Cosatu needs ‘more time’ on wage agreement
Ramaphosa signed a national minimum wage agreement of R20 an hour and the agreement will come into effect on 1 May 2017.
POLOKWANE – Deputy President Cyril Ramaphosa has confirmed that all labour federations except the Congress of South African Trade Unions (Cosatu) have signed the new national wage agreement.
On Wednesday, the Presidency said the signing ceremony in Cape Town had been postponed because Cosatu had requested more time to consult its members on the minimum wage figure.
Ramaphosa signed a national minimum wage agreement of R20 an hour and the agreement will come into effect on 1 May 2017.
He made the announcement at Parliament yesterday (Wednesday), where he said that all stakeholders had signed the agreement except Cosatu.
At R20 an hour, this will result in the minimum wage amounting to R3 500 per month for a 40 hour week or R3 900 for a 45 hour week.
The deputy president acknowledged that R3 500 per month is not a living wage, but he said it would be the start of the process to pursue a living wage.
The national minimum wage agreement has come after two years of negotiations, where fears grew that retrenchments would follow if a national minimum wage was announced.
Cosatu said while the proposed national minimum wage of R20 an hour is still too little, it believes its members should seriously consider the offer. They said it needs to consult with its leaders and its members because it had a mandate to agree to a deal of R4,500 a month.
