Report employment agencies charging extra fees
Report employment agencies charging extra fees
Released by Chief Directorate of Communication on 07 January
2004
The Department of Labour has noted with concern the recent
proliferation of Private Employment Agencies (PEA's) that seek to take
advantage of vulnerable jobseekers by illegally charging exorbitant
fees in return for recruitment.
Countless complaints have reached the Department regarding certain
unscrupulous agency operators who are cashing in on desperate and
unsuspecting jobseekers by charging them hundreds of Rands ostensibly
in return for jobs.
The Minister of Labour, Membathisi Mdladlana said: "It is
government's prerogative to protect the unemployed and jobseekers who
on a daily basis seek employment in the job market in order to improve
their lives"
"As the Department we wish to categorically put on record that no
agency is allowed by law to charge jobseekers any amount exceeding R1
for registration", the Minister said.
Regulations passed under the Skills Development Act (1998) clearly
deal with the operation of PEA's.
This Act clearly sets out rights and obligations for PEA's to
ensure that the industry is regulated in acceptable manner.
Among others, the regulation states that an employment service
shall not:
- Charge fees to workseekers exceeding a registration fee of
R1. An additional amount of 7,5% of the remuneration that the
workseeker receives at the end of the first month or a shorter
period.
- Charge an amount for an advertisement that the agency may have
placed in a publication in addition to the above mentioned amount
unless authorised by the workseeker.
"Any agency requesting an upfront payment of more than R1 in return
for registration is illegal and they should report the agency to the
nearest DoL provincial office or labour centre", said Minister
Mdladlana.
All legitimate agencies should be registered with the Department
and are provided with registration certificates for verification.
The registration certification should be clearly on display in their
office.
The Department will conduct regular monitoring visits to operators
to ensure compliance.
Jobseekers are therefore advised to remain vigilant at all times
and to report any suspicions of irregularities to the nearest
Department of Labour offices.
"The Department of Labour's mission is to protect workers
therefore we wish to make an appeal to workers who experience problems
to immediately report them to their nearest labour centre so that they
can be investigated and corrective action taken", the Minister
said.
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