The labour environment in South Africa is sometimes perceived as being fairly highly regulated and investors in South Africa need to have an understanding of the regulatory framework governing employment in South Africa and the obligations resulting from that, if they wish to employ South African workers.
Employee risk in South Africa covers a familiar spectrum ranging from white-collar crime to industrial action (the possible exposure to which depends largely on the particular industry in question). It is worth noting that South African law does not permit dismissal at will and to pass judicial scrutiny, a dismissal must be both substantively and procedurally fair. As a determination is made by applying principles of equity, the outcome of dismissal litigation can at times be difficult to predict.
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