Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

National Bargaining Council for the Hairdressing, Cosmetology, Beauty and Skincare Industry

Extension to Non-parties of the Consolidated Main Collective Agreement

Areas

Area C

31. Commission Agreements
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31.1 An Employer and an Employee may conclude an agreement that notwithstanding the basic salary, the Employee may be paid commission on sales and/or personal services carried out by the Employee.

 

31.2 The commission agreement must be in writing and state:—
31.2.1 the name of the Employer and of the Employee;
31.2.2 the "basic salary" of the Employee - which salary may not be less than the prescribed minimum basic salary - for the purpose of calculating benefits;
31.2.3 the rate/s of the commission and the conditions of entitlement;
31.2.4 the rate/s of stock deductions and service fees;
31.2.5 the day of the week or month when commission earned is payable;
31.2.6 the period of notice the Employer must give the Employee to cancel or negotiate any alteration to the agreement - which notice must not be less than two weeks.

 

31.3 Since Commission payments are deemed to form part of remuneration, any such payments must be recorded as part of the overall salary package, but they do not affect statutory Council deductions.

 

31.4 Where, by written agreement, an Employee works on a commission only basis, the Employer must grant the Employee all other Council benefits contained in this agreement where all such benefits such as pension contributions, leave pay and notice pay may be calculated according to the "basic salary" specified for the Employee's job category.