Employment Services Amendment Bill: The documents every employer should now be checking

The proposed Employment Services Amendment Bill is putting employers across South Africa under pressure to tighten hiring checks, especially when employing foreign nationals, or risk fines of up to R100,000.

The Bill was introduced in Parliament in late May and forms part of government’s broader crackdown on illegal employment and undocumented workers.

Parliament said it also expands the powers of labour inspectors and increases enforcement across sectors such as hospitality, construction, agriculture, retail and delivery services.

So what documents should employers check?

Employers are expected to verify that all employees, particularly foreign nationals, are legally allowed to work in South Africa.

Documents businesses should request and keep on file include:

• South African ID documents or smart ID cards for citizens
• Permanent residence permits
• Valid passports
• Work visas or critical skills visas
• Asylum seeker permits
• Refugee status documents
• Proof that visa conditions allow employment
• Employment contracts and payroll records

The proposed amendments emphasise that employers should keep proper records and be able to present them during inspections. 

Under the existing Immigration Act, employers already have a legal obligation to make a “good faith effort” to ensure that a foreign national is legally allowed to work in South Africa. It is also advisable to keep employment records for at least two years after employment ends. 

What employers should look out for

Employers are warned not to simply accept a passport as proof that somebody may legally work in South Africa. This is because a foreign national may legally enter the country but still not have permission to work.

Employers should therefore check:

• Whether the visa is still valid
• Whether the visa specifically permits employment
• Expiry dates on permits
• Whether the worker is employed in the same role listed on the visa
• Whether documents appear altered or fraudulent
• Businesses are also being encouraged to regularly re-check documents instead of only verifying them when somebody is hired.

Government has already suggested that labour inspections will intensify in industries that frequently employ migrant labour.

Recent enforcement operations have focused on construction sites, restaurants and hospitality businesses, farms and agricultural operations, delivery and e-hailing services and informal businesses.

What the proposed fines could mean

The Employment Services Amendment Bill proposes tougher penalties for employers who knowingly employ undocumented foreign nationals or fail to comply with labour migration rules.

Businesses found guilty of non-compliance could face fines of up to R100,000. 

The Bill also proposes stronger regulation of the hiring of foreign nationals, including possible sector-specific quotas and stricter recruitment processes to prioritise South African citizens and permanent residents for available jobs. 

Although the Bill has not yet become law, companies are advised to audit all employee records; ensure copies of permits and visas are stored securely; train HR staff to identify invalid documentation; track visa expiry dates; and prepare for unannounced labour inspections.

CTL will conduct  full HR audit to ensure compliance and we suggest that the audit happens sooner rather than later.