We have just seen the new Code of Good Practice on Dismissals come into effect, giving smaller businesses more flexibility while still insisting on fairness. Now, hot on its heels, are the proposed amendments to the Labour Relations Act (LRA) and the Basic Conditions of Employment Act (BCEA).
If you look at both developments side by side, a theme becomes clear: government is trying to encourage businesses, especially smaller ones, to employ more people without living in constant fear of lengthy CCMA disputes or hefty claims.
So, what’s on the table?
- Dismissals and remedies
High-earning employees would be limited to compensation only (except for automatically unfair dismissals), which reduces the stakes for businesses in these cases. - Probation and qualifying periods
The LRA may soon include a three-month “qualifying period” (or reasonable period) where new employees have reduced unfair-dismissal protections. This mirrors the Code’s more flexible approach to probation, giving employers time to assess new hires properly. - Retrenchments
The proposed amendments simplify the retrenchment process, cutting out urgent procedural challenges and allowing cases to move more quickly. - Start-ups and small employers
Exemptions are proposed for new start-up businesses (under two years old, with fewer than 50 employees) from certain bargaining council agreements. Again, the emphasis is on relief for small employers. - New categories of workers
The BCEA amendments will bring on-call and gig workers (such as platform-based workers in ride-hailing, delivery, and freelance digital services) into clearer focus, requiring written terms and minimum guarantees. For small businesses, this could be significant. Many rely on casual or freelance workers to stay flexible and manage costs. These changes mean those arrangements will need clearer contracts and possibly minimum commitments, which adds a layer of compliance but also reduces the uncertainty that often causes disputes.
The bigger picture
Taken together, the new Code and the proposed amendments reflect a shift in tone. The message is that compliance with fairness and procedure remains non-negotiable, but government also recognises that overly rigid rules can discourage job creation. By carving out flexibility for small businesses, and by making processes more streamlined and predictable, the law is creating a space where employers can hire with more confidence.
Editor’s Note
You’ll notice a clear thread running through both the new Code of Good Practice on Dismissals and the proposed amendments to the LRA and BCEA. Together, they signal a shift in labour law: giving small and growing businesses more flexibility in how they manage employment, while still holding them to the principle of fairness.
For employers, this means two things. First, you have more room to make practical decisions, especially during probation, retrenchments, or when using casual or gig workers. Second, the responsibility to prove that your processes are fair and transparent is greater than ever.
At HRTorQue, we see these changes as an opportunity for our clients. They reduce unnecessary red tape, but they also make it essential to get the fundamentals right.
Whether you need quick advice over WhatsApp, structured support through a retainer, or a fully outsourced HR partner, we offer cost-effective solutions to meet you where you are.