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Minimum wage to increase by 93 cents per hour in March

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The National Minimum Wage (NMW) will increase to R21.69 per hour from 1 March.

Labour Minister Thulas Nxesi announced the 93c increment on Tuesday.

This development is in line with legislation that came into effect on 1 January 2019, at a level of R20 per hour. In terms of the Act of 2018, the policy framework is a floor level below which no employee should be paid.

According to the Act, it is illegal and unfair labour practises for an employer to unilaterally alter hours of work or other conditions of employment in implementing the National Minimum Wage. 

The NMW is the amount payable for the ordinary hours of work and does not include: 

  1. payment of allowances (such as transport, tools, food or accommodation)
  2. payments in kind (board or lodging)
  3. tips, bonuses and gifts.

The Act requires that the NMW Commission review the rates annually and make recommendations to the Minister on any adjustment of the national minimum wage, while also reflecting on alternative views, including those of the public.

The department said following a transitional phase, the farmworker sector has been aligned with the NMW rate of R21.69 per hour. The domestic workers' sector will be entitled to R19.09 per hour and could be expected to be aligned with the NMW when the next review is considered.

Workers in the Expanded Public Works programme are entitled to R11.93 per hour and workers who have concluded 'learnership agreements' are entitled to allowances, as determined by the national qualifications framework level.

The Contract Cleaning and Wholesale and Retail Sector will also have their wages upwardly adjusted by 4.5%,” reads the statement. 

SAGovNews