National minimum wage increases to R27.58 per hour

The minister for the Department of Employment and Labour, Thulas Nxesi, has announced a new national minimum wage (NMW) determination, which will go up from R25.42 to R27.58 for each ordinary hour worked.

According to Nxesi, this new NMW has been in effect since March 1. “The NMW determination also includes the vulnerable sectors of farm workers and domestic workers – whom since 2022 were aligned with the rates.

However, the workers employed on an expanded public works programme are entitled to a minimum wage of R15.16 per hour [up] from R13.97. Workers who have concluded learnership agreements contemplated in Section 17 of the Skills Development Act of 1998 are entitled to the allowances as determined in the latest government schedule,” he said.

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He added that the schedule of learnerships, sectoral determinations of contract cleaning, wholesale and retail sector employees will be published on the department’s website – www.labour.gov.za.

The act applies to all workers and their employers, except members of the SANDF, the National Intelligence Agency and the South African Secret Service. “The act does not apply to a volunteer, who is a person who performs work for another person and who does not receive or is not entitled to receive any remuneration for his or her service.

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The NMW is the minimum amount of pay that an employer is legally required to remunerate employees for work done. The amount does not include payment of allowances such as transport, tools, food or accommodation payments in kind, board or lodging, tips, bonuses and gifts among others,” said Nxesi.

The NMW first came into implementation in 2019 at a minimum of R20 per hour. It is enforced by law and violators are subject to fines.