THE new minimum wage increase of R20 per hour will be enforced on May 1 2018.
‘It is of the utmost importance that everyone involved know that a minimum of four hours per day would be payable,’ said Pieter Vorster chairperson of Agri Letaba during their meeting held at Constantia.
Vorster reiterated that labourers need to be informed that R3 500 is not the newly set monthly minimum wage, and that they would be paid per hour.
The new minimum wage will be calculated as follows: The minimum payment would be R20 p/h. For domestic workers, not on farms but in towns or cities, 75% of the minimum wage would be payable which amounts to R15 p/h. Farm workers must be paid 90% of the new national wage.
Normal deductions like housing (10%) basic food supplies and electricity if measured and on record would still be allowed. Employers need to take note that they must guarantee employees at least four hours of work on any working day, come rain or sun shine.
The new minimum wage also means that the sectoral determinations and Bargaining Councils will lose their function and would be phased out after implementation of the new minimum wage, however if the sectoral determination stipulates that historically employers gave an increase in March of each year it would still apply at the rate as negotiated or declared.
Should employers be found to be non compliant the Department of Labour would issue an undertaking or written instruction to comply, and have the power to summons them to the CCMA.
The Commissioner would also now be granted the power to issue a fine, instruction and a summons to the sheriff authorizing him through an attachment order to attach assets of the Employer equal to the value of the fine and all outstanding payment to employees. Employers could however apply for exception via an electronic submission.
The following documents need to be attached: Proof of consent by registered trade union or sworn statement that employees do not belong to a trade union. Letter of approval of all employees being affected by Employer not being able to pay new national minimum wage. Proof of consultation with them in this regard (meeting minutes).
Most recent income financial -balance sheets with comparative figures for the last two years. Abridged financial information (pro forma) Current wage register (permanent/ seasonal/contract workers) number of hours worked per person per day/week; Financial plan and projection of how and when you will meet the new national minimum wage. This need to be done on the system of the department of Labour before the implementation.
According to information, the department is still developing the so called ‘system’ and it could be in working order from February 2018. The Commissioner of the CCMA, Nelson Ledwaba, told farmers during the meeting that their doors are always open.
‘We are not there to help get rich if a dispute occurs on your farms, but you must all make sure that you follow the right procedures during any dispute. The CCMA is there to protect you as well.’ Ledwaba said.
