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Labour Relations Act, 1995 (Act No. 66 of 1995)

National Bargaining Council for the Road Freight and Logistics Industry (NBCRFLI)

Main Collective Agreement

Part 4 : Benefit Funds

29. Leave Pay Fund

 

 

1) Contributions to the Leave Pay Fund-
a) must be paid in respect of every employee employed by the employer in grades 1 - 6 during the preceding month;
b) are calculated as follows:
i) employees with less than 5 years continuous service 25% of the normal basic weekly wage earned;
ii) employees with 5 years completed service but less than 10 years continuous service 28.34% of the normal basic weekly wage; and
iii) employees with 10 years and longer completed service 33.3% of the normal basic weekly wage.
c) contributions are payable to the Council irrespective of the number of days that an employee has worked during a specific month, subject to the provisions of clause 24(2) and (3).

 

2) In lieu of the contributions due in terms of sub-clause (1), the following employers may pay each specified employee an amount based on the formula set out in sub-clause (3)-
a) a temporary employment service in respect of temporary employees;
b) an employer of part-time employees working less than 15 hours per week; or
c) an employer of relief employees who have been employed for more than 90 days in a 52-week period.

 

3) The formula to be applied for payment in lieu of contributions to the Leave Pay Fund is, in respect of every ordinary hour of work or part of an hour worked in each job category-
 

 

4) An employer of a part-time employee who works an average of 15 or more ordinary hours per week must, in respect of the contributions due in terms of sub-clause (1), base the calculation on the employee's normal basic weekly wage using the following formula-

 

Normal basic weekly wage =