Issued by Global Business Solutions (GBS)
AARTO Phase 2 Goes Live: Employers and Employees Now Face Real Legal Consequences for Driving Conduct
From today, 1 July 2026, road traffic offences are no longer just a driver’s problem — they are an employer’s problem too. Phase 2 of the Administrative Adjudication of Road Traffic Offences (AARTO) framework has officially commenced in 60 to 62 municipalities across the country, following Proclamations 322 and 323 published in Government Gazettes 54917 and 54918 on 29 June 2026, bringing formal administrative enforcement to major centres including Johannesburg, Tshwane, Ekurhuleni, eThekwini, Buffalo City, Nelson Mandela Bay and Mangaung. Only the Western Cape remains outside this phase, for now.
Why this is not just a traffic issue
Global Business Solutions (GBS) warns that AARTO Phase 2 is, in reality, a workplace compliance issue. Any organisation whose staff drive company vehicles, claim travel expenses, use pool cars, or rely on a valid licence to do their jobs is now exposed to infringement notices, enforcement action, and potential disciplinary and operational fallout if driver conduct is not properly managed.
Is the penalty points system live? Not yet.
Importantly, this rollout does not yet activate the Points Demerit System. Section 24 of the Act, which governs demerit points and licence suspension for repeat offenders, is expressly excluded from the current commencement. What goes live today is the administrative infringement and enforcement process — notices, nominations and adjudication. The points-based penalty regime, and full national implementation, is earmarked for 2027. Employers should treat this as a window to get systems and policies right before the stakes — and the consequences for repeat offenders — increase.
What employers must do now
- Identify every employee who drives for work and every vehicle — owned, leased, pooled or reimbursed — in scope.
- Appoint an accountable AARTO owner and build a central register to track notices and deadlines.
- Put driver-identification and record-retention systems in place so the correct person is nominated, on time.
- Update fleet, travel and disciplinary policies to require lawful driving and prompt disclosure of infringements.
- Train managers and drivers now, before the first notices land.
What employees need to know
Employees who drive as part of their job must respond promptly to any notice, cooperate honestly with employer reporting processes, and disclose infringements when required. Concealment, repeated non-compliance, or conduct that puts a driving-dependent role at risk can trigger workplace consequences separate from — and in addition to — the statutory AARTO process itself.
The bottom line
“AARTO Phase 2 turns ad hoc traffic-fine handling into a formal compliance obligation,” says GBS. “Employers that move now — with clear governance, records and policies — protect their people and their business. Those that wait will be managing this under pressure, one notice at a time.” With national rollout and the Points Demerit System expected in 2027, today’s commencement is the first test of how seriously organisations take this shift.
Issued by Global Business Solutions (GBS)

