There is no new law coming into operation on 30 June 2026 that will introduce fines of R100,000 and imprisonment for employing an undocumented foreigner. Still, it remains illegal and puts both the employer and the employee at high risk.
While no new law is coming into operation on 30 June, there is pending legislation, the Employment Services Amendment Bill, that proposes a R100,000 fine for employing an undocumented foreign national. This is a significant increase from the previous maximum fines of R20,000.
Social activist Hassen Lorgat points out that the new legislation, which is still in Bill form before Parliament, can also carry a penalty of imprisonment. It proposes a tiered fines system administered by the Labour Court for employers who illegally employ foreign nationals. According to reports, the proposed fine schedule is as follows:
Speaking in Parliament last week, Sam Morotoba, Deputy Director-General in the Department of Labour and Employment, said in his presentation that there was an obligation on employers to employ only foreign nationals entitled to work in South Africa, and to retain records of the employee’s work permits.
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