Draft Insourcing Bill Submitted to Parliament

Posted 26 June 2025 Written by Acts Online
Category Parliament

Brought to you by SA Legal Academy: A draft Insourcing Bill has been submitted to Parliament for planning purposes, seeking to mandate the internal provision of services currently outsourced by the state.

In terms of the Rules of the National Assembly, the draft Insourcing Bill has been submitted for information following the publication of an explanatory summary in Government Gazette No. 47526, Notice 1422, on 18 November 2022. The Bill, prepared on behalf of Omphile Maotwe, is currently awaiting certification by the Office of the State Law Adviser prior to formal tabling.

The proposed legislation aims to provide a regulatory framework for the insourcing of certain services regularly required by organs of state. Key provisions of the draft Bill include:

  • The mandatory development of an ‘insourcing policy’ by all affected organs of state;
  • The identification of specific service categories that are currently outsourced for transition to internal provision; and
  • The standardisation of employment conditions for personnel transitioning from private contractors to the public service.

Click here to download the draft Insourcing Bill.

Click here to download the Explanatory Summary (Gazette 47526).

What this means for you, your business, or your clients

  • For yourself: No direct individual compliance obligations; however, legal professionals should monitor the Bill’s progress to advise on potential changes to public sector labour relations.
  • For your business: Service providers currently holding government contracts for security, cleaning, or facilities management should assess the risk of non-renewal or early termination if these services are designated for mandatory insourcing.
  • For your clients: Organs of state should begin preliminary assessments of the cost and human resource implications associated with developing the proposed ‘insourcing policy’ and absorbing external staff.

Originally published at https://legalacademy.co.za/news/read/public-sector-procurement-eff-submits-draft-insourcing-bill-to-parliament

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