2023
HRM2602 Assessment 7 Due: 05 June 2023
Human Resources Maintenance and Retention
Semester 1/ 2023 (743355)
Question 1.1: Does the Employment Equity Act (No 55 of 1988) apply to Shako Engineers?
State reasons for your answer.
Answer: No, it does not apply to Shako Engineers because: It does not meet the criteria to be a
designated employer. The according to the EEA, a designated employer employs 50 or more
employees, or an employer who employ fewer than 50 employees but whose total annual turnover
exceeds the applicable turnover of a small business in terms of Schedule 4 of the Act. Which is
R15 million in the construction industry. Shako Engineers only employs 48 employees, and an
annual turnover that is well beyond R13 million.
, Answers:
Question 1.1: Does the Employment Equity Act (No 55 of 1988) apply to Shako Engineers?
State reasons for your answer.
Answer: No, it does not apply to Shako Engineers because: It does not meet the criteria to be a
designated employer. The according to the EEA, a designated employer employs 50 or more
employees, or an employer who employ fewer than 50 employees but whose total annual turnover
exceeds the applicable turnover of a small business in terms of Schedule 4 of the Act. Which is
R15 million in the construction industry. Shako Engineers only employs 48 employees, and an
annual turnover that is well beyond R13 million.
Question 1.2: What would it have meant for Shako Engineers if the Employment Equity
Act (No 55 of 1988) did apply to them? Explain the provisions of the Act that apply to this
scenario.
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