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Minimum wage boost for farm workers as of 1 March

Farm workers will now be paid an hourly rate of R21.69, a significant increase from the R18.68 hourly rate in the previous year

FARM workers will now be paid an hourly rate of R21.69, a significant increase from the R18.68 hourly rate in the previous year.

This follows this week’s gazetting of the National Minimum Wage (NMW) which has been set at R21.69 for each ordinary hour worked.

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The change, which comes into effect on 1 March, is the first time farm workers will be paid an equal rate since the NMW was introduced in 2019.

The move has, however, been criticised by Agri SA, a federation of agricultural organisations, saying it is unsustainable for the sector.

‘Agri SA and its affiliates take the needs of farm workers and their families seriously, however, the poorest households are in need of access to employment, and to retain those in employment.

‘The immediate equalisation and increase will place many jobs in serious jeopardy, which could have been avoided,’ Agri SA said in a statement.

‘The Covid-19 pandemic continues to wreak havoc, and unemployment is on the increase. To approve a 16% increase, therefore, does not make sense.’

The federation said this would grow the agricultural wage bill to above 30% of production costs.

‘This cost will have to be passed on to the consumers, making food unaffordable to those the minimum wage is trying to assist.’

Other adjustments to the minimum wage.

For domestic workers, the rate is adjusted to R19.09 per hour and workers employed on an expanded public works programme are entitled to a minimum wage of R11.93 per hour.

The minimum hourly rates for contract cleaning employees are, however, subject to the collective agreement in the bargaining council.

The NMW was first implemented at a level of R20 per hour. This was adjusted in March last year to R20.76 per hour.

‘The NMW is the amount payable for the ordinary hours of work and does not include payment of allowances (such as transport, tools, food or accommodation) or tips, bonuses and gifts.

‘In terms of the law, it is also an unfair labour practice for an employer to unilaterally alter hours of work or other conditions of employment in implementing the NMW,’ the Department of Labour said.

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