The DA is preparing for a mass protest against the race quotas that have been introduced by the ANC-led government through the Employment Equity Amendment Act.
The Amendment Bill was signed into law by President Cyril Ramaphosa in April.
Government said the Amendment Bill seeks to advance transformation of South Africa's workforce "by setting equity targets for economic sectors and geographical regions, and requiring enterprises to develop transformation plans".
But the DA called it a ‘destructive’ policy.
In a statement on Thursday, the party's leader John Steenhuisen warned if enforced, it could lead to thousands of job losses.
“The result will be the extension of cadre deployment into the private sector by giving the government the power to dictate appointments at private companies,” said Steenhuisen.
The trade union reached a settlement with the government in a process conducted under the auspices of the International Labour Organisation.
In terms of the settlement, the government agreed to amend the regulations issued in terms of the Act to recognise that race-based affirmative action must be temporary.
It also said there can be no absolute prohibition on employing people based on race, and that skills must be taken into account.
Steenhuisen said the DA agrees.
“The DA thanks and congratulates Solidarity for this important breakthrough.