The EAP - Economically Active Population stats are based on statistical information collated by Stats SA; these are compiled annually by the CEE - Commission for Employment Equity reports on the demographics of the Economically Active Population of South Africa’s between the ages of 15 to 64.
The Employment Equity Act No. 55 of 1998 is a law aimed at promoting the constitutional right to equality in the workplace. It focuses on achieving fair representation of South Africa’s people, in an attempt to eliminate unfair discrimination. This act pushes for equal employment opportunities for those whose opportunities were previously oppressed.
In 2003 the Broad-Based Black Economic Empowerment Act No.53 of 2003 (B-BBEE Act) was promulgated. This Act had the objective of including previously disadvantaged individuals in economic activities, but in a much broader sense than the Employment Equity Act. Whilst the Employment Equity Act focuses on employers hiring a representative range of workers, the BBBEE act aims at shifting the economy into the hands of the majority of South Africans using levers such as equity ownership and enterprise development.
Your Employment Equity targets will obviously also affect your management control targets and points.
What can be missed is that this 6% Skills target is further broken down into the EAP targets as per the latest released publication of African Male / female. India male / Female and Coloured male / female, this can be a costly mistake.
The EAP is calculated using Quarterly Labour Force Survey (QLFS) data from Statistics South Africa, which is released every three months.
EAP targets are used in calculating Employment Equity and Skills elements targets and points on your B-BBEE.
When you plan your annual BEE level, it is important that the breakdown of the different targets are clearly understood, not only by the company’s decision-makers. It is not sufficient to only meet the Rand-spending targets.
If there is any other information you need, please feel free to contact us.
Sharon Louw: Executive Consultant - Compliance Hub