The Department of Employment and Labour, through Minister Nomakhosazana Meth, has published a Draft Reviewed Code of Good Practice on the Preparation and Implementation of the Employment Equity Plan for public comment. The notice, dated June 29, 2026, and officially published in the Government Gazette on July 24, 2026, seeks feedback on the revised guidelines. This publication falls under the Employment Equity Act, 1998 (Act 55 of 1998 as amended), specifically in terms of Section 55(1) of the Act.
The draft code aims to update the framework for employment equity plans across the Republic of South Africa. The official notice, signed by MS NOMAKHOSAZANA METH, MP, MINISTER: DEPARTMENT OF EMPLOYMENT AND LABOUR, appeared as Notice 7719 in Government Gazette number 55046. The department is inviting stakeholders and the public to review the proposed changes and submit their comments as part of the legislative process.
Purpose and Scope of New Guidelines
The Draft Code of Good Practice provides guidelines to designated employers and their employees regarding best practices for the preparation, implementation, and monitoring of an employment equity plan. Designated employers are defined as those who employ 50 or more individuals. Employers with fewer than 50 employees, specifically those with 1 to 49, are also considered designated if they operate as an organ of state or are bound by a collective agreement as stipulated in section 23 or 31 of the Labour Relations Act.
The guidelines extend to designated groups, which include black people, women, and people with disabilities who are citizens of the Republic of South Africa. The Code itself is issued in accordance with section 54 of the Employment Equity Act (EEA). Its provisions must be interpreted in conjunction with several foundational legal documents.
These documents include the Constitution of the Republic of South Africa, No. 108 of 1996, and the primary Employment Equity Act, No. 55, of 1998. Further context is provided by the Employment Equity Amendment Act, No. 47 of 2013, and the more recent Employment Equity Amendment Act, No. 4 of 2022. Additionally, the Code must be read alongside the Employment Equity Regulations of 2025 as amended.
An Employment Equity (EE) Plan serves as a designated employer's implementation program, designed to achieve equitable representation and fair treatment for designated groups across all occupational levels within an organization. The plan aims to address existing barriers to fair employment policies, practices, and procedures. It also mandates the implementation of remedial measures within specified timeframes to correct identified inequities.
EE Plan Preparation and Consultation
The Employment Equity (EE) Plan, a core component of the revised guidelines, must meet all requirements as stipulated in Section 20 of the Employment Equity Act (EEA), as amended. Employers are further directed to develop this plan utilizing the EEA13 template, which is contained within the amended Employment Equity Regulations. The preparation of the EE Plan must draw upon full data and insights derived from the analysis outlined in EEA 12. This analytical foundation ensures the plan is tailored to the specific needs and challenges identified within an organization.
Developing an EE Plan necessitates an inclusive process, emphasizing consultation and drawing information from a thorough analysis of existing policies, practices, procedures, workforce demographics, and the overall work environment. The guidelines delineate three distinct phases involved with the EE Plan: preparation, implementation, and monitoring. Designated employers bear the responsibility to initiate and facilitate the preparation of an EE Plan as soon as they achieve designated employer status. This proactive approach aims to ensure timely compliance and effective integration of equity principles.
Responsibility for the EE Plan can be assigned to one or more senior managers within the organization. These individuals must report directly to the Chief Executive Officer (CEO) or Accounting Officer, establishing a clear line of accountability. It is specified that senior managers assigned these critical EE Plan responsibilities should be involved from the earliest preparation phase. Their early engagement is intended to foster a deeper understanding and commitment to the plan's objectives.
To effectively execute their duties, assigned senior managers must be provided with the necessary authority and resources. This includes access to an appropriate budget, which is key for funding initiatives, training, and other activities required for the plan's successful implementation. Key employment equity outcomes should be formally incorporated into the performance contracts of these assigned senior managers. This measure aims to link individual performance directly to the achievement of organizational equity goals, reinforcing accountability.
Beyond management, the guidelines stipulate that all employees must be made aware of the purpose, content, and practical application of the EEA, its accompanying Regulations, and the various Codes of Good Practice. This widespread awareness is intended to ensure a collective understanding of the legal framework governing employment equity. Employees should also be thoroughly informed about the processes for the identification, prohibition, and elimination of unfair discrimination. Additionally, they must be educated on the principles and practical application of affirmative action measures within the workplace, fostering a transparent and informed work environment.
Workforce Analysis and Consultation Process
Designated employers must consult with employees from both designated and non-designated groups across all occupational levels, according to the revised guidelines. Managers within these organizations should receive training on their obligations under the Employment Equity Act (EEA), including diversity management, coaching, and mentoring. The Department of Employment and Labour emphasizes that communication regarding employment equity should highlight positive outcomes such as the more effective utilization of human resources and the development of a more productive workforce.
In instances where a representative trade union or employees decline to participate in the consultation process, the employer is required to document these circumstances in writing. The consultation itself must involve establishing or utilizing a consultative forum, which includes representative trade unions, employees, or employee representatives. This forum must accurately reflect the interests of employees from both designated and non-designated groups, encompassing all occupational levels within the organization. Members of this Employment Equity (EE) forum must be trained and equipped with the necessary knowledge and skills for their roles and responsibilities.
Consultation procedures must also provide a reasonable opportunity for trade unions and employees to meet with the employer and furnish feedback. To ensure structured engagement, regular meetings, held at least quarterly, must be scheduled, and all deliberations from these meetings are to be formally recorded.
A designated employer is also mandated to conduct an analysis as stipulated by Section 19 of the EEA. This analysis involves a full review of the organization's workforce profile, its employment policies, existing practices, established procedures, and the overall working environment. The primary purpose of this detailed analysis is to identify any employment barriers that may be affecting designated groups within the workplace.
Identifying Disparities and Next Steps
The analysis determines the extent of under-representation or over-representation of designated groups across different occupational levels based on race, gender, and disability. It also assesses employment policies, practices, and procedures to identify barriers to representation, inclusion, and diversity. Conversely, the analysis identifies practices that already promote employment equity and diversity, including reasonable accommodation.
The initial step in workforce profile analysis involves differentiating employees by designated groups—Black people, women, and persons with disabilities—and non-designated groups, utilizing the EEA1 form. Should an employee decline to complete the EEA1 form, the employer is permitted to establish designation using reliable historical and existing data, though persons with disabilities retain the right not to declare their disability. The analysis must determine under-representation or over-representation by employing up-to-date demographic data from the Economically Active Population (EAP) and Sector Employment Equity (EE) targets, as required by section 15A of the EE Amendment Act of 2022. Guidance for this analysis is provided by EEA8 and EEA9 within the EE Regulations. Workforce profile analysis is conducted based on a snapshot taken on a particular date for each occupational level, with any identified under-representation or over-representation captured to inform and prioritize strategies within the Employment Equity plan.