South Africa’s Democratic Alliance (DA) has launched a legal challenge against newly enacted employment equity legislation, arguing that the law imposes rigid racial hiring targets that violate constitutional protections against discrimination.
The opposition party, which positions itself as pro-business and is the second-largest in Parliament, brought the case before the North Gauteng High Court in Pretoria on Tuesday. At issue is the Employment Equity Amendment Act, which came into effect earlier this year and requires companies with more than 50 employees to meet government-set diversity targets or face penalties.
The DA contends that the law grants excessive power to the state and effectively imposes racial quotas under the guise of transformation. “This case is about flexibility,” said DA legal counsel Ismail Jamie during court proceedings. “It’s acceptable to set aspirational targets, but these are so rigid they amount to quotas.”
The ruling African National Congress (ANC), which supports the legislation, has dismissed the DA’s claims, accusing the party of trying to maintain economic structures rooted in South Africa’s apartheid past. The ANC argues that the law is essential to address longstanding disparities in the workplace, where white South Africans continue to dominate senior positions and Black workers remain underrepresented in management roles.
Under the new framework, companies that fail to meet prescribed racial, gender, and disability targets in skilled and leadership positions must provide justifications or risk losing access to state contracts and incurring financial penalties. The law aims to accelerate transformation in sectors where diversity progress has lagged.
Muriel Mushariwa, a law lecturer and employment equity expert at the University of the Witwatersrand, emphasized the importance of such measures. “Without stronger mechanisms, we won’t achieve the level of transformation needed in top management,” she said. However, she acknowledged that compliance could be complex, especially when navigating overlapping requirements from separate affirmative action laws.
The legislation is distinct from the existing Black Economic Empowerment (BEE) policy, which evaluates firms on broader criteria such as ownership and skills development. Unlike the BEE framework, the new law introduces enforceable consequences for non-compliance.
The DA maintains it supports redress for past inequalities but argues that economic growth and job creation are more effective tools for achieving equity. The legal battle marks a significant moment in South Africa’s ongoing struggle to balance historical redress with economic inclusion in a deeply unequal society.