KVV Inc. Attorneys

Effective 1 March 2022: New Earnings Threshold and National Minimum Wage

KVV Inc Attorneys

Published on: 04/03/2025

South Africa's National Minimum Wage (NMW) increased by 6.9% to R23.19 per hour on March 1, 2022, impacting farmworkers and domestic workers equally. Exceptions exist for public works program workers (R12.75/hour) and learners. Unilateral changes to employment conditions to implement the NMW are illegal. Domestic workers' wages aligned with the NMW, reaching R3,895.92 monthly based on a standard work month. The annual earnings threshold, above which some Basic Conditions of Employment Act protections are lost, rose to R224,080.48. This threshold also affects labor broker employment, fixed-term contracts, and dispute resolution under the Employment Equity Act.

Employment and Labour Law

Effective 1 March 2023: New Earnings Threshold and National Minimum Wage

KVV Inc Attorneys

Published on: 04/03/2025

South Africa's National Minimum Wage (NMW) increased by 9.6% to R25.42 per hour on March 1, 2023. This translates to R4,270.56 monthly for domestic workers (based on an 8-hour workday, 21 days a month). The Earnings Threshold, impacting certain Basic Conditions of Employment Act protections, rose by 7.6% to R241,110.59 annually. "Earnings" exclude items like transport allowances and overtime pay. This threshold also affects protections under the Labour Relations and Employment Equity Acts. Consult a professional for specific advice.

Employment and Labour Law