Johannesburg – South African households employing undocumented foreign domestic workers could face hefty fines under proposed amendments to employment legislation, while still being legally required to honour workers’ wage and employment claims.
The proposed Employment Services Amendment Bill, tabled in Parliament, seeks to strengthen enforcement against the unlawful employment of foreign nationals and introduce penalties for employers who breach immigration and labour laws.
According to BusinessTech, employers could face a R100,000 fine for a first offence, with penalties potentially increasing to R1 million or resulting in imprisonment for repeated violations.
The proposed provisions would also apply to private households that employ undocumented foreign workers.
Under section 12D of the Bill, workers unlawfully employed in South Africa would retain the right to pursue employment-related claims, including those involving unpaid wages and breaches of minimum-wage legislation.
The Department of Employment and Labour said the provision “seeks to prevent unscrupulous employers from employing foreign nationals on terms and conditions of employment that are inferior to those provided for by labour legislation and collective agreements”.
Labour inspectors and bargaining council agents could also pursue claims on behalf of workers who are unable to enforce their rights themselves.
The proposed amendments aim to close loopholes that allow some employers to avoid employment obligations, including paying minimum wages and registering eligible workers with the Unemployment Insurance Fund (UIF) and Compensation Fund.
Minimum wage remains applicable
The developments come as South Africa’s national minimum wage stands at R30.23 an hour, effective from 1 March 2026. The rate applies to domestic workers as well as farm workers.
The increase from R28.79 an hour was confirmed by the Department of Employment and Labour, with the government stating that the minimum wage sets the floor below which workers may not be paid.
According to SAnews, the department’s Acting Deputy Director-General for Labour Policy and Industrial Relations, Thembinkosi Mkalipi, said the introduction of the minimum wage in 2019 had moved millions of workers earning below R20 an hour to a higher wage level.
However, compliance remains a concern. BusinessTech’s reporting on domestic-worker pay cited Statistics South Africa data showing a median monthly salary of R2,350 for domestic workers, well below the minimum-wage equivalent for a typical 160-hour working month.
The Bill’s public-comment period runs until 6 November 2026, after which submissions will feed into Parliament’s consideration of the proposed changes.
The amendments are proposals and should not be confused with legislation already in force.
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Compiled by Betha Madhomu
