Dept to host minimum wage info sessions
month and not R3 500. The agreed wage is a R1 000 less than what we expected. We did, however, sign off on the deal in March after having a discussion and seeing it as a step in the right direction as there was nothing on the table prior to the agreement,” said Gxoyiya.
He added that Cosatu would, however, not let the matter lie.
“We will continue with negotiations on this matter. We will keep it permanently on our agenda until we can reach a national minimum wage that complies to the living standards.”
Ramaphosa, in his speech at the time, said that the minimum wage represented a significant advance in government’s efforts to address the challenges of wage inequality and labour instability.
“Extreme levels of wage inequality, in particular, contribute in significant measure to the persistence of widespread poverty and serves to constrain economic growth and social development. They also assert that accelerated economic growth, higher rates of investment, improved productivity and faster job creation require a stable labour market environment, in which the rights and responsibilities of all stakeholders are respected and promoted. In pursuit of these objectives, the social partners have reached agreement on modalities for the introduction of a national minimum wage of R20 an hour to be implemented from no later than May 1, 2018.
“The national minimum wage, which is a floor below which no worker may be paid, will significantly improve the lives of millions of low paid workers and begin to address the challenges of wage inequality,” Ramaphosa said.
He said businesses that are not able to afford the wage will be exempt.“Businesses that are unable to afford the national minimum wage may apply for an exemption for up to 12 months. Any fragile sectors that are having difficulty in complying with the NMW will be considered for assistance within the available means, including through incentives.”