Focus on 2025 Employment Equity Act amendments

The Employment Equity Act has undergone significant amendments, with the latest changes taking effect from 1 January 2025.

These amendments introduce new compliance requirements for businesses, with a particular focus on sector-specific EE targets updated reporting obligations and stricter enforcement measures.

One of the most notable changes is that only companies with 50+ employees will be required to submit Employment Equity reports, reducing the regulatory burden on smaller businesses. However, all employers must still comply with general anti-discrimination provisions.

For designated employers, sector-specific numerical EE targets will now apply and compliance will be closely monitored. Labour inspectors will play a more active role in ensuring companies meet consultation, reporting and remuneration disclosure obligations.

Furthermore, if your company does business with the state, you must obtain an EE compliance certificate which will only be issued if you meet EE targets, submit reports and have no recent unfair discrimination findings.

With these changes now in effect, employers must act to ensure they remain compliant. Read our full article below to understand what these amendments mean for your business and how to navigate them effectively.

In the video below, Faathima Asmall and Nelson Tjiane discuss the implications of the 2025 Employment Equity Act amendments and highlight an action plan to stay compliant.

Useful Resources:

Do the EEA amendments apply to all employers, regardless of size?

Yes. While only “designated employers” (those with 50+ employees) must comply with Chapter III requirements like EE reports, all employers must comply with general non-discrimination provisions.

What are sector-specific employment equity targets and how do they impact employers?

The Minister can set numerical EE targets for different sectors to improve representation across race, gender and disability. Designated employers must meet these targets or justify non-compliance.

How have reporting obligations changed for designated employers with fewer than 150 employees?

They must now submit EE reports annually instead of every two years, starting 12 months after becoming a designated employer.

What are the consequences of non-compliance with the amendments?

Labour inspectors can issue compliance orders, and failure to comply may result in penalties. Employers also need a compliance certificate to do business with the state.

How has the definition of "people with disabilities" changed?

It now includes individuals with long-term or recurring impairments that interact with barriers, significantly limiting employment opportunities.

In-depth Analysis:

What employers need to know about the 2025 Employment Equity Act amendments

By Shanice Chibonda