Key trends shaping labour relations in South Africa in 2025

South Africa’s labour relations landscape is as fluid as ever, requiring those tasked with its functional leadership and management to be proactive, pragmatic, and prudent.

Proposed changes to South Africa’s labour laws (alluded to in my article titled ‘Fit for Purpose Labour Law Amendments to be Introduced’ published in October 2024) are likely to herald a pivotal step-change in respect of both the country’s traditional, and non-traditional workforces.

As the country moves ever closer to modernising and automating its employment landscape, so too must guardrails in the form of amended labour legislation be put in place in order to keep pace with the rapidly changing labour landscape.

The proposed amendments are far-reaching and range from legislation aimed at strengthening retrenchment protections to extending labour rights to gig workers. The National Economic Development and Labour Council (NEDLAC) has proposed four amendment Bills.

All in all, the draft legislation includes 47 amendments to the Labour Relations Act (LRA), 13 to the Basic Conditions of Employment Act (BCEA), 2 in respect of the National Minimum Wage Act (NMWA), and 3 in respect of the Employment Equity Act (EEA). The proposed reforms aim to address growing employment insecurity and legal ambiguity currently prevailing in South Africa’s labour landscape.

Critical areas impacting this ever-changing labour relations landscape include, inter alia, employment equity reforms, digitisation, automation, job security, multi-unionism, hybrid working, mental health, and generational dynamics. 

Employment Equity Reform & Legal Contention

January 2025 saw the amended Employment Equity Amendment Act coming into effect, effectively paving the way for the Minister of Employment and Labour to set sector-specific demographic targets in respect of Black, female, and disabled representation in management roles. Companies failing to comply with these amendments risk fines or losing government contracts.

Employers are now required to align their equity plans with mandated targets, rather than relying on voluntary targets as in the past. Smaller businesses employing less than 50 employees are, however, exempted from this legislation.

Significantly, the Democratic Alliance (DA) has launched a constitutional challenge against the EE amendments, arguing that the policy is discriminatory, economically harmful, and discourages investment, something the country desperately needs.

Digitisation of Labour Court Processes

From April 2025, new Labour Court and Labour Appeal Court matters have to be filed through an electronic-submission ‘Court Online’ portal, increasing procedural efficiency and accessibility.

Updated court rules (introduced mid-2024) continue to streamline litigation under the Labour Relations Act.

Automation, Job Security & Collective Rights

The rise of automation and 4IR technologies is disrupting collective bargaining and the effectiveness of strike action, as fewer workers operate in roles easily withdrawn.

Automation-related retrenchments are governed by sections 189/189A of the Labour Relations Act, requiring consultation, exploring alternatives, and severance package agreements.

As employers look to re-skill rather than dismiss, labour relations practitioners are playing a critical role in negotiating transitions and entering into retraining agreements.

Rise of Multi-Unionism & Wage Pressure

Labour environments are shifting toward multi-unionism, especially in traditionally heavily unionised industries. This has increased competition for membership and has driven more aggressive wage demands by workers.

High-profile cases like Transnet’s recent 18% wage deal over three years negotiated with unions in June 2025 suggest labour-relations volatility but also a growing level of settlement sophistication.

In contrast, Harmony Gold’s previously settled five-year agreement benchmarks a more moderate wage negotiation model.

Hybrid Work, Mental Health & Generational Dynamics

Hybrid and remote working models have become entrenched in sectors such as IT, finance, and education, generating complex compliance questions around hours of work, levels of performance, safety, and policy formulation.

Mental health and stress-related disciplinary matters are emerging, requiring early intervention policies, accommodation frameworks, and training for HR and union representatives.

The workforce now spans multiple generations (Boomers, Gen X, Millennials, Gen Z) with different expectations around outcomes-based performance, reward, communication, and values—creating a need for culture mediation in workplaces.

Upskilling Embedded in Collective Agreements

Collective bargaining increasingly includes upskilling, multi-skilling, and reskilling commitments, driven by automation and skills mismatches in sectors such as manufacturing and mining.

Emerging skills committees within workplace forums are working to align training strategies with industry needs, though smaller businesses still face resourcing challenges.

In conclusion, South Africa’s ever-changing labour relations landscape is marked by both persistent challenges and emerging opportunities. As the country continues to navigate its path through economic uncertainty, high unemployment, and evolving workplace dynamics, collaboration between employers, employees, trade unions, and the government remains critical.

Whilst issues such as wage disputes, inequality, and labour law reform continue to spark debate, there is also growing momentum towards inclusive dialogue and innovative solutions. By prioritising fairness, consistency, adaptability, and mutual respect, South Africa can shape a more stable and equitable labour environment that could go a long way in supporting the country’s long-term socio-economic growth. 

Navigating our way through these somewhat turbulent and challenging times requires, indeed demands, decisive, integrity-harnessed, empathetic, and visionary strategic leadership.

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