The minimum wage and domestic workers

THE NATIONAL Minimum Wage Act provides for a national minimum wage of R20 for each ordinary hour worked. There are, however, certain exceptions to the national minimum wage. Domestic workers are entitled to a minimum wage of R15 an hour.

A “domestic worker” means a worker who performs domestic work in a private household and who receives, or is entitled to receive, a wage and includes: a gardener; a person employed by a household as a driver of a motor vehicle; a person who takes care of children, the aged, the sick, the frail or the disabled; and domestic workers employed or supplied by employment services.

The Sectoral Determination 7: Domestic Worker Sector and the Amendment of Sectoral Determination 7: Domestic Worker Sector (published in the Government Gazette of December 3, 2018) determines the applicable minimum rates for the period December 3, 2018 “to promulgation of the minimum wage provision contained in the National Minimum Wage Act”, which is January 1, 2019.

The minimum rates differ according to the area in which the domestic worker works: being either “Area A” or “Area B”.

In terms of the Amendment of Sectoral Determination 7, domestic workers in Area A and Area B who work for more than 27 hours a week are entitled to a minimum rate of R13.69 an hour and R12.47 an hour respectively. Similarly, domestic workers in Area B who work 27 hours a week or less are entitled to a minimum rate of R14.72 an hour.

These minimum rates were applicable for the period December 3, 2018 to December 31, 2018.

As of January 1, 2019, domestic workers in Area A and Area B who work for more than 27 hours a week, as well as domestic workers in Area B who work for 27 hours a week or less, are entitled to R15 according to the National Minimum Wage Act.

The Amendment of Sectoral Determination 7 has, however, created confusion in respect of domestic workers in Area A who work 27 hours a week or less. In terms thereof, these domestic workers are entitled to R16.03 an hour, with effect from December 3, 2018. This minimum rate marks an increase to the minimum wage of R15 applicable to domestic workers.

The Department of Labour has confirmed that the minimum rate of R16.03 will continue to apply to these domestic workers, the rationale being that an employer cannot unilaterally amend an employee’s terms and conditions of employment, including reducing his or her remuneration.

Area A includes City of Cape Town, City of Johannesburg Metropolitan Municipality, City of Tshwane Metropolitan Municipality, Drakenstein Local Municipality, Ekurhuleni Metropolitan Municipality, Emalahleni Local Municipality, Emfuleni Local Municipality, eThekwini Metropolitan Unicity, George Local Municipality, Hibiscus Coast Local Municipality, Mangaung Local Municipality, Matzikama Local Municipality, Metsimaholo Local Municipality, Middelburg Local Municipality, Midvaal Local Municipality, Mngeni Local Municipality, Mogale Local Municipality, Mosselbaai Local Municipality, Msunduzi Local Municipality, Mtubatu Local Municipality, Nelson Mandela, Nokeng tsa Taemane Local Municipality, Oudtshoorn Local Municipality, Potchefstroom Local Municipality, Randfontein Local Municipality, Richtersveld Local Municipality, Saldanha Bay Local Municipality, Sol Plaatjie Local Municipality, Stellenbosch Local Municipality, Theewaterskloof Local Municipality, Umdoni Local Municipality, uMhlathuze Local Municipality and Witzenberg Local Municipality.

Area B includes all those areas not mentioned in Area A.

Jacques van Wyk is a director and labour law specialist at Werksmans Attorneys.