The threshold for paying overtime in South Africa is governed by the Basic Conditions of Employment Act (BCEA) and the relevant sectoral determinations. However, please note that labor laws can be subject to change, so it’s always a good idea to consult the latest information or a legal expert for the most up-to-date and accurate details.
According to the BCEA, the general rule for overtime payment is as follows:
- For employees who work more than the ordinary hours of work:
- The first hour of overtime worked on any day must be paid at 1.5 times the employee’s normal wage rate.
- Any additional hours worked on that day must be paid at 1.5 times the employee’s normal wage rate, or an agreement can be made for paid time off in lieu of overtime pay.
- For employees who work on Sundays or public holidays:
- The first hour of overtime worked on a Sunday or public holiday must be paid at 2 times the employee’s normal wage rate.
- Any additional hours worked on that day must be paid at 1.5 times the employee’s normal wage rate, or an agreement can be made for paid time off in lieu of overtime pay.
It’s important to note that some industries or sectors may have specific sectoral determinations that set different overtime thresholds or rates. These determinations may apply to certain sectors such as agriculture, domestic work, hospitality, and retail, among others.
Under section 10(2) of the Basic Conditions of Employment Act (BCEA) it is mandatory to make overtime payment to an employee who earns less than the threshold of R224 080.48 per annum and who works overtime.
What are the limits to overtime in South Africa?
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