Minimum wage will be delayed as parly wants Bill redrafted

The introduction of a national minimum wage of R20 an hour could be delayed by up to two months as parliament has yet to approve necessary draft legislation, a spokesperson for the labour ministry said on Friday.

The minimum wage, a policy championed by President Cyril Ramaphosa to tackle labour instability and wage inequality, was approved by the cabinet in November and meant to be introduced on May 1.

Supporters of the minimum wage said it would reduce inequality and stimulate economic growth as workers could spend more.

But critics said it could increase unemployment, already at record highs, with some employers unable to afford higher wage bills.

Labour ministry spokesperson Teboho Thejane said the ministry was focused on getting the minimum wage introduced. “The minimum wage will definitely be implemented. But it could be delayed by one or two months,” he said.

On Friday parliament’s portfolio committee on labour was still discussing amendments to the policy.

Sharome van Schalkwyk, acting chair of the committee, said the national minimum wage Bill needed to be redrafted.

“The Department of Labour must take its time and rework the Bill for re-submission to the committee.

“This piece of legislation is critical in our country, not only in fighting inequality, but also addressing abuse of vulnerable workers in some sectors.”