New minimum wage on the cards?



November 21, 2016
New minimum wage on the cards?

Deputy President Cyril Ramaphosa

The recommended National Minimum Wage could be set at R20 per hour.

South Africa’s national minimum wage (NMW) could be set at R20 per hour or about R3 500 per month, if recommendations by a panel of experts are agreed to.

Labour and community constituencies had put forth a R4 500 proposal, while business suggested just over R2 000.

The NMW is aimed at reducing the income poverty in the country, while addressing the issue of inequality.

Speaking at the release of the panel’s report in Rosebank on Sunday, Deputy President Cyril Ramaphosa said the country was “edging closer” to a finalised policy document that could be enacted into law.

“We are now a step closer to finalising our discussions on the NMW. clearly all the social partners will have to decide precisely what their take is on this recommendations from the panel of advisers. It is a proposal, still has to be discussed and engaged with. we want to get the South African public to discuss this matter and put forward their own proposals if any so that their views can enrich this process,” he said.

However, some sectors, like small businesses, domestic and farm workers, would be exempted from the legislation due to the potential for negative impact on jobs.

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