Labour Minister Thulas Nxesi has announced a new minimum wage for South Africa, stating that the national minimum wage has been increased from R21.69 to R23.19 for an ordinary hour of work – a R1.50 increase.
The adjustment provides exceptions for several worker groups including farmworkers and domestic workers, who are entitled to a minimum wage of R23.19 per hour. This 6.9% increase comes into effect from 1 March 2022.
“This announcement is in terms of Section 6 (5) of the NMW Act, No 9 of 2018, to amend the NMW contained in Schedule 1 and Schedule 2 of the National Minimum Act, published under Government Notice No. 44136,” Minister Nxesi said.
According to SA News, workers employed on an expanded public works programme are entitled to a minimum wage of R12.75 per hour, while workers who have concluded learnership agreements contemplated in section 17 of the Skills Development Act, 1998 (Act No 97 of 1998), are entitled to allowances contained in schedule 2.
“It is illegal and unfair labour practice for an employer to unilaterally change working hours or other employment conditions in order to implement the NMW. The NMW is the amount payable for ordinary hours of work and excludes payment of allowances (such as transportation, tools, food, or lodging), payments in kind (board or lodging), tips, bonuses, and gifts,” the Minister expressed.
South Africans have shared their responses as one Facebook user said “What can you buy for R1,50c? Not even a half brown bread, this is totally an embarrassment to South African citizens” while another said “Well isn’t this useless, this increment will make no difference since y’all hiked up petrol prices which affect the price of everything, ya’ll taking the money via fuel increase either way ..what good was this”.
“Does this minimum wage apply in parliament” asked another, while someone said “They are earning R100K every month but they have a gut to seat down and decide that other people must make their living with R20 per an hour,this is the highest level of greedy and selfishness.Food and fuel hike every month,yet they give employees an increase once a year”.
The Act of 2018 requires the NMW Commission to review the rates on an annual basis and make recommendations to the Minister on any changes to the national minimum wage, while also taking into account alternative viewpoints, including those of the general public, SA News adds.
The Commission considers inflation, the cost of living, and the need to maintain the value of the minimum wage and gross domestic product when determining the the annual adjustment. It also considers wage levels and collective bargaining outcomes; productivity; employers’ ability to carry on their businesses successfully; the operation of small, medium, or micro-enterprises and new enterprises; and the likely impact of the recommended adjustment on employment or the creation of employment.
“Employees earning more than R224 080.48 per year are exempt from sections 9, 10, 11, 12, 14, 15, 16, and 17(2) and 18(3) of the Basic Conditions of Employment Act (BCEA) as of March 1, 2022,” the Minister said.
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Picture: Supplied