Cape Town City Hall. Photograph by Martinvl, CC BY-SA 4.0.

SA taxi formalisation could bring labour protections for drivers

SANTACO: corporatisation aims at contracts, UIF and COIDA as SARS tightens informal-economy compliance.

South African taxi drivers and marshals could gain clearer employment rights if the industry’s push to corporatise takes hold alongside SARS tax-compliance pressure.

IOL quotes SANTACO’s Rebecca Phala saying most operators are sole traders already taxed as individuals, but the 2020 corporatisation drive seeks structured businesses that formally employ drivers and marshals — potentially unlocking minimum standards on hours, leave, pay and dismissal, plus UIF and COIDA cover where the employment relationship qualifies. Formalisation alone does not auto-grant every benefit; legal tests still apply. Finance Minister Godongwana has named taxis and e-hailing as priority compliance sectors.

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