Home South African National minimum wage to increase next month

National minimum wage to increase next month

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The national Minimum wage for each hour worked has been increased from R21.69 to R23.19 for 2022, with effect from March 1.

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THE NATIONAL minimum wage (NMW) for each hour worked has been increased from R21.69 to R23.19 for the year 2022 with effect from March 1.

Employment and Labour Minister Thulas Nxesi made the announcement on Tuesday 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 act, published under Government Notice No. 44136.

The adjustment provides exceptions for several worker groups, including farmworkers who are entitled to a minimum wage of R23.19 an hour, domestic workers entitled to a minimum wage of R23.19 an hour, and workers employed on an expanded public works programme entitled to a minimum wage of R12.75 an hour.

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, tips, bonuses and gifts,” the department said.

The act of 2018 requires the NMW Commission to review the rates annually and make recommendations to the minister on any changes to the NMW, while also taking into account alternative viewpoints, including those of the general public.

The commission considers a number of factors when determining the annual adjustment, including inflation; the cost of living, and the need to maintain the value of the minimum wage; gross domestic product; wage levels and collective bargaining outcomes .

Employees earning more than R224,080.48 a 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, which protect vulnerable employees by regulating, among other things, working hours and overtime.

The department added it had identified an error in the published BCEA gazette that incorrectly states the effective date as March 1, 2021, which will be corrected. The correct date of effect is March 1, 2022.

The tables for the adjustments to the contract cleaning, wholesale and retail sectors, and learnership allowances rates are available on the departmental website www.labour.gov.za

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