South African employers, including private households that employ domestic workers, could soon face steep financial penalties for hiring undocumented foreign nationals under proposed amendments to the country’s employment laws.
The Employment Services Amendment Bill, gazetted on 26 May following Cabinet approval, seeks to strengthen enforcement against the employment of undocumented migrants and forms part of government’s broader efforts to address illegal immigration and prioritise local employment opportunities.
If passed into law, the legislation would impose a fine of R100,000 per undocumented worker for a first offence. Repeat violations would attract even harsher sanctions, with second offences within three years carrying fines of R200,000 per worker. Persistent or multiple contraventions could result in penalties of up to R1 million, while offenders may also face criminal prosecution and imprisonment under existing immigration legislation.
In a national address on 7 June, President Cyril Ramaphosa said the proposed changes are intended to close loopholes in current laws and strengthen efforts to ensure South African citizens receive greater access to employment opportunities.
“The legislation will help close loopholes in existing laws and ensure that South African citizens are prioritised for employment opportunities,” Ramaphosa said.
The proposed amendments apply not only to businesses but also to private households employing domestic workers, gardeners, caregivers and other household staff.
This means homeowners who employ foreign nationals without valid work authorisation could be held liable for significant fines if they fail to verify the legal status of their employees.
To remain compliant, employers will be expected to ensure that foreign workers possess valid passports and the appropriate visas, permits or exemptions allowing them to work legally in South Africa.
The government’s tougher stance builds on existing provisions contained in Section 38 of the Immigration Act, which already criminalises the employment of undocumented foreign nationals.
While the proposed legislation has been welcomed by some as a tool to strengthen labour law enforcement, migration experts have warned against making sweeping assumptions about foreign workers employed in South Africa.
Speaking to CapeTalk, Professor Jo Vearey, Associate Professor and Co-Director of the African Centre for Migration & Society, stressed that many foreign nationals working in South Africa do so legally and should not automatically be viewed as undocumented.
“Not all foreign nationals working in South Africa are undocumented,” Vearey said.
She noted that holders of Zimbabwean and Lesotho exemption permits currently retain the legal right to work in South Africa until May next year.
Vearey further explained that workers whose documentation status changes while employed remain protected by labour legislation if they have valid employment contracts.
According to Vearey, domestic work continues to provide an essential source of income for both South African citizens and migrant workers. She argued that the challenges facing domestic workers are rooted in broader historical and socio-economic inequalities rather than nationality alone.
“Domestic work reflects historical imbalances,” Vearey said, adding that many middle-class households continue to benefit from “poorly paid black labour”.
Reliable statistics on the number of foreign nationals employed in domestic work remain difficult to establish due to the largely informal nature of the sector.
“I don’t think we can really come to a clear, conclusive number,” she said.
Vearey highlighted that many domestic workers, regardless of nationality, continue to work without formal employment contracts, leaving them vulnerable to exploitation and limiting their access to labour protections and benefits.
She also rejected claims that migrant workers are broadly responsible for unemployment among South Africans.
“Data doesn’t suggest that foreign nationals are replacing or displacing South African citizens from the labour market,” Vearey said.
Instead, she argued that many migrants accept difficult working conditions because they have moved in search of better economic opportunities.
Vearey said employers have a crucial role to play in helping foreign domestic workers maintain lawful employment status.
“This is a responsibility of those employing domestic workers who are from other countries to ensure that they are regularised and have the right to work beyond the end of the exemption permit system,” she said.
She also criticised South Africa’s immigration framework, arguing that increasingly restrictive policies make it difficult for lower-income migrants to regularise their status and remain compliant with the law.
As Parliament prepares to consider the Employment Services Amendment Bill, debate is expected to continue over how South Africa can balance immigration enforcement, labour market protection and the rights of vulnerable workers.