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Special Economic Zones (SEZs)

Special Economic Zones (SEZs) are geographically designated areas within South Africa set aside for specifically targeted economic activities to promote national economic growth and export. This is achieved through support measures to attract foreign and domestic investments and technology. This article outlines the Special Economic Zones and the implications for ETI.

List of SEZs

The 6 SEZs are:

  1. Coega
  2. Dube Trade Port
  3. East London
  4. Maluti-A-Phofung
  5. Saldanha Bay
  6. Richards Bay

ETI Implications of SEZs

If employers and employees work within a SEZ, there is no longer an age limit for employees who qualify for ETI as of 1 August 2018. For the age qualifying test to fall away, the following two requirements must be satisfied:

  1. The employer must have a fixed place of business within one of the 6 designated SEZs; and
  2. The employee must render services to that employer mainly within a SEZ (for more than 50% of the year).