Mininum wage bill finally signed into law

The bill - which is the first of its kind in the country - comes four years since the first deliberations within the National Economic Development and Labour Council (Nedlac) on the protection of low-paid workers, fair and effective competition in the labour market and the challenges of labour instability.

The presidentcy has confirmed the law will come into effect in January 2019.

Presidency spokesperson, Khusela Diko, says in a statement the act stipulates the minimum wage starts at R20 per hour, which will raise the earnings of an estimated 6 million workers.

"The National Minimum Wage Act sets South Africa's first national minimum wage at R20 an hour equivalent to R3 500 per month - depending on the number of hours worked and creates a phase-in period for farm workers, forestry workers, domestic workers, welfare sector and care workers, due to their vulnerability to disemployment." 

"Following these deliberations and recommendations by an advisory panel chaired by Prof Imraan Valodia of the University of the Witwatersrand, President Ramaphosa has also assented to the Basic Conditions of Employment Amendment Bill and Labour Relations Amendment Bill which were negotiated by Nedlac at the same time as the National Minimum Wage."

Diko says the bill also recognises the country as "one of the most unequal societies".

"The President has also underscored that while national minimum wage will not end income inequality, it provides a firm and unassailable foundation - which is agreed to by all social partners - from which to advance the struggle for a living wage," Diko concluded.