BUSINESS STUDIES
GRADE 12
PAPER 1
TERM 1
REVISED NOTES
CHAPTER 1
THE IMPACT OF RECENT LEGISLATION ON BUSINESSES
2024
TABLE OF CONTENTS
TOPICS PAGES
Exam guidelines for legislation 2
Terms and Definitions/Meaning 2-4
The Skills Development Act (SDA) (No. 97 of 1998) 4-7
The Labour Relations Act (LRA) (No. 66 of 1995) 7-10
The Employment Equity Act (EEA) (No. 55 of 1998) 10-13
The Basic Conditions of Employment Act (BCEA) (No. 75 of 1997) 13-17
The Compensation for Occupational Injuries and Diseases 17-20
Amendment Act (COIDA) (No. 61 of 1997)
The Broad-Based Black Economic Empowerment Act 20-25
(BBBEE) (No. 53 of 2003, as amended in 2013)
The National Credit Act (NCA) (No. 34 of 2005) 25-27
The Consumer Protection Act (CPA) (No. 68 of 2008) 27-32
This chapter consists of 32 pages
1
,IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
THE IMPACT OF RECENT LEGISLATION ON BUSINESSES
REFER TO PAGE 7 AND 8 OF THE 2021 EXAMINATION GUIDELINES
CONTENT DETAILS FOR TEACHING, LEARNING AND ASSESSMENT PURPOSES
• Outline/Describe/Explain/Discuss the purpose of all EIGHT Acts
• Discuss/Explain/Evaluate the impact (positives/advantages and/or negatives/
disadvantages) of the Acts on businesses
• Outline/Discuss/Recommend the rights of the LRA on employers and employees/rights of
consumer rights according to the NCA and CPA.
• Explain the National Skills Development Strategy and the Human Resource Development
Strategy (i.e., Sector Education and Training Authorities).
• Outline/ Explain/Discuss the role/functions of SETAs
• Explain how SETAs are funded
• Discuss the impact of each Act on businesses
• Outline the B pillars.
• Recommend/Suggest ways in which businesses could apply the revised FIVE pillars of
BBBEE in the workplace.
• Outline/Explain/Discuss penalties/consequences for non-compliance.
• Define/Elaborate on the meaning of learnerships.
• Outline/Explain/Discuss actions regarded as discriminatory by the various Acts.
• Suggest/Recommend ways in which businesses can comply with the Acts.
• Discuss the provisions of the BCEA.
Term/Concept Definition/Meaning
Affirmative action the policy and process of providing preferences in employment
opportunities for previously disadvantaged people.
Bargaining council negotiations between trade union representatives and employer
organisations on labour related issues such as demand for higher wages or
improved working conditions.
BBBEE Scorecard BBBEE scorecards measure a business’s compliance with BBBEE and a
certificate is issued to the business that stipulates their BBBEE rating.
Broad-Based Black Act was introduced in order to ensure the full economic participation of
Economic previously disadvantaged individuals.
Empowerment
Act/BBBEE this Act sets the minimum standard for employment in order to promote fair
Basic Conditions of
Employment Act/BCEA labour practice.
Collective agreement an agreement entered between a trade union and an employer
organisation concerning the terms of employment for specific matters.
Compensation for the Act gives employees who are injured or contract diseases while
Occupational Injuries on duty the right to claim compensation.
and Diseases
Act/COIDA
2
,IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
Collective bargaining process of engaging and solving labour disputes collectively between trade
union representatives and employer organisations.
Compensation Fund this fund provides compensation to employees who are injured or contract
diseases through the course of their employment.
Consumer Protection the main aim of this Act is to promote/protect the economic interests of
Act consumers by providing them with information so that they make informed
choices.
Credit providers businesses that sell goods and services on credit/offer credit purchasing
options/provide credit facilities/credit products to customers.
Debtors counsellors provide professional advice/counselling to private citizens/ members of the
public/businesses/organisations that are overindebted/offer methods of
debt repayments.
Discrimination he intentionally unjust/prejudicial/differential treatment of people/social
groups based on the grounds of race/age/gender/sexual
orientation/disability/religion.
Discriminatory actions treat a person/people differently, from how you treat other people.
Disputes an argument/disagreement between people/groups of people in the
workplace.
An employment a legally binding agreement between the employer and the employee.
contract
Equity fair and equal treatment in the workplace/society.
Learnerships theoretical/practical training opportunities that lead to a recognised
occupational qualification.
Levies imposition/collection of money by the government, usually in the form of
tax.
Lockout occurs when the employer prevents (literally locks out) employees from
entering the business premises during strike action and labour dispute
resolution processes to prevent looting and damages to property.
Labour Relations this Act was introduced to promote simple procedures for the resolution of
Act/LRA labour disputes in the workplace.
National Credit Act the regulatory body that applies the NCA, educates consumers about their
rights and monitors/administers and ensures adherence to the NCA and
the credit industry.
Ombudsman: a state official responsible for investigating complaints of private
citizens/members of the public that are made against businesses/
organisations/government.
Penalties punishment for doing something that is against the law.
SETAs vocational skills training organisation in South Africa that identify/
outlines/manages and creates learnerships, internships, and
apprenticeships within its jurisdiction.
Skills Development The main aim of this Act is to improve the skill levels of people who are
Act/SDA already employed in the business.
Skills Development It was introduced to ensure that businesses contribute to the development
Levy/SDL of skills of employees.
3
, IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
Strikes partial/complete concerted refusal to work by a group of employees to
remedy a grievance/dispute regarding any matter of mutual interest
between the employer and employees.
Workplace injuries injuries that take place while conducting/performing workplace
duties/responsibilities.
1 The Skills Development Act (SDA) (NO. 97 OF 1998)
1.1 The purpose of the Skills Development Act (SDA)
• Develops the skills of people in South Africa, in order to improve productivity in the
workplace
• Invests in education and training of the South African workforce.
• Improves the chances of getting a job for previously disadvantaged people
• Encourages workers to participate in learning programmes.
• Redresses imbalances of the past through education and training
• Encourages businesses to improve the skills of new and existing workers
• Improves the job prospects of previously disadvantaged people.
• Provides the systematic implementation of strategies on a national, sector and workplace
basis.
1.2 The impact of the SDA on businesses
Positives/Advantages
• Trains employees to improve productivity in the workplace.
• Promotes self-employment and black entrepreneurship
• Increases the return on investment in education and training
• Workplace discrimination can be addressed through training.
• The workplace is used as an active learning environment where employees can gain
practical job experience.
• A business could become globally more competitive.
• Increases the number of skilled employees in areas where these skills are scarce.
• Workplace discrimination can be addressed through training.
• Increases the return on investment in education and training in the South African labour
market.
• Increases the number of skilled employees in areas where these skills are scarce.
• Promotes self-employment and black entrepreneurship.
• Business could become globally more competitive/Increase the global competitiveness of
South African businesses, as more employees are trained with upgraded, relevant, and
scarce skills.
• Improves the delivery of services to businesses because employees are working at an
optimal level.
• Encourages ongoing skills development and learning to sustain the improvement of skills
development.
• Improves employment opportunities and labour movement of workers from previously
disadvantaged groups.
• BBBEE-compliant businesses can improve their products/service delivery as they employ
more skilled workers.
4
GRADE 12
PAPER 1
TERM 1
REVISED NOTES
CHAPTER 1
THE IMPACT OF RECENT LEGISLATION ON BUSINESSES
2024
TABLE OF CONTENTS
TOPICS PAGES
Exam guidelines for legislation 2
Terms and Definitions/Meaning 2-4
The Skills Development Act (SDA) (No. 97 of 1998) 4-7
The Labour Relations Act (LRA) (No. 66 of 1995) 7-10
The Employment Equity Act (EEA) (No. 55 of 1998) 10-13
The Basic Conditions of Employment Act (BCEA) (No. 75 of 1997) 13-17
The Compensation for Occupational Injuries and Diseases 17-20
Amendment Act (COIDA) (No. 61 of 1997)
The Broad-Based Black Economic Empowerment Act 20-25
(BBBEE) (No. 53 of 2003, as amended in 2013)
The National Credit Act (NCA) (No. 34 of 2005) 25-27
The Consumer Protection Act (CPA) (No. 68 of 2008) 27-32
This chapter consists of 32 pages
1
,IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
THE IMPACT OF RECENT LEGISLATION ON BUSINESSES
REFER TO PAGE 7 AND 8 OF THE 2021 EXAMINATION GUIDELINES
CONTENT DETAILS FOR TEACHING, LEARNING AND ASSESSMENT PURPOSES
• Outline/Describe/Explain/Discuss the purpose of all EIGHT Acts
• Discuss/Explain/Evaluate the impact (positives/advantages and/or negatives/
disadvantages) of the Acts on businesses
• Outline/Discuss/Recommend the rights of the LRA on employers and employees/rights of
consumer rights according to the NCA and CPA.
• Explain the National Skills Development Strategy and the Human Resource Development
Strategy (i.e., Sector Education and Training Authorities).
• Outline/ Explain/Discuss the role/functions of SETAs
• Explain how SETAs are funded
• Discuss the impact of each Act on businesses
• Outline the B pillars.
• Recommend/Suggest ways in which businesses could apply the revised FIVE pillars of
BBBEE in the workplace.
• Outline/Explain/Discuss penalties/consequences for non-compliance.
• Define/Elaborate on the meaning of learnerships.
• Outline/Explain/Discuss actions regarded as discriminatory by the various Acts.
• Suggest/Recommend ways in which businesses can comply with the Acts.
• Discuss the provisions of the BCEA.
Term/Concept Definition/Meaning
Affirmative action the policy and process of providing preferences in employment
opportunities for previously disadvantaged people.
Bargaining council negotiations between trade union representatives and employer
organisations on labour related issues such as demand for higher wages or
improved working conditions.
BBBEE Scorecard BBBEE scorecards measure a business’s compliance with BBBEE and a
certificate is issued to the business that stipulates their BBBEE rating.
Broad-Based Black Act was introduced in order to ensure the full economic participation of
Economic previously disadvantaged individuals.
Empowerment
Act/BBBEE this Act sets the minimum standard for employment in order to promote fair
Basic Conditions of
Employment Act/BCEA labour practice.
Collective agreement an agreement entered between a trade union and an employer
organisation concerning the terms of employment for specific matters.
Compensation for the Act gives employees who are injured or contract diseases while
Occupational Injuries on duty the right to claim compensation.
and Diseases
Act/COIDA
2
,IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
Collective bargaining process of engaging and solving labour disputes collectively between trade
union representatives and employer organisations.
Compensation Fund this fund provides compensation to employees who are injured or contract
diseases through the course of their employment.
Consumer Protection the main aim of this Act is to promote/protect the economic interests of
Act consumers by providing them with information so that they make informed
choices.
Credit providers businesses that sell goods and services on credit/offer credit purchasing
options/provide credit facilities/credit products to customers.
Debtors counsellors provide professional advice/counselling to private citizens/ members of the
public/businesses/organisations that are overindebted/offer methods of
debt repayments.
Discrimination he intentionally unjust/prejudicial/differential treatment of people/social
groups based on the grounds of race/age/gender/sexual
orientation/disability/religion.
Discriminatory actions treat a person/people differently, from how you treat other people.
Disputes an argument/disagreement between people/groups of people in the
workplace.
An employment a legally binding agreement between the employer and the employee.
contract
Equity fair and equal treatment in the workplace/society.
Learnerships theoretical/practical training opportunities that lead to a recognised
occupational qualification.
Levies imposition/collection of money by the government, usually in the form of
tax.
Lockout occurs when the employer prevents (literally locks out) employees from
entering the business premises during strike action and labour dispute
resolution processes to prevent looting and damages to property.
Labour Relations this Act was introduced to promote simple procedures for the resolution of
Act/LRA labour disputes in the workplace.
National Credit Act the regulatory body that applies the NCA, educates consumers about their
rights and monitors/administers and ensures adherence to the NCA and
the credit industry.
Ombudsman: a state official responsible for investigating complaints of private
citizens/members of the public that are made against businesses/
organisations/government.
Penalties punishment for doing something that is against the law.
SETAs vocational skills training organisation in South Africa that identify/
outlines/manages and creates learnerships, internships, and
apprenticeships within its jurisdiction.
Skills Development The main aim of this Act is to improve the skill levels of people who are
Act/SDA already employed in the business.
Skills Development It was introduced to ensure that businesses contribute to the development
Levy/SDL of skills of employees.
3
, IMPACT OF RECENT LEGISLATION ON BUSINESSES CHAPTER 1
Strikes partial/complete concerted refusal to work by a group of employees to
remedy a grievance/dispute regarding any matter of mutual interest
between the employer and employees.
Workplace injuries injuries that take place while conducting/performing workplace
duties/responsibilities.
1 The Skills Development Act (SDA) (NO. 97 OF 1998)
1.1 The purpose of the Skills Development Act (SDA)
• Develops the skills of people in South Africa, in order to improve productivity in the
workplace
• Invests in education and training of the South African workforce.
• Improves the chances of getting a job for previously disadvantaged people
• Encourages workers to participate in learning programmes.
• Redresses imbalances of the past through education and training
• Encourages businesses to improve the skills of new and existing workers
• Improves the job prospects of previously disadvantaged people.
• Provides the systematic implementation of strategies on a national, sector and workplace
basis.
1.2 The impact of the SDA on businesses
Positives/Advantages
• Trains employees to improve productivity in the workplace.
• Promotes self-employment and black entrepreneurship
• Increases the return on investment in education and training
• Workplace discrimination can be addressed through training.
• The workplace is used as an active learning environment where employees can gain
practical job experience.
• A business could become globally more competitive.
• Increases the number of skilled employees in areas where these skills are scarce.
• Workplace discrimination can be addressed through training.
• Increases the return on investment in education and training in the South African labour
market.
• Increases the number of skilled employees in areas where these skills are scarce.
• Promotes self-employment and black entrepreneurship.
• Business could become globally more competitive/Increase the global competitiveness of
South African businesses, as more employees are trained with upgraded, relevant, and
scarce skills.
• Improves the delivery of services to businesses because employees are working at an
optimal level.
• Encourages ongoing skills development and learning to sustain the improvement of skills
development.
• Improves employment opportunities and labour movement of workers from previously
disadvantaged groups.
• BBBEE-compliant businesses can improve their products/service delivery as they employ
more skilled workers.
4
