Certificate of Service in South Africa: What to Include

Published by the Lawly team · Published · Sources last checked

General information, not legal advice. Written by the Lawly team from the official sources listed at the end of this guide.

When someone's employment ends, section 42 of the Basic Conditions of Employment Act (BCEA) entitles them to a certificate of service: a written record of their employment. It gives the employee's and employer's details, any council or sectoral standard, the employment dates, the job, the final pay and, only if the employee asks, the reason for leaving.

When is an employee entitled to a certificate of service?

Section 42 of the BCEA starts with the trigger: "On termination of employment an employee is entitled to a certificate of service." It makes no distinction between resignation and dismissal. The entitlement comes from the termination itself.

The section doesn't give a number of days for issuing the certificate either. Because its wording ties the certificate to the point employment ends, it makes sense to prepare it with the final payslip and the rest of the exit paperwork. For the notice side of ending employment, see our guide to notice periods in South Africa.

What must a certificate of service include?

Section 42 of the BCEA lists seven items. The certificate states:

  1. The employee's full name.
  2. The employer's name and address.
  3. A description of any council or sectoral employment standard that covers the employer's business. The BCEA's definitions say "council" includes a bargaining council and a statutory council.
  4. The dates the employment started and ended.
  5. The job title, or a brief description of the work the employee was employed to do at the date of termination.
  6. The remuneration at the date of termination. The BCEA defines remuneration as "any payment in money or in kind, or both in money and in kind" made in return for work.
  7. The reason for termination, if the employee asks for it.

Item 3 is the one people tend to miss. Section 42(c) asks for a description of any council or sectoral employment standard that covers the business. If none applies, write "none" so it's clear the item wasn't skipped.

Items 5 and 6 are about the position at the date of termination. If the employee was promoted or had increases along the way, the certificate shows their final job and final rate, not what they started on.

Is there an official certificate of service form?

The Department of Employment and Labour publishes Form BCEA 5, Certificate of Service. The form calls itself "proof of employment with an employer" and says the employer fills it in and gives it to the employee.

You don't have to use it. Its notes say: "This is only a model and not a prescribed form." The same note says a document in another format with the same information is sufficient, so on the form's own terms a certificate on your letterhead works as long as it carries the same information.

The model form also asks for a few details that aren't on the section 42 list: the employee's ID number, the pay period for the remuneration figure, and the issuer's signature and date.

The reason for termination: only if the employee asks

Section 42(g) of the BCEA makes the reason conditional: it appears "if the employee so requests." Form BCEA 5 says the same, noting that under section 42(g) the reason "must only be given if requested by the employee."

So a standard certificate is neutral. It records the facts of the employment and leaves the reason out. If the employee asks for the reason to be included, note the request in your records so you can show why it's there.

Certificate of service vs reference letter

A certificate of service records the facts listed in section 42 of the BCEA: who, where, when, what job and what pay. None of the section 42 items is an opinion about the employee's performance or character.

A reference letter is a separate document, and it usually comments on the employee's work, skills or conduct. The BCEA's section on certificates of service doesn't mention references, so whether you write one, and what you say in it, falls outside section 42.

Certificate of service checklist

  • Employee's full name, spelled as on their ID
  • Employer's name and address
  • Any bargaining council, statutory council or sectoral determination that covers the business, or a note that none applies
  • Start date and termination date
  • Job title or a brief description of the work at the date of termination
  • Remuneration at the date of termination, with the pay period (per month, per hour and so on)
  • The reason for termination, only if the employee has asked for it
  • Name, title and signature of the person issuing it, and the date issued
  • A copy kept on the employee's file

What to watch for

Adding the reason by default. Section 42(g) of the BCEA includes the reason only at the employee's request, so a certificate that states it unprompted goes beyond what the section describes.

Recording the starting job or pay. Section 42 refers to the job and remuneration at the date of termination.

Leaving out the council or sectoral standard line. It's one of the seven items in section 42, even when the honest answer is "none".

Mixing in comments on performance. Opinions belong in a reference letter, if you write one, not in the certificate.

Treating it as the UIF paperwork. The certificate of service is separate from the UIF declaration. The Department of Employment and Labour's Know Your UIF Rights booklet says that after a worker's service ends, "a declaration (electronic, uFiling and UI19 form) must be completed and returned to the Fund", and that not submitting it may delay the processing of benefit claims.

Frequently asked questions

Is a certificate of service compulsory in South Africa?

Section 42 of the BCEA states that on termination of employment an employee "is entitled to a certificate of service". The section frames it as the employee's entitlement and lists what the certificate states, without distinguishing between resignation and dismissal. If you're unsure how the Act applies to a particular employee or sector, the Department of Employment and Labour or an attorney can advise on the specific facts.

Do I have to state why the employee left?

Not by default. Section 42(g) of the BCEA includes the reason for termination only "if the employee so requests." The Department's model form, BCEA 5, repeats that the reason must only be given if the employee asks. Without a request, the certificate records the employment facts and leaves the reason out.

Is there a prescribed certificate of service template?

No. The Department of Employment and Labour publishes Form BCEA 5 as a model, and the form itself states that it "is only a model and not a prescribed form." Its notes say a document in another format with the same information is sufficient, so you can issue the certificate on your own letterhead using the section 42 list.

Should the certificate show salary?

Yes. Section 42(f) of the BCEA lists "the remuneration at date of termination" among the items a certificate of service states. The BCEA defines remuneration as payment in money or in kind for work done. The Department's model form also asks whether the amount is per hour, day, week, fortnight, month or year, so the reader knows what the figure means.

What is the difference between a certificate of service and a reference letter?

A certificate of service records the facts listed in section 42 of the BCEA: names, dates, job, final pay and, on request, the reason for leaving. A reference letter is a separate, optional document that usually comments on performance or character. Section 42 deals only with the certificate and says nothing about what a reference contains.

Preparing the certificate

Lawly's Certificate of Service is drafted using South African labour law frameworks. It asks for the employer and employee details, any bargaining council or sectoral determination that covers the business, the employment dates, the job title, the remuneration at termination and the issuer's details, and it includes the reason for termination only when you indicate the employee has requested it.

Check the draft against your own procedures and the sources above before you use it.

Sources

  1. Basic Conditions of Employment Act 75 of 1997 (section 1 definitions and section 42), Department of Employment and Labour
  2. Form BCEA 5: Certificate of Service, Department of Employment and Labour
  3. Know Your UIF Rights and Obligations, Department of Employment and Labour (Unemployment Insurance Fund)

Disclaimer: This guide is general information about business documentation in South Africa, not legal advice. Lawly is an AI business document generation service, not a law firm. Review any document before you use it, with the depth of review matching what it carries for your business. For advice on your specific situation, speak to a qualified attorney.