The long awaited national minimum wage (NMW) has been signed into law.  The effective date is 1 January 2019. What exactly does this mean for employers and employees?

The new minimum wage of R20 per hour applies across all sectors, with a few exceptions.  The exceptions include domestic workers, farm/forestry workers and workers employed in Expanded Public Works Programmes.

The exceptions will only be temporary.  It is envisaged that there will be a gradual adjustment of domestic and farm/forestry workers’ wages to come in line with the NMW.  As a first step domestic workers’ minimum wages will be increased to a minimum rate of R15 per hour, and farm/forestry workers’ wages to a minimum rate of R18 per hour. The implementation dates of these increases have not yet been announced.

Some sectors will have to adjust their minima upwards with effect from 1 January 2019 – these include the Hospitality Sector, Wholesale and Retail Sector.

For employees who work 45 hours per week, the minimum monthly wage will be just short of R3900.  If the contract of employment makes provision for less than 45 hours per week, the monthly rate can be less than this amount.

Employers are restricted in the way that they structure the remuneration package.  The NMW excludes allowances that are paid to enable employees to work (such as transport and equipment), or payment in kind (such as board or accommodation), as well as bonuses, tips or food.

Employers are not permitted to unilaterally change working hours due to the implementation of the NMW. Any reduction of hours of work will have to be negotiated.

There is provision for employers to apply for exemption of up to a 10% reduction by means of an electronic system.  At the time of the announcement of the implementation date there was no information available on how to go about this in practice.

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  • What are your qualifications?
    • SAICA Trainee Accountant
  • How long are you in the Industry?
    • Since 4 September 2017
  • Tell us a little more about yourself
    • Eager to learn. I enjoy networking and being part of programmes that bring changes to our society. I am a hard worker.
  • What is your favourite colour?
    • Purple
  • What is your favourite food?
    • Pizza
  • What is your favourite drink?
    • Fanta pineapple
  • What do you like doing in your spare time?
    • Shopping and outdoor activities
  • What is your favourite book / author
    • Bible
  • What is your favourite movie?
    • Madia’s Family Reunion
  • What is one thing you cannot go without in any given day?
    • My cell phone
  • If you were an animal, what animal do you see yourself as?
    • Eagle
ANTOINEIL
  • What is your job title?
    • Receptionist
  • How long are you working at BVDM?
    • Almost 2 months
  • Tell us a little more about yourself
    • Great team player, very confident and open minded
  • What is your favourite colour?
    • Turquoise
  • What is your favourite food?
    • Spaghetti Bolognese
  • What is your favourite drink?
    • Cabana – Tropical
  • What do you like doing in your spare time?
    • Spending time with my family, outdoor activities i.e. outdoor braai and camping
  • What is your favourite book / author
    • 50 Shades of Grey
  • What is your favourite movie?
    • The Note Book
  • What is one thing you cannot go without in any given day?
    • Vaseline & water
  • If you were an animal, what animal do you see yourself as?
    • Cat
roelien
  • What is your job title?
    • Trainee Accountant (SAIPA)
  • How long are you working at BVDM?
    • 8 months
  • Tell us a little more about yourself
    • I enjoy the outdoors. I am an animal lover (especially puppies).  I value spending time with my family. I see myself as hardworking and a committed person.
  • What is your favourite colour?
    • Purple
  • What is your favourite food?
    • Avo and salami toasted sandwich
  • What is your favourite drink?
    • Orange juice
  • What do you like doing in your spare time?
    • Going on a shopping spree with friends and baking.
  • What is your favourite book / author
    • Switched – Amanda Hocking
  • What is your favourite movie?
    • 50 First Dates
  • What is one thing you cannot go without in any given day?
    • My cell phone
  • If you were an animal, what animal do you see yourself as?
    • Eagle
FAMILY

IF YOU CARE ABOUT YOUR FAMILY, YOU WOULD MAKE SURE THAT THEY HAVE WHAT THEY NEED

However, dying without a Will can leave your family with less than what they need.  By having a valid and updated Will, you are putting your family’s needs first.

Make an appointment with us to draft your basic Will during National Wills Week (11 to 15 September 2017)