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We are entering the second half of 2003. It seems to have been a
busy year for all our clients so far and, we hope a successful
one.
CALCULATION OF EMPLOYEE’S REMUNERATION
The Department of Labour has been very busy passing new
legislation and recently published another amendment to the Basic
Conditions of Employment Act. We have attached a copy of the Act
for your information.
It is the first real definition of remuneration that has been
gazetted and we feel sure that it will be extended to other acts,
particularly the PAYE and UIF acts, but it will also impact on the
WCA act.
Essentially the amendment arises from disputes over severance
packages and retrenchment packages at the CCMA. A definition of
what is considered part of remuneration and what is excluded was
required. This amendment therefore defines what is included when
paying retrenchment packages, notice pay in lieu of notice,
severance packages and leave pay.
Things to note are:
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The act is effective from 1 July 2003.
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Leave pay paid on leave accrued before 1 July 2003 can be based
on gross salary, after 1 July 2003 it is paid on the new
definition.
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It is important to define in letters of appointment the value of
payment in kind of any sort, but especially for housing or
accommodation, particularly with domestic workers.
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It is important to define if company cars or car allowances are
granted to enable an employee to work, i.e. tool of trade as these
are excluded from remuneration.
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The wording of performance bonuses or production bonuses must
clarify whether it is to form part of the remuneration or not. If
it is part of the remuneration pro-rata payments must be made when
the employee’s employment is terminated for whatever reason.
SKILLS DEVELOPMENT
Most of the SETA’s are currently finalising the Workplace Skills
Plans. We are pleased to note that payments to clients for
submitting WSP and Interim Training Reports are working smoothly.
We are also pleased to note that the SETA’s are working hard and
involving the smaller companies in the process.
It is now time to consider learnerships as more of these have
become available and to plan for the application of Diversity
Grants. For more information on both these aspects please contact
Jane (082 977 5610) who will assist with the process.
NATIONAL NEEDS
The SETA’s are under a great deal of pressure to improve the
number of learnerships registered and to give attention to
national skills needs, particularly Aids and HIV awareness and
adult basic education and training.
As a company we have identified a need for Life Skills Awareness
and have developed a training programme for this purpose. The
programme focuses on debt management, goal setting, business
presentation, attitude and career growth. If anyone is interested
in more information with regard to the programme please contact
Debbie or Lynette at the office (011-452 2175).
BUSINESS PREVIEW
Our company has had a long association with Stephen Renecle &
Associates, particularly with regard to the development of
supervisory and leadership course material.
Stephen has also been involved for many years in the development
of programmes for management training and he has recently launched
a new product. The product is aimed at keeping busy managers up to
date with the most important new management thinking from across
the world. This is achieved through a twice quarterly periodical
covering the latest management thinking in three pages, a
quarterly workshop discussing the implications of this management
thinking on your business and an information service allowing
company’s to source articles, books and periodicals.
If you are interested in knowing more about this service please
contact Lynette at the office and we will arrange to have a sample
of the first periodical sent to you.
MANUAL 51’s
In February this year we advised our clients that they would have
to develop a “Manual 51” in terms of the requirements of the
Access to Information Act. This manual had to be e-mailed, faxed
or posted to the Human Rights Commission and then published in the
Government Gazette. The good news is that the Government has
decided that it would be too costly and too difficult to publish
it in the Government Gazette, the bad news is that the deadline
for submitting the manual is 31 August 2003. If you have not yet
completed you manual or require a format for completing it, please
contact Lynette or Debbie for assistance.
Wishing you success for the months ahead. |