Writer: Molebogeng Ramaijane | Published 06 June 2025 | Mketsu and Associates Inc.
Understanding Your First Employment Contract: What to Look Out For
Getting your first job is a big step. For many young South Africans, especially those entering the job market straight after school or university, signing that first employment contract can feel like the start of real independence. However, before you sign, it’s important to understand what you’re agreeing to.
Employment contracts aren’t just formalities. They set out your rights, responsibilities, and the conditions of your employment. If you don’t read carefully or ask questions, you might end up stuck in an agreement that’s hard to get out of.
What is an employment contract?
An employment contract is a written agreement between you and your employer. It sets out what you’re expected to do, how much you’ll be paid, your working hours, leave days, and other important details about the job.
In South Africa, most employment relationships are covered by the Basic Conditions of Employment Act (BCEA). The BCEA protects employees by setting minimum standards for working hours, leave, notice periods, and more. Even if something isn’t written in your contract, the basic regulations of the BCEA still applies.
8 Key Things to Check Before Signing
- Job Title and Description: Make sure the job title and responsibilities match what you were told during the interview. If it’s vague or very different from what you expected, ask for clarity. You don’t want to sign up for one thing and be expected to do something else entirely.
- Salary and Benefits: Check how much you’ll be paid, how often, and whether it’s before or after tax. If there are benefits like medical aid, bonuses, or transport allowances, they should be clearly listed. If nothing is mentioned about benefits, don’t assume they’re included.[1]
- Working Hours: According to the BCEA you shouldn’t work more than 45 hours a week[2] (excluding overtime), and there are limits on how much overtime is allowed.[3] If your contract mentions irregular hours, night shifts, or weekend work, be sure you understand what that means in practice.[4]
- Leave Days: Your annual leave, sick leave, and family responsibility leave must be clearly outlined. According to the BCEA, you’re entitled to at least 15 working days of paid annual leave per year.[5] Anything less than this isn’t legal unless you’re working part-time or as a temp under specific conditions.
- Probation Period: Many first-time jobs include a probation period, usually three to six months. During this time, the employer evaluates your performance. You still have rights during this period, and the employer must give you notice before ending your contract.[6]
- Notice Period: This is how long you or your employer need to give before ending the contract. A common period is one month, but it can vary. If the contract says something like “you can be dismissed without notice,” that’s a red flag—this isn’t allowed under labour law unless there is serious misconduct.[7]
- Disciplinary Procedures: Most contracts will mention how issues like misconduct or underperformance will be handled. There should be a clear process for warnings, hearings, and appeals. Fairness is key, and you have the right to a fair hearing before being dismissed.[8]
- Fixed-Term or Permanent: Some jobs are permanent, while others are for a fixed period. If your contract is for six months or a year, it’s important to know what happens when that period ends.[9] Are you guaranteed renewal? Is there a chance of a permanent role? These things should be discussed upfront.
What about informal jobs?
According to a 2021 report by Statistics South Africa, more than 30% of employed youth are in the informal sector.[10] In these jobs, contracts are often verbal or non-existent. Even so, you still have rights under the law. Whether you’re a cleaner, retail assistant, or working at a local salon, you’re entitled to fair working conditions and payment.
Ask questions. It’s your right.
You’re not being difficult if you ask for clarification or take the contract home to read. It’s your right to understand what you’re agreeing to. If something doesn’t feel right, talk to someone you trust or contact organisations like the Commission for Conciliation, Mediation and Arbitration (CCMA) or Legal Aid South Africa for advice.
Don’t just rely on hope
According to a study by the African Development Bank (2020) a number of young people in Africa enter jobs without fully understanding their contracts, often out of desperation or lack of experience.[11] This makes them vulnerable to exploitation. The study emphasised the need for better basic legal literacy and workplace education for youth, something we should all take seriously.
In closing, your first job should be a learning experience, not a trap. Take the time to read your employment contract carefully. Understand your rights. Speak up when something’s unclear. You deserve fair treatment and the more you know, the better prepared you’ll be to stand up for yourself.
REFERENCES
[1] Section 29(1)(c )-(g) of the Basic Conditions of Employment Act 75 of 1997.
[2] Section 9 of the Basic Conditions of Employment Act 75 of 1997.
[3] Section 10 of the Basic Conditions of Employment Act 75 of 1997.
[4] Section 17(1)-(3) and Section 6(1) and Chapter 2 of the Basic Conditions of Employment Act 75 of 1997.
[5] Section 20, Section 22 , Section 27 of the Basic Conditions of Employment Act 75 of 1997.
[6] Section 37 of the Basic Conditions of Employment Act 75 of 1997 guided by The Labour Relations Act (LRA) Code of Good Practice.
[7] Section 37 of Basic Conditions of Employment Act 75 of 1997 provides that a notice of terminations must be given unless dismissal is due to serious misconduct under the Labour Relations Act.
[8] Schedule 8 of the Labour Relations Act.
[9] Section 198B of the Labour Relations Act.
[10] Statistics South Africa. (2021). Quarterly Labour Force Survey: Quarter 2, 2021. Retrieved from https://www.statssa.gov.za/publications/P0211/P02112ndQuarter2021.pdf
[11] African Development Bank. (2020). African Economic Outlook 2020. Retrieved from https://www.afdb.org/sites/default/files/documents/publications/african_economic_outlook_2020-en.pdf