Nedlac parties agree on hourly minimum wage
The R20-per-hour pay takes effect in 2018
An agreement on the national minimum wage has been struck between parties at the National Economic Development and Labour Council (Nedlac). The parties are said to have agreed on R20 per hour to take effect from May 2018. They also agreed on the establishment of a National Minimum Wage Commission (NMWC) to review the minimum wage every year. Among the first assessments of the effect of the introduction of the minimum wage will be whether it had affected employment. Unemployment levels in the country reached 27% in the last quarter of 2016. Incentives have been punted in a draft document on the agreement at Nedlac as a reprieve for sectors that are unable to cope with the national minimum wage. "The social partners commit to make every effort to avoid job losses that may arise in the short term from the introduction of the new minimum wage, and further commit to grow employment in the medium to long term through inclusive growth," the document says. A signing ceremony is expected to ...
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