High Court dismisses urgent application challenging Employment Equity targets

What the Court Decided

No interdict available: The Minister’s statutory powers were exercised in April 2025 when the targets were published. An interdict cannot undo completed action. Any alleged harm will arise from employers’ application of numerical goals, not from the Minister’s notice. The appropriate remedy is judicial review.

Suspension refused: The Court emphasised the separation of powers, holding it had no authority to suspend a lawful exercise of statutory power. Section 172(1)(b) of the Constitution was not applicable.

Consultation requirements met: Consultations with stakeholders have taken place since 2019, and draft targets were published in 2023 and 2024 with a 30-day period for comment. The Court held the final 2025 notice did not require further publication.

No arbitrariness or discrimination: The Minister’s targets were based on Statistics SA data and advice from the Commission for Employment Equity (CEE). The Court distinguished between targets set by the Minister and goals set by employers, noting that any alleged disadvantage to women would arise at the level of employer-set goals, where employers retain flexibility to justify deviations under section 42(4) of the EEA.

Why This Matters for Employers

Compliance from 1 September 2025: Designated employers must implement employment equity plans aligned with the Regulations published by the Minister relating to the sectoral numerical targets. Failure to do so may affect compliance certificates under section 53 of the EEA.

Flexibility remains: Employers can raise reasonable grounds for non-compliance where targets would result in unfair discrimination or are otherwise impractical.

Judicial review pending: This ruling deals only with the interim relief component. A substantive review of the Minister’s decision is still to be heard.

Risk management: Employers should proceed on the basis that the 15 April 2025 targets are valid and binding unless and until set aside on review.