Labour minister to implement employment equity targets after ConCourt dismisses challenge

Labour Minister Nomakhosazana Meth has said the Department of Employment and Labour will continue with the roll-out of new Employment Equity (EE) Regulations and five-year sector numerical targets after the Constitutional Court dismissed an urgent application by employer groups. The article was published on 2 June 2026.

ConCourt ruling clears way for implementation

The Constitutional Court dismissed an application brought by employer bodies, including the National Employers’ Association of South Africa (Neasa) and Sakeliga, that sought to halt the EE reforms. The court dismissed the application with costs and said the matter lacked reasonable prospects of success.

Minister: department will “forge ahead”

Meth said the department will proceed now that there is no court interdict. She was quoted saying:

“In the absence of any court interdict, the department is therefore forging ahead with the implementation of the EE Regulations and the five-year sector numerical EE targets,”

What the amendments require

The Employment Equity Amendment Act, No 4 of 2022, and two sets of EE Regulations came into effect on 1 January and 15 April of last year. The law applies to designated employers defined in the Act as those with 50 or more employees who must set annual EE targets aligned with sectoral quotas and submit reports against those plans.

The amendments also empower the minister to regulate sector-specific numerical targets to ensure representation of suitably qualified people from designated groups. The designated groups named in the source are blacks, coloureds and Indians, women across all race groups and people with disabilities.

Exemptions and compliance

Small businesses employing between one and 49 people are exempt from the reporting requirements and are no longer required to submit EE reports. Employers must align their EE plans with the five-year sectoral targets but may justify deviations under Section 42(4) of the Employment Equity Act of 1998.

The amendments introduced Section 53 of the EE Act, which requires designated employers to obtain EE Compliance Certificates as a prerequisite for access to state contracts and business with organs of state.

Ongoing litigation

The source notes earlier legal steps in the dispute. Neasa and Sakeliga filed an urgent application in the High Court in Pretoria to interdict implementation of the sectoral targets published on 15 April 2025. The High Court dismissed that part of the case on 28 August last year, finding the consultation process lawful and noting employers could justify non-compliance. The Supreme Court of Appeal dismissed the appeal on 13 March this year.

Part B of the applicants’ legal challenge remains pending. In Part B the applicants seek to declare Section 15A of the EE Amendment Act and related provisions unconstitutional and to set aside the sectoral targets and regulations; the department is opposing that part of the challenge.

Minister frames reforms as advancing equality

Meth described the amendments as measures to protect equality and broaden representation. She was quoted saying:

“The Employment Equity amendments aim to promote and protect the right of equality and the exercise of true democracy for under represented groups. We are vindicated on our position that there is nothing sinister about the Employment Equity amendments and the five-year sector numerical EE targets,”

and the source states the ruling marks a significant victory for government in its drive to transform the labour market.