Mongezi Koko2 October 2024 | 9:24

Labour Dept recovers R10m in penalties from non-compliant businesses in hospitality sector

After more than 2,500 spot checks in the hospitality industry, dozens of restaurants were found to be in serious violation of labour laws.

Labour Dept recovers R10m in penalties from non-compliant businesses in hospitality sector

Nomakhosazana Meth. Picture: X/Meth_Khosi

JOHANNESBURG - The Department of Labour has recovered R10 million in penalties from non-compliant businesses following a nationwide inspection campaign.

After more than 2,500 spot checks in the hospitality industry, dozens of restaurants were found to be in serious violation of labour laws.

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Inspectors have been targeting employers failing to pay the minimum wage, neglecting safe working conditions, and bypassing proper employment contracts.

On Tuesday, Minister of Labour Nomakhosazana Meth provided an update on the department's efforts, revealing that some businesses were also caught hiring undocumented foreign nationals.

However, she said that it wasn’t all bad news.

"We were able to recover more than R10 million for employees, repaid by non-compliant employers, particularly for underpayment in terms of the minimum wage and general salaries of the employees."

The Department of Labour’s campaign isn’t slowing down, as the focus now shifts to the logistics and trucking sectors, with businesses warned to ensure they comply with the law.