JOHANNESBURG — South Africa’s second biggest political party launched a legal challenge Tuesday against a new labor law aimed at boosting the hiring of Black people and other groups in some industries, arguing it is unconstitutional, discriminatory and could dampen foreign investment.
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The challenge by the Democratic Alliance, or DA, takes aim at amendments to the Employment Equity Amendment Act that went into effect in January. Intended to force companies to diversify their staff, the new laws have divided the country's unity government , which includes the DA.
The measures have drawn fire from the U.S. government under President Donald Trump , who has cited “racist laws” as part of his reasons to cut financial aid to South Africa and offer to support the relocation of some of its white minority Afrikaner community to the U.S.
The recent amendments give the labor minister the power to set numerical targets for the hiring of Black people, women and people with disabilities in sectors identified by the government as not reaching certain targets. Companies face fines for not reaching the targets.
Helen Zille, the federal chairperson of the Democratic Alliance, has described the new law as “totalitarian” and says it discriminates against other groups of South Africans while potentially discouraging foreign investment.
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