POLOKWANE – The Department of Labour last week announced the new sectoral determination for wages for employees in the farm and forestry sectors which are set to increase by 5,6%.
The new minimum wages will come into effect from 1 March and will increase to R3 169,19 per month, up from R3 001,13 in 2017/18. The weekly minimum wage will be R731,41.
The daily minimum wage for these employees will be R146,28 and the hourly minimum wage will be R16,25 an increase from R15,39 in 2017/18.
Willem van Jaarsveld, Chief Executive Officer of Agri Limpopo, said in a telephonic interview with Review the planned increase in the sectoral determination and the follow-up implementation of the national minimum wage expected in May, is cause for great concern among farmers.
He said even if there is a small relief for farmers in the first year of paying 90% of the tariffs, the next year, when farmers have to pay 100% of the minimum wage, and with a possible increase annually of the national minimum wage, things are looking dire.
Van Jaarsveld said Agri South Africa is already researching the impact this will have in 2019 to bring to the table to negotiate with.
“The uncertainty in the current political and economical climate as well as the ANC saying expropriation without compensation is now their official policy, has created huge uncertainty and worries among farmers, who may now look into mechanisation seriously, or into rather moving up north where they and their skills and knowledge are welcomed in other African countries.”
nelie@nmgroup.co.za
