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GRAANGIDS
2017
GRAIN GUIDE
Permanent contracts
Most employees are appointed with permanent contracts. Ordinarily the contract can only be termi-
nated once the employee reaches retirement age, dies, resigns, is dismissed due to misconduct or poor
job performance or in the case of retrenchment. Ensure that the contract contains the following terms:
• A description of the parties, including addresses and contact details.
• The place of work, position of the employee, duties of the employee and policies applicable to the
employee. The contract should also specifically state if the employer requires the employee to work
in more than one work place.
• Any sectoral determination applicable to the parties (Sectoral Determination 13 is applicable to
the agricultural sector).
• The date on which the employee was appointed.
• Any previous periods of employment with another employer that could be relevant to the current
employment contract.
• The employee’s working hours and the way in which the employee’s salary and overtime will be
calculated.
• Any other compensation, for example accommodation or medical contributions, to which the
employee will be entitled.
• The periods and manner in which the employee will be paid (for example daily, weekly or monthly).
• Any deductions made from the employee’s salary.
• The leave to which the employee will be entitled.
• The recommended retirement age of the employee.
• Terms regarding a probationary period, if necessary.
• Notice periods applicable to termination.
• Any restraint of trade applicable to the employment contract.
Employers should manage the business risks on a daily basis to ensure the profitability and sustainability
of the business. The application of labour legislation is regarded as a specialist field and we therefore rec-
ommend that employers outsource labour risk to experts who can provide guidance if necessary and limit
legal liability. In this way the employer is in a position to concentrate on his primary business: Agriculture.
Adv Ernst Richter SC, AEO