You aren't legally entitled to an annual increase (and why your contract is key)

Most employees feel entitled to an annual increase, but what does the law say?

Employment law litigator Joe Mothibi says that annual increases are not a given unless otherwise stipulated in the job contract.

Read: Why the definition of unfair labour practice is very blurry

Mothibi, a director in ENSafrica's employment department, says increases are not a legal obligation if an escalation clause is does not stipulate such terms.

The escalation clause is a clause in a contract that allows for a rise in wages or prices under certain conditions.

Mothibi says that annual increases can be considered by employers every year, but they do not have to be implemented.

Also read: What is constructive dismissal? (and how to prove it)

There's no general obligation in law to give increases, but it depends on the facts.

Joe Mothibi, Head of ENSafrica's employment department

If they don't say anything in the contract about increases, then you are not entitled as of law to an increase.

Joe Mothibi, Head of ENSafrica's employment department

We are not all entitled to a salary increase. We have to look at a contractual arrangement that is applicable.

Joe Mothibi, Head of ENSafrica's employment department

He adds that employees are within their right to negotiate an individual increase in their employment contracts or use their collective bargaining power.

Mothibi discusses the legalities of employment contracts and how wage negotiations are structured.

Listen to the discussion during the World of Work feature:


This article first appeared on CapeTalk : You aren't legally entitled to an annual increase (and why your contract is key)


Recommended

by NEWSROOM AI
Read More
Why the definition of unfair labour practice is very blurry

Why the definition of unfair labour practice is very blurry

Labour law isn't very straightforward when it comes to unfair behaviour in the workplace, explains consultant Ivan Israelstam.

Dismissal isn't the default outcome of disciplinary action, a lawyer advises

Dismissal isn't the default outcome of disciplinary action, a lawyer advises

The outcome of disciplinary action will depend on if the trust relationship between two parties has broken down, an expert shares.

The difference between insubordination and insolence (and which gets you fired)

The difference between insubordination and insolence (and which gets you fired)

Labour law specialist Melanie Hart explores insubordinate and insolent behaviour in the workplace, and the consequences thereof.

What is constructive dismissal? (and how to prove it)

What is constructive dismissal? (and how to prove it)

Employers and employees get confused about what constitutes a constructive dismissal. Labour lawyer Natasha Moni dives in deep.

Tips on how to ensure that your career is on the right track

Tips on how to ensure that your career is on the right track

Career pathing requires people to take an honest look at their career goals, skills, knowledge, experience, and personal traits.

Popular articles
[WATCH] Man forgets to engage handbrake, truck almost hits other cars

[WATCH] Man forgets to engage handbrake, truck almost hits other cars

Khabazela shares tweets and Facebook posts that have gone viral.

We have bent over backwards, it appears unions don't want to settle - SAA

We have bent over backwards, it appears unions don't want to settle - SAA

Sacca president, Zazi Nsibanyoni-Anyiam Mugambi and airlines acting CFO Deon Fredricks weigh in on the strike facing the airline.

Can’t find your phone? Drop everything – thieves can get into your banking app!

Can’t find your phone? Drop everything – thieves can get into your banking app!

Did someone steal your phone? Contact your bank without hesitation warns consumer journalist Wendy Knowler.

'Unions are making a mistake. SAA is dying. It’s not Eskom – we don’t need it'

'Unions are making a mistake. SAA is dying. It’s not Eskom – we don’t need it'

SAA is on its knees, cap in hand, asking taxpayers for R2 billion this month. Unions must be careful, warns Guy Leitch (SA Flyer).

Unions and SAA get ready for fight that threatens to break the ailing airline

Unions and SAA get ready for fight that threatens to break the ailing airline

Joanne Joseph plays audio from the media briefing over the impending strike.

White pupils at posh Kingswood College refer to black scholars as 'snoobab'

White pupils at posh Kingswood College refer to black scholars as 'snoobab'

"This problem is bigger than just a Kingswood problem. The relevant processes will unfold," says College Head Colleen Vassiliou.

We’ll shut you down! – unions to SAA ('overstaffed by any measure globally’)

We’ll shut you down! – unions to SAA ('overstaffed by any measure globally’)

The money-pit airline is fighting for its life. Bruce Whitfield interviews Theto Mahlakoana, a senior political reporter at EWN.