South Africa Remuneration Policy AGM Compliance Deadline Looms

• Public and state-owned companies in South Africa must prepare and present a remuneration policy for approval at their annual general meeting by May 22, 2026.
• The remuneration policy must be presented as an ordinary resolution, and if not approved, it will be presented at the next AGM or a shareholders' meeting called for that purpose.
• Section 30B requires each year that all public and state-owned companies prepare a remuneration report in respect of the previous financial year for presentation and approval at the AGM.

The proclamation indicates that these new regulations are effective from the date of publication in the Government Gazette, which is May 22, 2026.

The Companies Amendment Act, 2024, has brought significant changes to the remuneration policies of public and state-owned companies in South Africa. Proclamation Notice 313 of 2026 confirmed the commencement of certain sections of the Act on May 22, 2026, including sections 30A and 30B. These new regulations require all public and state-owned companies to prepare and present a remuneration policy for approval at their annual general meeting (AGM). The policy must be presented as an ordinary resolution, and if not approved, it will be presented at the next AGM or a shareholders' meeting called for that purpose.

The proclamation indicates that these new regulations are effective from the date of publication in the Government Gazette, which is May 22, 2026. This means that all public and state-owned companies must comply with these new requirements starting from this date.

The Companies Act, 71 of 2008, has been amended by the Companies Amendment Act, 2024. Section 30A requires public and state-owned companies to prepare and present a remuneration policy for approval at their AGM. The policy must be presented as an ordinary resolution, and if not approved, it will be presented at the next AGM or a shareholders' meeting called for that purpose. Section 30B requires each year that all public and state-owned companies prepare a remuneration report in respect of the previous financial year for presentation and approval at the AGM.

The proclamation bringing these new regulations into operation indicates that they will apply to all AGMs taking place after May 22, 2026. This means that any AGM convened before this date will not be subject to these new regulations.

Compliance officers should note that public and state-owned companies in South Africa must now prepare and present a remuneration policy for approval at their annual general meeting, with a specific deadline of May 22, 2026. This new regulation requires companies to be proactive in preparing and presenting their remuneration policies, which will have significant implications for their operations and governance.

The introduction of these new regulations is part of the Commission's efforts to promote compliance with the Companies Act, 71 of 2008, through education and awareness campaigns related to company and intellectual property laws. The proclamation bringing these new regulations into operation indicates that they are effective from May 22, 2026, and will apply to all AGMs taking place after this date.

Compliance officers should note that public and state-owned companies in South Africa must now prepare and present a remuneration policy for approval at the annual general meeting, with a specific deadline of May 22, 2026.

Source: Original reporting via Companies Amendment Act, 2024