HRTorQue REPORTER

"The difference between the almost right word and the right word is really a large matter - 'tis the difference between the lightning-bug and the lightning." Mark Twain

If you want to be recognised as a leader, take great care in the words and phrases that you choose to use. These words and phrases (language) will inspire, motivate and convey the confidence and credibility that is required to influence your employees and clients.

More so than ever, successful businesses aspire to provide excellent service and be cost effective and competitive and employees who do not convey a positive attitude, professional demeanour and collaborative spirit may find themselves replaced. Whether it is work related or not avoid, at all costs, dialogue made up of constant complaints or worse still 'whining'.

The following common phrases are often used and should be avoided. These can have a detrimental effect on your professional image and relationships with work colleagues and management.

"It's not fair."

"Life is not fair; get used to it." Bill Gates
 
Preferably find a way to motivate your objections factually if you want to change something.

"That's not my problem." "That's not my job."

"We live in a world in which we need to share responsibility. It's easy to say 'It's not my child, not my community, not my world, not my problem.' Then there are those who see the need and respond. I consider those people my heroes." Fred Rogers
 
Even if a request is made to you at an inconvenient time, it is most likely important to the other person or they would not have asked. If you are going to be a contributing member of the team, it is important to consider the other employees needs irrespective of what role they fill and whether you consider it to be important or not in comparison to yours. This does not mean that you have to drop everything at once and comply with the request. Try a response such as "I am working on something urgent at the moment, can I come back to you?" This would demonstrate teamwork and a willingness to be helpful.

"No problem."

Preferably use "You're welcome." This indicates that it was a pleasure to assist. Although the words "no problem" are often used as a casual response to requests, it infers that the request may have been a problem.

"I'll try."

This phrase intimates that there is a possibility that the request that has been made may not be fulfilled and leaves the person making the request with uncertainty. Replace this with "I will".

"It's all your fault."

Blaming others instead of taking responsibility does not bode well for developing personal nor business relationships. Instead, focus on solving the problem and then establish ways to prevent it from re-occurring.

There is negative publicity and criticism around the new "Verification of Income Tax Return" process, introduced by the South African Revenue Service (SARS) whereby corporate taxpayers are required to reconcile the Income Tax, Value Added Tax (VAT), Employees' Tax (PAYE / UIF / SDL) and Customs declarations.

SARS have gone back to the drawing board and are going to relook at its format. The Payroll Authors Group of South Africa (PAGSA), of which we are members, as well as other professional bodies have put forward a number of proposals on how the form, as well as the process, could be improved. We should hear something from SARS in the coming months but given that it's the start of the new filing season and that the government's new budget cycle has just kicked in, we don't expect much to happen in the next few weeks.

More about this will be sent out later in the year (or as it comes to hand!).

According to the 13th edition of the Employment Equity annual report, there has been a slight increase in the representation of the black population in top management positions.

According to the 2012 report, black people occupied 12.3% of top management positions in 2012, compared to 10% in 2002. Whites constituted 72.6% of top management positions in the country last year (81.5% in 2002), coloureds 4.6% in 2012 (3.4% in 2002), Indians 7.3% from 5% in 2002 and foreigners 3.1% compared to zero in 2002.

If you require assistance with Employment Equity please contact Nicky Hardwick: [email protected].

In the 2013 budget speech Finance Minister, Pravin Gordhan, mentioned that there would be further tax relief for small businesses, including an increase in the monetary tax thresholds applicable for Small Business Corporations (SBCs). There are specific criteria that apply for qualification as a small business.

These include the fact that all shareholders must be natural persons (individuals), and that the annual gross income must not exceed R20 million (up from R14 million). In addition to this, personal service providers are excluded and no more than 20% of gross income may come from investments or from rendering personal services.

Shareholders are limited in respect of other business interests that they may hold.

If your business entity's annual turnover is R1 million or less you would qualify as a 'micro enterprise' and could make use of the 'turnover tax' provisions. This is a simplified turnover based tax system substituting income tax, CGT and in certain circumstances, VAT.

This applies not only to companies, but also to sole proprietors, partnerships, close corporations, companies and co-operatives. With effect from years of assessment commencing 1 March 2012, a micro business can voluntarily exit the turnover tax system at the end of any year of assessment. However, once out of the turnover tax system, the taxpayer will not be permitted to re-enter. Personal services rendered under employment like conditions and professional services are excluded.

Should you require any additional information regarding either Small Business Corporations or Turnover Tax contact Dave Beattie: [email protected].

There is much confusion regarding the payment of overtime, Sunday time and Public Holiday Pay for Senior Managers and those employees earning in excess of R183 006 per annum.

Employees earning in excess of R183 006 per annum are excluded from being paid for any time worked as overtime or Sunday time. They are, however, entitled to be paid or given time off for time work on a Public Holiday at double time. However, once an employee becomes a 'senior managerial employee', regardless of their earnings, he/she is no longer entitled to be paid or given time off for any overtime including Sundays and Public Holidays.

It is important to note that a senior managerial employee is clearly defined by the Basic Conditions of Employment as "an employee who has the authority to hire, discipline and dismiss employees and to represent the employer internally and externally".

Con/Arb stands for Conciliation and Arbitration.

Con/Arb is a process that allows for a quicker resolution of matters referred to the CCMA relating to unfair labour practices and unfair dismissals. The process of Con/Arb will always begin with conciliation in an attempt to mutually settle the matter between both parties. Should this not be possible the commissioner will declare the matter unresolved and the Arbitration process will automatically begin.

A Con/Arb is compulsory for any matter relating to:
•  Dismissals for any reason relating to probation; and
•  Any unfair labour practice relating to probation

Con/Arb may not be used for dismissal/s as a result of unprotected strikes.

Both parties may object to the Con/Arb process, with the employee doing so on the LRA Form 7.11 and the employer giving written notice at least 7 days prior to the hearing.

Should you have any queries or require assistance with CCMA matters please contact Nicky Hardwick: [email protected].

Do you require a Workman's Compensation Letter of Good Standing for tender purposes? Are clients insisting on this before your employees are allowed on their site?

CLARITY FROM THE COMPENSATION FUND ON ASSESSMENT DISCOUNTS AND AMNESTY

The following procedures are copied verbatim from information received from the Compensation Fund on 26 April 2013. The assumption is made that the '2012 ROE' refers to the year of assessment starting 1 March and ending 28 February 2013.

Take note that if you have already paid the assessment amount less the advertised discounts, it would be best to pay the discount amount before 30 April 2013. We have asked the Compensation Fund to give details of how the discount will be refunded to you, but at the time of issuing this notice, we had not yet received an answer from the Fund.

NOTICE FROM THE FUND STARTS

"Please be informed that employers qualify for discounts only, and only after they have settled their accounts in full. So, employers cannot pay a discounted amount as this will leave their accounts with an outstanding balance. The date of payment determines the discount percentage that will be applied to the employers' accounts.

The conditions to qualify for the discounts are as follows:

1.	All returns of earnings (ROEs) must be submitted online by 30 April 2013 via the ROE Website.
2.	Employers who submit their returns after 30 April 2013 will not qualify for discounts.
3.	All outstanding payments, including the latest (2012 ROE) must be settled in full by 30 April 2013 in order to qualify for a 10% discount on the 2012 ROE only.
4.	All outstanding payments, including the latest (2012 ROE) settled by 31 May 2013 will qualify employers for a 5% discount on the 2012 ROE only.
5.	All outstanding payments, including the latest (2012 ROE) settled by 30 June 2013 will qualify employers for a 2% discount on the 2012 ROE only.
6.	Penalties for late submission of 10% will be levied on all ROEs submitted after 30 April 2013.
7.	Interest and other penalties will be levied on payments received after 30 June 2013.
8.	All payments received after 30 June 2013 will not qualify for the incentives (i.e. discounts).
9.	Employers who have not previously registered with the Compensation Fund are given amnesty to do so and submit annual returns as per the COID Act. These employers must also submit online by 30 April 2013 and pay assessments before 30 June 2013 in order to qualify for incentives. The incentive is applicable to the 2012 ROE only, for the assessment period 1 March 2012 to 28 February 2013.
10.	Registered employers who have not submitted previous annual returns or have made false declarations are also given amnesty to submit all outstanding ROEs and come clean before 30 April 2013. They will also qualify for the incentives (discounts) on the 2012 ROE only, if they settle their accounts in full, by the dates provided.

The letter of good standing will be issued for a period of one year, expiring 30 April 2014, for all employers that meet the above requirements. Employers who enter into an instalment arrangement will be issued with a letter of good standing on a month-to-month basis until their accounts are fully settled."

NOTICE FROM THE FUND ENDS

How are they affected by the proposed labour amendment bills?

It is important to state that the proposed amendments do not prohibit employers from employing individuals on fixed term contract.

However, one of the proposed changes is looking at where an employee is on a Fixed Term Contract for more than 6 months. In these instances the employer will be required to ensure that he/she is given the same benefits that a permanent employee would receive, for example medical aid.

This time period is not based on the duration of the fixed term contract itself but rather the total period that the employee has worked at the organisation. Therefore, if an employee is employed on a 4 month fixed term contract and the contract is renewed or extended for a period which exceeds 6 months in total, he/she will be entitled to the same benefits as a permanent employee.

In addition, an employee that has been in the employ of the employer on one or more fixed term contracts for a period of 2 or more years shall be entitled to severance pay (1 week for every completed year's service) upon termination of the contract.

These and other proposed changes to the Basic Conditions of Employment, Employment Equity Act and Labour Relations Act will more than likely be passed towards the end of 2013.

Head Office (Durban)   Phone: 031 564 1155 Fax: 031 564 1228   Email: [email protected] Website: www.hrtorque.co.za   Address: 163 Umhlanga Rocks Drive Durban North, KwaZulu-Natal     Sales Melany Bydawell: 031 582 7425 / 083 441 5618 [email protected] Payroll & HR Administration Karen van den Bergh: 031 582 7413 / 082 891 1722 [email protected] Human Resources / Employee Relations Melany Bydawell: 031 582 7425 / 083 441 5618 [email protected]

Employment Equity & Skills Development Melany Bydawell: 031 582 7425 [email protected] Nicky Hardwick: 031 582 7418 [email protected]   Tax Dave Beattie: 031 582 7410 [email protected] Executive Coach and Team Interventions Melany Bydawell: 031 582 7425 [email protected]   Payroll Third Party Administrator Kacey Chetty: 031 582 7409 [email protected]   Accounts Cheryl Naidoo: 031 582 7408 [email protected] Dispatch Karl van der Merwe: 031 582 7407 [email protected]