The Department of Labour Ministerial spokesperson made an important announcement on Thursday, May 17, 2018 on two aspects. The roadshow has been completed on the exemption application process by the Department and that the National Minimum Wage that was effective from May 1, 2018 has temporarily been placed on hold.
READ THE ARTICLE HERE: LABOUR BUZZ: National minimum wages effective May 1, 2018
The announcement states that it is temporarily postponed to allow the parliamentary process to be completed and the applications for exemption to be received from employers.
In last week’s LABOUR BUZZ, I mentioned that the application process for employers to apply for exemption from the National Minimum Wage of R20 per hour can only be done on-line.
This on-line application site was still not accessible last week and I suspect that the Department of Labour may still be ironing out the on-line application process. Apart from this personal viewpoint, the University of Witwatersrand made very strong submissions on various points of opposition and the due diligence process has not been completed by Parliament.
This unfortunately creates false hope and high expectations by workers and severe confusion and anxiety for employers. The temporary postponement of the NMW did not receive high publicity, as the announcement of the implementation date of May 1, 2018.
The current position is therefore that all Sectorial Determinations remain as is, and rates remain accordingly, until we received a clear and decisive date in which the NMW becomes active.
Any employers that has made adjustments and paid weekly paid worker at the NMW rate in error as a result of the misinformation can rectify the wages lawfully. Provision is made for rectification of wages paid in error in the Basic Conditions of Employment Act 1997, Chapter 4, Sec 34 (5)(a).
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