BASIC CONDITIONS OF EMPLOYMENT ACT: EARNINGS THRESHOLD INCREASE

The Minister of Employment and Labour issued Government Gazette Number 52232 on 7 March 2025 to increase the BCEA Earnings threshold from R254 371.67 pa to R261 748.45 pa with effect from 1 April 2025.

The BCEA Earnings threshold effect from 1 April 2025 is R261 748.45 pa.

Note that the definition of ‘BCEA earnings’ is included in the notice and is only used for the application of this threshold.

The following link can be use to access the Gazette announcing this Earnings Threshold Increase: https://www.gov.za/sites/default/files/gcis_document/202503/52232rg11806gon5970.pdf

DEPARTMENT OF EMPLOYMENT AND LABOUR
Date: 7 March 2025
I,Nomakhosazana Meth, Minister of Employment and Labour, hereby in terms of Section 6(3)of the Basic Conditions of EmploymentAct, No.75of1997, (the Act), determine that all employees earning in excess of R261748,45(Two hundred and sixty-one thousand, and sevenhundred and forty-eight rand, forty-five cents) per annum be excluded from sections 9,10, 11, 12, 14, 15, 16, 17(2) and 18(3) of this Act with effect from 1April 2025. For the purposes of this notice: “Earnings”means the regular annual remuneration before deductions i.e income tax, pension, medical and similar payments but excluding similar payments(contributions) made by the employer in respect of the employee:Provided that subsistence and transport allowances received, achievement awards and payments for overtime worked shall not be regarded as remuneration for the purpose of this notice.