Over the past few months employers and employees in the coal sector have been negotiating wage increases in the Coal Sector. Employees, represented by the NUM, Solidarity, UASA and NUMSA have reached a deadlock with the represented employers, Exxaro Coal, Anglo American Coal, Glencore, Koornfontein, Kangra, Delmas Coal and Msobo Coal which may well result in a strike occurring across the entire sector.
Says Mr Peter Bailey, NUM Chief Negotiator in the Coal Sector in a press statement: “The Chamber of Mines members are pleading poverty when it comes to black workers yet white managers and executives have the luxury of being overcompensated.” Read more “Strike Looming in the Coal Sector”
Cabinet has approved the draft legislation to implement a National Minimum Wage for South Africa. At present the new proposed National Minimum Wage is set at R 20.00 per hour, which translates to approximately R 3 900.00 per month. For a comparison, the current Minimum Wage for a Domestic Worker is around R 12.42 per hour or R 2 421.90 per month.
While it is unclear what the exemptions would be, working on the assumption that all Sectoral Minimum Wages will have to be increased, this legislation holds the potential to increase unemployment even more. Currently South Africa has an unemployment rate of 27.7% for the third quarter of 2017 and in what is likely to be a repeat of the Farm Workers Minimum Wage which saw a 0.8% increase in unemployment when it was implemented in 2013 over a period which historically shows a decrease in unemployment. Read more “National Minimum Wage Legislation gets a nod from Cabinet”