REMINDER: 2025 WAGE INCREASES AND OTHER PROVISIONS
In June 2023, EOHCB and UASA entered into a collective agreement for the period 1 June 2023 to 31 December 2025. Establishments are reminded of the following provisions which apply in 2025 as per the collective agreement:
2025 Wage Increases (applicable nationally - Areas A, B, C, & D)
• 1 January 2025 – 31 December 2025 – 6%.
The updated salary/wage schedules will be uploaded to the Council’s website.
• PSC percentage applicable to Areas A and D
The PSC percentage applicable to Areas A and D, for the purpose of calculating leave pay, notice pay, and severance pay, will be increased to 23% with effect from 1 January 2025.
• Council Fees (Area B - Division 112)
The Council Fees for Employers in Division 112 (pre-November 2017 salons) will be 1.3% with effect from 1 January 2025.
SECTION 13A: RESPONSIBLE PERSON
The FSCA (Financial Services Conduct Authority) continue their enforcement efforts against employers who do not pay over contributions to the relevant Funds.
The FSCA requires certain specified information to be provided by a participating employer, including the identity of the “responsible person” at the employer as envisaged in the Act.
The responsible person is personally liable for compliance with the Act and the employer must provide the Fund with the name of the responsible person and confirm this annually.
The responsible person is usually someone who manages or who is regularly involved in the employer’s finances. For example, if the employer is a Company, the responsible person is a director who is regularly involved in the management of the Company’s overall financial affairs; if an employer is a Close Corporation, a member who controls or is regularly involved in the management of the Close Corporation’s overall financial affairs; and in respect of any other employer, the person in accordance with whose directions or instructions the governing body or structure of the employer acts or who controls or who is regularly involved in the management of the employer’s overall financial affairs.
If the employer does not identify a responsible person, all directors, members, and governing body members are held personally liable.
The HBSI Pension Fund is embarking on a campaign to obtain the names of the responsible persons of each employer. A letter and a Form will be sent to you and will be posted on our website. Please ensure that you respond by the required deadline of 15 December 2024.
PENSION FUND EXEMPTIONS
We are moving towards the end of the third month of the window period (September to December) within which exemptions from membership of the HBSI Pension Fund are processed each year, for the following calendar year.
Despite continuous reminders and notices to establishments, it appears that several establishments which currently have exemptions have not yet applied.
Please note that current exemptions expire on 31 December 2024, and invoices will be raised in accordance with the Collective Agreement if your application is not received by the Council on time and/or an exemption is not granted within the period.
The Exemption Application Form is available to download from the website Annexure D or you may request an application form via email from exemption@hcsbc.co.za.
CLOSURE OF COUNCIL OFFICES IN DECEMBER 2024
In anticipation of the annual shutdown period, please ensure that should you need to meet or engage with the Council you make arrangements to do so before 20 December 2024. The dates will be published on the website and in the next Chronicle.
Please consult the Council’s WEBSITE for the contact details of Agents in your area.
For more information, contact: www.hcsbc.co.za
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