimination. As organisations navigate this evolving landscape, the enforcement of sound values will be paramount in ensuring compliance and driving sustainable practices. Several legislative developments and regulatory changes will require organisations to proactively address issues related to equality, fair discrimination, harassment, and transparency.
Expected Wage Increases for 2024, in SA
South African employers are expected to increase pay by an average of 6.1% in 2024, according to a recent survey (as per BusinessTech). This is a slight decrease from the actual average rise in pay budgets made in 2023, which was 6.6%. The study found that companies surveyed are considering raising their compensation budgets in 2024 for two primary reasons: about 70% of the organizations attribute inflationary pressure as the reason, while nearly 44% responded that the increases are due to a competitive labour market, with companies aiming to attract and retain quality employees.
2024, a Watershed Year: Navigating Key Organisational Challenges
As we step into 2024, organisations are facing a pivotal moment, where the ability to navigate a rapidly changing landscape will determine their success in the months ahead. Numerous factors, many of which are within the organisation’s control, will play a critical role in shaping the business environment.
