In-depth

Many employers in South Africa are struggling to find job candidates with the necessary critical skills to perform certain roles. This poses a threat to the economic growth of the country. To address this, the Trusted Employer Scheme (TES) was officially gazetted on 11 October 2023 by the Department of Home Affairs (DHA). This scheme allows employers who meet specific criteria to employ foreign workers via a more streamlined process, making it easier and faster. The TES system aims to make it simpler to attract much-needed critical skills and manage the processing of visa applications for corporate employees, investors, senior executives, and technical personnel.

The DHA has now called for qualifying employers to express their interest in joining the TES pilot program. The application period will close on 20 November 2023, and the application form can be found here.

Trusted Employer status - advantages

Due to reduced requirements and supporting documents, a Trusted Employer will qualify for priority processing of their visa applications. While the exact requirements for foreign employee applications are yet to be disclosed, the DHA has indicated that the requirements will be lower than those for other work permits. 

Selection criteria

The DHA will use a scorecard system to ensure the selection process is transparent, ethical, and fair. There are five factors on the scorecard, and these carry different scores. Corporations must achieve a minimum score of 80 out of 100 points. Below is a snapshot of the criteria:

Pledges/Proven Investment 

• Pledges to South African Investment Conferences (SAIC) or Proven Investment since 2018
• Investment within the boundaries of the Republic of South Africa
• Fixed capital investment above ZAR 100 million (no operational expenditure included)
• 20 points for historical investments or SAIC pledges between ZAR 100 million and ZAR 200 million
• 30 points for historical investments or SAIC pledges above ZAR 200 million

Employment

• Staff complement to be at least 60% South African citizens
• Citizens or Permanent Residents (PR); and in terms of points allocation, the following are applicable: 
  • 20 points for 100 employees minimum, of which 60% are South African citizens or PR holders
  • 25 points for more than 150 employees, of which 60% are South African citizens or PR holders

Sector

• Operations/investment in sectors, as identified by the Department of Trade, Industry and Competition (DTIC)
  • Sector 1: Manufacturing
  • Sector 2: Advanced manufacturing
  • Sector 3: Services
  • Sector 4: Resource-based Industries
  • Sector 5: Energy (Power Generation and Renewable Energy)
  • Sector 6: Infrastructure
• 10 points for Sectors 1 to 4
• 15 points for sectors 5 and 6

Skills Transfer/Development

• Proof of a Skills Transfer Program, Bursary Scheme, or Graduate Development Program for South African Citizens or PR holders
• 20 points for proof of an active Skills Transfer Program, Bursary Scheme, or Graduate Development Program

Equity Equivalence

• 5 points for BEE levels 5 – 8
• 10 points for BEE levels 1 – 4
• 10 points for the equity equivalent agreement with the DTIC

Application process

Registered and operational corporate companies in South Africa that would like to be considered for registration under TES can submit their TES application form by mail, email, or by hand. The application should be addressed to the Chief Directorate: Permits.

Applications must contain all the information specified in the selection criteria above and the supporting documents mentioned on the TES application form. It is recommended that applicants contact the DTIC for a quick sector classification to confirm the sector in which their business operates.

The decision of the TES Inter-Departmental Committee will be final. The Department reserves the right to grant or not to grant TES status to any company.

Useful links

DHA TES