News & Insights

The Minister of Employment and Labour has formally published Government Notice No. 7384 on 17 April 2026, confirming that the BCEA earnings threshold will increase to R269 600.90 per annum with effect from 1 May 2026.

Employees earning above this threshold are excluded from various protections under the BCEA.

Compliance Requirements for Employers
The increase has significant compliance implications as Employers now have to review their existing payment structures to ensure that Employees are correctly remunerated.

Therefore Employees who did not historically qualify for certain allowances or payments in terms of the BCEA due to Employees earning above the threshold, may now qualify due to the increase in the threshold.

It is therefore important to review your remuneration structures which would include reviewing the following:
Overtime pay
Sunday work remuneration
Public holiday pay
Night work allowances and related premiums
Scope of Exclusion Above the Threshold

Employees earning above R269 600.90 per annum will be excluded from the following BCEA provisions:
Section 9: Ordinary hours of work
Section 10: Overtime
Section 11: Compressed working weeks
Section 12: Averaging of hours
Section 14: Meal intervals
Section 15: Daily and weekly rest periods
Section 16: Pay for work on Sundays, public holidays, and night work
Section 17(2): Payment for overtime work
Not reviewing and making the required changes may result in organizations being found in breach of the mentioned BCEA provisions with serious consequences.