Legal updates and opinions
News / News
National minimum wage increases for 2022
Adjusted national minimum wage
Following a mandatory annual review process, the Minister of Employment and Labour announced increases to the national minimum wage for 2022.
With effect from 1 March 2022, the adjusted national minimum wage for each ordinary hour worked is R23.19 (increased from R21.69 in 2021).
Similarly, farmworkers and domestic workers are now entitled to a minimum wage of R23.19 per hour.
The Minister also announced that, as in previous years, exceptions would be made for the following groups:
- Workers employed on an expanded public works programme are entitled to a minimum wage of R12.75 per hour.
- Workers who have concluded learnership agreements (in terms of section 17 of the Skills Development Act 97 of 1998) are entitled to the allowances outlined in Schedule 2 of the National Minimum Wage Act 9 of 2018 (“NMWA”).
It is important to note that the NMWA defines “wage” as “the amount of money paid or payable to a worker in respect of ordinary hours of work or, if they are shorter, the hours a worker ordinarily works in a day or a week”.
Accordingly, this excludes the payment of allowances such as transport, tools, food, payments in kind (including, for example, accommodation), tips, bonuses and gifts.
In terms of section 73A of the Basic Conditions of Employment Act (“BCEA“), an employer’s failure to pay the prescribed national minimum wage will entitle a worker or employee to institute a claim for failure to pay any amount owing in terms of the NMWA. Additionally, section 76A of the BCEA provides that a fine may be imposed on an employer who pays a worker or employee less than the prescribed NMW.
Employers are therefore advised to ensure that they stay abreast of any adjustments to the national minimum wage, and that they comply with any prescribed amounts.
Latest News
The Legal 500 Europe, Middle East & Africa Rankings
The Legal 500 has released its 2020 rankings for the EMEA region yesterday. Regarded as one of the world's largest [...]
COVID-19 and IP offices
by Donvay Wegierski, Director and Janine Hollesen, Director The pandemic has changed the way in which many of us are [...]
COVID-19 and the resultant impact on the distribution obligations of Real Estate Investment Trusts (REITs)
by Kashvi Lalla, Director and Raquel Goncalves, Candidate Attoney The nationwide lockdown following the Covid-19 outbreak has undoubtedly impacted the [...]
Operating call centres for essential services during the lockdown period
Call centres for essential services by Natalie Scott, Director and Kyra South, Associate On 9 April 2020, the Government issued [...]
Are employers obliged to pay employees salaries/wages during the national lock-down?
by Bankey Sono, Director; Peter Mosebo, Director; and Sakhile Kumalo, Associate There is no doubt that the national lock-down announced [...]
Public procurement for COVID-19 related goods during the national state of disaster
by Sarah Moerane , Director On 18 March 2020 the Minister of Cooperative Governance and Traditional Affairs issued Regulations under [...]
