The Employment Equity Amendment Act, No. 4 of 2022 (EE Amendment Act, 2022) and its accompanying two sets of Employment Equity Regulations, including the 5-yearsector numerical EE targets for the eighteen economic sectors came into effect on 1 January 2025 and 15 April 2025 respectively.

After the commencement of the EE Amendment Act, 2022 and its EE Regulations, including the 5-year sector numerical EE targets, a number of legal challenges were instituted against the Minister of Employment and Labour (Minister); the Director-General of the Department of Employment and Labour (DG); and the Commission for Employment Equity (CEE).

These cases primarily challenged the constitutional validity, lawfulness, consultation process, and the implementation of the amended EE legislative framework and the 5-year sectoral numerical EE targets.  The Minister said.

NEASA and Sakeliga were amongst the first to file an urgent application with the Gauteng High Court in Pretoria and this case was heard on 15 August 2025. The applicants sought an interim relief (Part A) to interdict or suspend the implementation of the 5-year sectoral numerical EE targets published on 15 April 2025, as well as certain provisions of the EE General Administrative Regulations. In Part B, they sought substantive relief declaring section 15A of the EE Amendment Act, 2022 and related provisions unconstitutional, including the reviewing and setting aside of the 5-year sectoral numerical EE targets and EE Regulations.

On 28 August 2025, the High Court dismissed Part A of the application. The Court accepted urgency but held that an interdict was not appropriate where the Minister had already exercised statutory powers. The High Court declined to suspend what it regarded as a lawful exercise of statutory authority, emphasising the separation of powers. The Court further held that the consultation process preceding the publication of the sectoral numerical EE targets was lawful and that employers retain flexibility to justify deviations for non-compliance in terms of section 42(4) of the Employment Equity Act, 1998 (EEA). Each party was ordered to pay its own costs. Part B (the constitutional validity challenge) remains pending.

According to Minister Meth, the applicants (NEASA and Sakeliga) sought leave to appeal the dismissal of Part A of their application. The matter was heard on 16 October 2025. Relying on section 17 of the Superior Courts Act, the Court found that there were no compelling reasons why another Court would reach a different conclusion. It further held that it would be premature to grant leave to appeal before Part B is finalised. Leave to appeal was accordingly refused, with no order as to costs.

The Applicants approached the Supreme Court of Appeal on 13 November 2025. On 13 March 2026, the Supreme Court of Appeal ordered that the application for leave to appeal is dismissed with costs on the grounds that there is no reasonable prospect of success in an appeal and there is no other compelling reason why an appeal should be heard.

This Supreme Court of Appeal Order is a big win for the Minister, the CEE and the Department because it vindicates our position that there is nothing sinister about the EE amendments and the 5-year sector numerical EE targets. Therefore, in the absence of any court interdict on the implementation of the EE Regulations and the 5-year sector numerical EE targets, all the designated employers are legally obligated to fully comply with the EE amendments by aligning their annual EE targets in the EE Plans with the 5-year sector numerical EE targets. Minister Meth concluded.

For media enquiries, please contact:

Teboho Thejane

Departmental Spokesperson

082 697 0694/ teboho.thejane@labour.gov.za

-ENDS-

Issued by: Department of Employment and Labour

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