South Africa: Working millions to benefit from minimum wage – Minister

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South Africa: Working millions to benefit from minimum wage – Minister

3:19 CAT | 09 Apr 2018

More than six million workers in South Africa are expected to benefit from the country’s first-ever national minimum wage when it is introduced in the near future, Labour Minister Mildred Oliphant said on Monday.The national minimum wage bill is currently before Parliament, and it proposes, among other things, that the national minimum wage level be set at US$1.67 per hour and will be reviewed annually.

Speaking during an interview in Pretoria on Monday, Oliphant said: “Workers who are not organised in South Africa are more than 2.4 million. Immediately after implementation of the national minimum wage, some 6.6 million [workers] will be able to benefit from the national minimum wage”.

However, the minimum wages for domestic and farm workers will initially be set at $1.25 and $1.50 an hour respectively. This will be adjusted to reach the national minimum wage within two years of implementation, she added.

Oliphant said there was a commitment by employers, organised labour and the community, which consists of various non-government organisations (NGOs), to support the national minimum wage.

“Employers have committed to not retrench any worker based on the national minimum wage. Those are the positive relations that we have established at the National Economic Development and Labour Council (NEDLAC) constituency level,” she said.

When the national minimum wage is introduced, exemptions will be available to sectors. Those seeking exemption must apply for it and discuss it with their workers.

If workers and the employer agree on obtaining an exemption, there must be a petition signed by the workers agreeing to be exempt from getting paid the minimum wage for a certain period.

The employer that wants exemption must provide their financials for two years to show that they cannot afford to pay the minimum wage, she added. Furthermore, the employers will need to make a commitment to grow their business.

“Employers can only get an exemption once. They will not be able to apply for the exemption every year,” Oliphant said.

Source: APA