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S. Africa's national minimum wage still on track despite being delayed: Labor Department

Xinhua,March 27, 2018 Adjust font size:

CAPE TOWN, March 27 (Xinhua) -- The National Minimum Wage (NMW) is still on track despite the implementation date having been postponed for an unspecified period, the Labor Department said on Tuesday.

The department was trying to alleviate rising concerns over the NMW implementation after Labor Minister Mildred Oliphant told a media briefing in Cape Town on Monday that the implementation date, originally set for May 1, had been postponed to allow parliamentary processes to run its course.

The minister said the National Assembly has still not finalized its process in terms of the NMW Bill, the same applies for the National Council of Provinces (NCOP) which also has to complete its process in terms of the Bill.

Stakeholders have requested the Labor Department to explain when the new implementation date would be in light of the minister's comments.

Based on the submissions that have been put forward, the implementation has been postponed and the date will be announced soon, Teboho Thejane, Chief Communication Officer at the Labor Department, said on Tuesday.

"We however, wish to reassure all stakeholders that NMW will be implemented as planned," said Thejane.

In 2016, the National Economic Development and Labor Council (NEDLAC) proposed the NMW of 3,500 rand (about 296 U.S. dollars) per month, which amounts to 20 rand (about 1.7 dollars) per hour.

The proposed wage is expected to help ease labor tension at a time when South Africa's economy remains stagnant.

A panel of experts, appointed by then Deputy President Cyril Ramaphosa, had been working for more than two years to work out the NMW.

Currently around 47 percent of South Africans who do have work earn a wage below 3,500 rand a month.

Also on Tuesday, the Congresss of South African Trade Unions (COSATU) said it is deeply disappointed to learn that Parliament and the government will not be ready to implement the long delayed NMW.

The federation has repeatedly raised its concerns that the delays in negotiations at NEDLAC and Parliament were putting May 1 implementation date at risk and this has now become reality, COSATU Parliament Officer Matthew Parks said. Enditem

 

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