Government opens 60-day public comment period on South Africa’s draft Employment Equity Plan Code
- John Botha
- 10 minutes ago
- 5 min read
Johannesburg, 27 July 2026 — The Minister of Employment and Labour, Ms Nomakhosazana Meth, has published the Draft Reviewed Code of Good Practice on the Preparation and Implementation of the Employment Equity Plan for public comment.
The draft was published in Government Gazette No. 55046 under Notice No. 7719 on 24 July 2026 (view here). It was issued in terms of section 55(1) of the Employment Equity Act, 1998, and is open for written submissions for 60 days from the date of publication.
What is changing in the Employment Equity Plan Code?
The draft Code explains how designated employers must prepare, implement and monitor their Employment Equity Plans under the amended Employment Equity Act. It introduces clearer requirements relating to sector-specific numerical targets, Economically Active Population data, consultation, reporting and employment equity compliance certificates.
For designated employers across South Africa, the proposed Code is more than an administrative update. It could change how Employment Equity Plans are developed, assessed and reported once the Code is finalised.
Key impacts for designated employers
Sector targets must form part of workforce analysis and planning
Designated employers will need to assess their workforce against both national and provincial Economically Active Population data and the five-year numerical Employment Equity targets for their applicable sector.
The draft requires sector targets to inform the workforce analysis, the identification of under-representation and the strategies included in the Employment Equity Plan.
Employers must identify the correct economic sector
Businesses will need to determine their applicable sector by referring to the relevant ministerial notice and the EEA17 form.
Where an employer operates across more than one sector, it must apply the numerical targets for the sector in which the majority of its employees are engaged.
Numerical planning extends across all occupational levels
Employment Equity planning will no longer focus mainly on top management, senior management and professionally qualified occupational levels.
Designated employers must also set numerical goals and annual Employment Equity targets at semi-skilled and unskilled occupational levels, taking the applicable EAP into account.
Employers must avoid perpetuating over-representation
The draft states that a designated employer must avoid perpetuating the over-representation of any group where that group already exceeds the applicable EAP at a particular occupational level.
This means employers will need to consider representation at each occupational level when making recruitment, promotion and workforce-planning decisions. The requirement should not be interpreted as an automatic prohibition on appointing an individual from an over-represented group, as the draft also requires employers to consider factors such as qualifications, experience, job requirements, attrition and the available pool of suitably qualified candidates.
Compliance certificates carry greater commercial consequences
A designated employer may not receive a certificate of compliance under section 53(2) of the Employment Equity Act unless it submitted a compliant Employment Equity report during the preceding year.
Because these certificates can affect contracting with organs of state, employers will need to ensure that their annual reporting is complete, accurate and compliant.
Newly designated employers receive a limited grace period
An employer submitting its first Employment Equity report after becoming a designated employer will not be assessed against its annual Employment Equity targets in that first report.
This gives newly designated employers time to establish the required analysis, consultation, planning and reporting processes.
Consultation obligations are wider and more structured
Designated employers must consult with representative trade unions, employees or employee representatives when conducting an analysis, preparing and implementing an Employment Equity Plan and submitting Employment Equity reports.
Consultation must represent employees from designated and non-designated groups across all occupational levels. Members of the Employment Equity consultative forum must also be trained and capacitated to perform their roles and responsibilities.
The draft further requires regular, structured meetings to be held at least quarterly, with the discussions properly recorded.
Exceeding sector targets does not end the planning obligation
Employers that have already exceeded their five-year sector numerical Employment Equity targets must continue setting annual targets aimed at achieving the applicable EAP for other designated groups.
An employer cannot allow its Employment Equity Plan to remain unchanged simply because its overall workforce has reached or exceeded a sector target.
Why the draft Employment Equity Plan Code matters
The section 15A sector-target regime was introduced through the Employment Equity Amendment Act 4 of 2022. The draft Code incorporates these targets into the practical process for analysing a workforce, preparing an Employment Equity Plan and setting annual numerical goals.
It also explains how sector targets must interact with national and provincial EAP data. Employers must consider the analysis report, applicable EAP data, five-year sector targets, annual objectives, corrective measures, time frames and available resources when developing their Employment Equity Plans.
Employers that delay reviewing the proposed requirements could prepare their next Employment Equity Plan using a framework that may soon change.
Who is affected by the proposed Code?
The Code applies to designated employers required to prepare, implement and monitor an Employment Equity Plan.
A designated employer generally includes an employer with 50 or more employees. Certain organs of state and employers bound by qualifying collective agreements may also be designated employers even where they employ fewer than 50 people.
How to comment on the draft Employment Equity Plan Code
The Department of Employment and Labour has invited employers, trade unions, industry bodies, employees and other interested parties to submit written comments during the 60-day public comment period.
Written submissions may be sent to:
The Gazette also includes a public-comment template that allows contributors to identify the relevant paragraph of the draft Code, state their comment and propose an amendment.
Given the proposed changes to sector targets, occupational-level planning, consultation and compliance certification, designated employers should review the draft Code and consider submitting formal comments before the public-comment period closes.
Frequently asked questions
What is the Draft Reviewed Employment Equity Plan Code?
It is proposed guidance for designated employers on preparing, implementing, monitoring and reporting on Employment Equity Plans under the Employment Equity Act.
How long is the public-comment period?
The draft is open for written public comment for 60 days from its publication on 24 July 2026.
Do sector targets replace EAP targets?
No. Designated employers must consider both the applicable five-year sector numerical targets and national or provincial Economically Active Population data when analysing representation and developing their Employment Equity Plans.
Must employers set targets at every occupational level?
The draft requires numerical goals and annual targets at all occupational levels. The five-year sector targets apply to the four upper occupational levels, while targets at semi-skilled and unskilled levels must be informed by the applicable EAP.
What happens if an employer has already exceeded its sector targets?
The employer must continue setting annual targets towards the applicable EAP for designated groups that remain under-represented.
Can a newly designated employer fail its first annual target assessment?
The draft states that a newly designated employer will not be assessed against annual Employment Equity targets in its first report after becoming designated.
Why does the compliance certificate matter?
A section 53(2) compliance certificate can affect an employer’s ability to contract with organs of state. Under the draft Code, a certificate cannot be issued unless the employer submitted a compliant report during the preceding year.
This article is for informational purposes only and does not constitute legal advice. For specific legal guidance on protected disclosures, employment practices, or compliance obligations, consult a qualified labour law practitioner.
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