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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE: 

Examine the applications of the Basic Conditions of Employment Act and its effect on earnings in own contract 
SAQA US ID UNIT STANDARD TITLE
10717  Examine the applications of the Basic Conditions of Employment Act and its effect on earnings in own contract 
ORIGINATOR
SGB Financial Services 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 2  NQF Level 02 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Registered" 
2002-06-12  2005-06-12  SAQA 0742/02 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2006-06-12   2009-06-12  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard is replaced by: 
US ID Unit Standard Title Pre-2009 NQF Level NQF Level Credits Replacement Status
119916  Explain the application of the Basic Conditions of Employment Act and its effect on earnings in own contract  Level 2  NQF Level 02   

PURPOSE OF THE UNIT STANDARD 
This unit standard provides a broad introduction to the financial implications of the Basic Conditions of Employment Act and its application to a work contract. The unit standard is intended to inform and empower learners so that they understand their own work contracts, rights and responsibilities under this Act. The focus is knowledge, skills, values and attitudes in relation to the learner`s own context.

The qualifying learner is capable of
  • Understanding the financial implications of his/her own employment contract
  • Understanding his/her own salary advice, and deductions from his/her salary.
  • Understanding the financial and other responsibilities of employee to employer and vice versa. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    There is open access to this unit standard. Learners should:
  • Hold a GETC or equivalent qualification. Or
  • Be competent in communication and mathematical literacy NQF level 1. 

  • UNIT STANDARD RANGE 
    The typical scope of this unit standard is

    1. The types of employment types include: temporary, permanent, contractual and part-time employment.
    2. Deductions from salary advice include: Pension, union fees, medical aid, tax, insurance cover on group schemes.
    UIF, PAYE/site, garnishee orders if legally sanctioned.
    4. Employers` financial obligations to employees include basic salary/wage; annual salary review, leave pay, monthly payment date, allowances and benefits.
    5. Non productive activities include abuse of the Internet, email, fax, phones, stationary, misuse of resources includes abuse of sick leave, telephones, company property and time.
    6. Allowance and benefits are those that apply to the learner.
    7. Different kinds of pay include salary/wages, medical aid subsidy, company contribution to the pension scheme, bonuses and other company specific contributions/payments.
    8. Financial implications of different employment contracts include monthly, hourly and daily rates.
    9. Annual salary increases refer to cost of living or merit increases. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Demonstrate knowledge and understanding of the financial elements of an employment contract. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. Salaries and wages are identified as the basic forms of remuneration and the tax implications of salaries and wages are indicated in a table. 

    ASSESSMENT CRITERION 2 
    2. Regulations relating to the payment of salaries and wages is indicated in a checklist and reasons are given to explain how the employee is protected by the Basic Conditions of Employment Act. 

    ASSESSMENT CRITERION 3 
    3. The financial implications of different forms of employment are explored with reference to selection, recruitment and dismissal and the way in which the contract is structured. 

    ASSESSMENT CRITERION 4 
    4. The difference between Gross and Net income is explained with reference to an employment contract. 

    ASSESSMENT CRITERION 5 
    5. The conditions of payment for overtime pay are outlined with reference to the Basic Conditions of Employment Act. 

    ASSESSMENT CRITERION 6 
    6. The different financial implications of legislation relating to leave are indicated with reference to annual, maternity, special and unpaid leave in own contract. 

    ASSESSMENT CRITERION 7 
    7. The legal requirements relating to termination and severance of employment are explained with reference to own contract. 

    ASSESSMENT CRITERION 8 
    8. The different kinds of payment that make up one's remuneration are understood, with reference to own contract. 

    ASSESSMENT CRITERION 9 
    9. The concepts of structuring a package in terms of allowances and benefits are explained with reference to cost and benefit implications for both employer and employee. 

    ASSESSMENT CRITERION 10 
    10. The right to an annual increase or salary review is explained for own contract. 

    ASSESSMENT CRITERION 11 
    11. The key aspects of the Basic Conditions of Employment Act that impact on remuneration are identified and presented in a mind map. 

    ASSESSMENT CRITERION 12 
    12. The concepts of a deferred salary and a bonus are investigated in terms of how each is paid and their tax implications. 

    SPECIFIC OUTCOME 2 
    Interpret standard deductions reflected on a salary advice. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. Standard deductions from own salary or wage are identified and the nature of, and reasons for, such deductions are given with reference to own salary advice. 

    ASSESSMENT CRITERION 2 
    2. Compulsory and voluntary deductions from a salary advice are identified with examples from own salary advice. 

    ASSESSMENT CRITERION 3 
    3. Reasons for the limit of 25% on salary deductions are explained with reference to case studies. 

    ASSESSMENT CRITERION 4 
    4. Information on salary advice is used to check that the amount paid out is correct. 

    ASSESSMENT CRITERION 5 
    5. The concept of a Garnishee Order is explained in terms of the legal procedures required before deductions may be drawn from an employee's salary. 

    SPECIFIC OUTCOME 3 
    Explain the financial responsibilities that a company has to its employee. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The concept of trading one's labour for remuneration is explained with reference to own experience. 

    ASSESSMENT CRITERION 2 
    2. The value of an employee's labour is discussed, using concrete examples of added value within the individual workplace to explain the concept. 

    ASSESSMENT CRITERION 3 
    3. The financial obligations of a company to its employees are described, using a generic or specific contract of employment. 

    ASSESSMENT CRITERION 4 
    4. Regulations relating to the deduction of money from an employee's salary are outlined with reference to own contract. 

    SPECIFIC OUTCOME 4 
    Explain the responsibilities of the employee towards her/his employer. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The employee's responsibility to the employer is described in relation to attendance, punctuality, productivity, reliability, use of resources and company and other loans. 

    ASSESSMENT CRITERION 2 
    2. The term cost to company is explained using examples from employment contracts. 

    ASSESSMENT CRITERION 3 
    3. The cost of time to the company is calculated in hourly, daily, weekly, monthly and yearly rates. 

    ASSESSMENT CRITERION 4 
    4. The cost of an employee to the company over and above the employment contract is described, including the cost of space, time, telephone,resources, all forms of remuneration, training and incidental expenses. 

    ASSESSMENT CRITERION 5 
    5. Non-productive activities that impact negatively on business profitability are indicated in a table and an indication of cost to the company of each is discussed. 

    ASSESSMENT CRITERION 6 
    6. An indication is given as to how one can improve one's productivity in one's job. 

    ASSESSMENT CRITERION 7 
    7. The value that an employee adds to the business is discussed, using self as an example. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    This Unit Standard will be internally assessed by the provider and moderated by a moderator registered by INSQA or a relevant accredited ETQA. The mechanisms and requirements for moderation are contained in the document obtainable from INSQA, - INSQA framework for assessment and moderation. 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO ORGANISING 
    The learner is able to organise and manage him/herself by undertaking personal research and taking initiative to negotiate the best possible financial conditions of his/her own contract. 

    UNIT STANDARD CCFO COLLECTING 
    The learner is able to collect, organise and critically evaluate information by investigating his/her own employment contract to ensure that he/she negotiates the best possible financial package with his/her employer. 

    UNIT STANDARD CCFO COMMUNICATING 
    The learner is able to communicate effectively using visual, mathematics and language skills in the modes of oral and written presentations when explaining the terms of his/her employment contract and the rights and responsibilities of the employee and employer. 

    UNIT STANDARD CCFO DEMONSTRATING 
    The learner is able to demonstrate an understanding of the world as a set of related systems by recognising how irresponsible decisions about the use of time, space and other resources impact on the company, the employer and oneself. 

    UNIT STANDARD CCFO CONTRIBUTING 
    The learner is able to participate as a responsible citizen in the life of local, national and global communities by beginning to understand the responsibilities undertaken when entering into contracts of any kind. 

    UNIT STANDARD NOTES 
    This unit standard has been replaced by unit standard 119916, which is "Explain the application of the Basic Conditions of Employment Act and its effect on earnings in own contract", Level 2, 2 credits. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Fundamental  48783   National Certificate: Financial Services  Level 2  NQF Level 02  Passed the End Date -
    Status was "Reregistered" 
    2023-06-30  INSETA 
    Fundamental  14657   National Certificate: Insurance Administration  Level 2  NQF Level 02  Passed the End Date -
    Status was "Registered" 
    2004-04-18  INSETA 
    Elective  23833   National Certificate: Business Administration Services  Level 2  NQF Level 02  Passed the End Date -
    Status was "Reregistered" 
    2023-06-30  SERVICES 
    Elective  83946   National Certificate: Management  Level 3  NQF Level 03  Passed the End Date -
    Status was "Reregistered" 
    2023-07-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. HARMONY GOLD MINING CO LTD 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.