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Posts Tagged ‘minimum wage’

Ramaphosa announces minimum wage to kick in from January 1

Most workers in South Africa will get no less than R20 an hour from the start of next year, although some state workers may still get as little as R11.

President Cyril Ramaphosa said in Kliptown, Soweto, today that the national minimum wage will have to be paid to workers from the start of January.

Under the new law, employers will have to pay their staff a minimum wage of R20 an hour with the exception of sectors such as the farm/forestry, domestic and expanded public works programme workers, that have been given a longer transition period to pay R18, R15 and R11 per hour respectively.

Domestic Minimum Wage

South Africa’s Proposed Minimum Wage

Deputy president Cyril Ramaphosa has proposed the national minimum wage in South Africa – R3,500 per month, or R20 per hour. This is how it compares to other national minimum wages across the world.

The proposed National Minimum Wage (NMW) was presented to the National Economic Development and Labour Council (NEDLAC) by a panel appointed to advise on the level at which the NMW should be set.

Minimum Wage

Currently, 47% of all workers earn less than R3 500 per month. Labour and community constituencies at NEDLAC wanted the level to be set between R3 700 and R4 500, an amount the panel concluded would put employers under pressure and lead to job losses.

Domestic Worker Information of Interest

As per the Unemployment Insurance Contributions Act, 2002 (Act No 4 of 2002). The following occupations are classified as Domestic Workers:

  • Gardener, Driver, a person who looks after children, the elderly, sick, frail or disabled in a private household. Does not include Farm Workers.

What is the Domestic Workers’ Act?

This act specifies working conditions, e.g. hours of work, overtime pay, pay increases, deductions that an employer is allowed to deduct, annual & sick leave. Also the minimum wages – this usually is updated each year in December for the coming year.