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

Notices

Bargaining Council for the Furniture Manufacturing Industry

Chapter 1

8. Newly Employed Employee Concession

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8.1Any employer may elect to apply the calculations below to determine the wages, levies, contributions and fees payable to any newly employed employee who commences employment with an employer for the first time, provided that the establishment concerned is not in Phase 1, Phase 2 or Phase 3 of a Newly Established Small Employer Concession as reflect in clause 7 above.

[Clause 8(8.1) substituted by section 4(1) of Notice No. R.37, GG 39610, dated 22 January 2016]

 

8.2If an employer elects to apply the newly employed employee concession, and such an employee's employment is terminated and the same employee is reemployed after 3 months, the employer may re-employ such employee on the same newly employed, employee concession, provided that credit is given by the employer to the employee for the time which the employee previously worked for the same employer under this concession.

[Clause 8(8.2) inserted by section 4(2) of Notice No. R.37, GG 39610, dated 22 January 2016]

 

8.3In the event of an employee being re-employed who was previously employed without this concession, such an employee may not be re-employed under this newly employed employee concession unless the termination of employment was as a result of operational requirements and the employer can provide proof to this effect.

[Clause 8(8.3) substituted by section 4(4) of Notice No. 19, GG 40552, dated 20 January 2017]

 

8.4The following fees, levies and contributions shall be payable as prescribed in ADDENDUM 1, ADDENDUM 2 or ADDENDUM 3.

[Clause 8(8.4) inserted by section 5(1) of Notice No. 1465, GG 41350, dated 22 December 2017]

 

YEAR ONE of employment:

 

(a)100% of the prescribed minimum hourly rate of pay for General Workers, subject to no employee being paid less than the national minimum hourly rate of pay;
(b)85% of the prescribed minimum hourly rates of pay, for all other Occupation Skills Levels of employees, subject to no employee being paid less than the national minimum hourly rate of pay;
(c)100% of the prescribed Council Levies;
(d)100% of the prescribed Leave Pay Fund contributions;
(e)100% of the required Agency Fee (where applicable); and
(f)Death and Disability Scheme contributions. Refer to clause 8.2.1 of ADDENDUM 1.

[Clause 8(Year One) substituted by section 5(2) of Notice No. 1465, GG 41350, dated 22 December 2017]

 

YEAR TWO of employment:

 

(a) 100% of the prescribed minimum hourly rate of pay for General Workers, subject to no employee being paid less than the national minimum hourly rate of pay;
(b)90% of the prescribed minimum hourly rates of pay for all other Occupation Skills Levels of employees, subject to no employee being paid less than the national minimum hourly rate of pay;
(c)100% of the prescribed Council Levies;
(d)100% of the prescribed Leave Pay Fund contributions;
(e)100% of the prescribed employer and employee contributions for the Furnmed Sick Benefit Society OR Additional Provident Fund contributions to the same value, payable by the employer and the employee;
(f)100% of the required Agency Fee (where applicable); and
(g)Death and Disability Scheme contributions. Refer to clause 8.2.1 of ADDENDUM 1.

[Clause 8(Year Two) substituted by section 5(3) of Notice No. 1465, GG 41350, dated 22 December 2017]

 

YEAR THREE of employment:

 

(a)100% of the prescribed minimum hourly rate of pay for all the Occupation Skills Levels of employees, subject to no employee being paid less than the national minimum hourly rate of pay;
(b)100% of the prescribed Council Levies;
(c)100% of all prescribed Leave Pay Fund contributions;
(d)100% of the prescribed employer and employee contributions for the Furnmed Sick Benefit Society OR Additional Provident Fund contributions to the same value, payable by the employer and the employee;
(e)100% of the required Agency Fee (where applicable); and
(f)Death and Disability Scheme contributions. Refer to clause 8.2.1 of ADDENDUM 1.

[Clause 8(Year Three) substituted by section 5(4) of Notice No. 1465, GG 41350, dated 22 December 2017]

 

YEAR FOUR of employment:

 

(a)100% of the prescribed minimum hourly rates of pay for all the. Occupation Skills Levels of employees, subject to no employee being paid less than the national minimum hourly rate of pay;
(b)100% of the prescribed Council Levies;
(c)100% of all proscribed Leave Pay Fund contributions;
(d)100% of the prescribed employer and employee contributions for the Furnmed Sick Benefit Society OR Additional Provident Fund contributions to the same value, payable by the employer and the employee;
(e)100% of the required Agency Fee (where applicable);
(f)Provident Fund contributions (refer to clause 8.3.1 of ADDENDUM 1), subject to the Death and Disability Scheme contributions (refer to clause 8.2.2 of ADDENDUM  1) being diverted from these Provident Fund contributions;  and
(g)50% of the prescribed Holiday Bonus Fund contributions.

[Clause 8(Year Four) substituted by section 5(5) of Notice No. 1465, GG 41350, dated 22 December 2017]

 

YEAR FIVE of employment:

 

100% of at least the minimum prescribed hourly rates of pay for all the Occupation Skills Levels of employees, subject to no employee being paid less than the national minimum hourly rate of pay as well as 100% of all prescribed fees, levies and contributions shall be payable to the Council by all employers and all employees.

[Clause 8(Year Five) substituted by section 5(6) of Notice No. 1465, GG 41350, dated 22 December 2017]