The South Africa Minister of Employment and Labor has announced adjustments to the national minimum wage, which will take effect March 1.
The national minimum wage will increase from 27.58 rand ($1.49) to 28.79 rand ($1.56) per ordinary hour worked, effective March 1. This reflects an increase of approximately 4.38%, which is slightly below the recommendation made by the National Minimum Wage Commission. It had proposed aligning increases with the consumer price index plus 1.5%.
The following sector-specific minimum wage rates will apply:
Workers engaged in Expanded Public Works Programs
- Minimum hourly rate will increase from 15.16 rand ($0.82) to 15.83 rand ($0.86).
Contract cleaning services sector (rates vary by region)
- Metropolitan councils (City of Cape Town, Greater East Rand Metro, City of Johannesburg, Tshwane, and Nelson Mandela Bay): Employees will be entitled to a minimum hourly rate of 31.69 rand ($1.71).
- KwaZulu-Natal: Minimum wage rates must comply with those set out in the Bargaining Council for the Contract Cleaning Service Industry’s collective agreement.
- All other areas: Employees will be entitled to a minimum hourly rate of 28.89 rand ($1.56).
During the public comment period, when parties were allowed to make submissions to the National Minimum Wage Commission to inform the adjustment, trade unions called for stricter enforcement of South Africa’s minimum wage legislation. The Congress of South African Trade Unions has urged the Department of Employment and Labor to increase its enforcement powers and strengthen the role of labor inspectors.
In 2024, South Africa saw a rise in labor inspections across various workplaces. Given that the Minister of Employment and Labor has announced plans to increase the number of labor inspectors from 2,000 to 20,000 to enhance the department’s ability to conduct thorough audits and inspections across the country, employers should anticipate greater regulatory scrutiny and enforcement to ensure compliance in 2025.
Employers must ensure compliance with the revised minimum wage rates to mitigate the risk of enforcement action. Businesses should:
- Review their wage structures.
- Engage in collective bargaining where necessary.
- Prepare for increased labor inspections in 2025 within all aspects of their business.
Mehnaaz Bux is an employment law specialist and Amy King is a lawyer with Webber Wentzel in Johannesburg. © 2025 Webber Wentzel. All rights reserved. Reposted with permission of Lexology.
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