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Minimum-Wage News

Increase to National Minimum Wage – March 2022

  • 8 February 20228 February 2022
  • by Eben van Deventer
eben
eben@hrcity.co.za

On the 7th of February 2022, the Minister for Labour and Employment (Thembelani Waltermade Nxesi) announced an increase to the National Minimum Wage as well as the Minimum Wage for the Contract Cleaning Sector. This increase will take effect on the 1st of March 2022 (Despite an error in the gazette stating this will be the 1st of March 2021).

As per Government Gazette 44136, we can state that the National Minimum Wage shall be increased by ~6.6% from the 1st of March 2022, however of particular note is the increases to Domestic Workers who see a ~21.5% increase in this period, a clear indication of the fact that Government does not understand the financial hardships still felt by homes due to strict lockdown regulations. The new National Minimum Wage, including Domestic and Farm Workers, will therefore be as follows:

  • National Minimum Wage: R 23.19 per hour (Including Domestic- and Farm Workers);
  • Workers in government expanded public works programme: R11.93 per hour.

Furthermore, Learnership Allowances have been increased as follows:

NQF LevelCredits already earned by learnerMinimum allowance per week
Levels 1 and 20 – 120R 349.04
121 – 240R 698.05
Level 30 – 120R 349.04
121 – 240R 657.38
241 – 360R 1 076.19
Level 40 – 120R 349.04
121 – 240R 698.11
241 – 360R 1 076.19
361 – 480R 1 570.63
Levels 5 to 80 – 120R 349.04
121 – 240R 756.20
241 – 360R 1 131.44
361 – 480R 1 593.94
481 – 600R 2 036.00
Schedule 2: Learnership Allowances. Section 6(5) of the National Minimum Wage Act, 2019

Minimum Wage – Contract Cleaning Sector (SD1)

As per the previous Year, the Contract Cleaning Sector, governed by Sectoral Determination 1 (SD1) also sees their Minimum Wages increased in terms of the National Minimum Wage Act and shall therefore be as follows:

Area AArea BArea C
Metropolitan Councils: City of Cape Town, Greater East Rand Metro, City of Johannesburg, Tshwane and Nelson Mandela.
Local Council: Emfuleni, Merafong, Mogale City, Metsimaholo, Randfontein, Stellenbosch, Westonaria
All Areas in Kwazulu-Natal
NB: Conditions of employment and minimum wage rates for KwaZulu-Natal areaas shall be subjected to the collective agreement concluded in the Bargaining Council for the Contract Cleaning Service Industry (BCCCI).
In the rest of the Republic of South Africa
Rate per hourRate per hourRate per hour
R 25.52BCCCI rates applyR 23.27
Schedule 2: Contract Cleaning Sector minimum wages as per Sectoral Determination 1

It should also be noted that the conditions of employment in the Contract Cleaning Sector are governed by Sectoral Determination 1 and may differ from those in other sectors.

Minimum Wage – Retail and Wholesale Sector (SD9)

This Year, Government has also included the Wholesale and Retail Sector in the National Minimum Wage increase. This Sector is governed by Sectoral Determination 9 (SD9) and the increase to the rates are as follows:

Area A: Bergrivier, Breede Valley, Buffalo City, Cape Agulhas, Cederberg, City of Cape Town, City of Johannesburg Metropolital Municipality, City of Tshwane, Drakenstein, Ekurhuleni, Emalahleni, Emfuleni, Ethkekwini Metropolitan Unicity, Gamagara, George, Hibiscus Coast, Karoo Hoogland, Kgatelopele, Khara Hais, Knysna, Kunwini, Kouga, Hessequa local authority, Lesedi, Makana, Magnaung, Matzikama, Metsimaholo, Middelburg (Mpumalanga), Midvaal, Mngeni, Mogale, Mosselbaai, Msunduzi, Mtubatuba, Nama Khoi, Nelson Mandela, Nokeng tsa Taemane, Oudtshoorn, Overstrand, Plettenbergbaai, Potchefstroom, Randfontein, Richtersveld, Saldanha Bay, Sol Plaatjie, Stellenbosch, Swartland, Swellendam, Theewaterskloof, Umdoni, uMhlathuze and Witzenberg Metropolitan and Local Municipalities:

For Employees who work 27 Hours or less in a week:

Clause 2
(3)(b)
Clause 2
(3)(a)
Job CategoryRate per hourRate per hour
General Assistant / Trolley CollectorR 23.19R 27.25
Security GuardR 23.19R 27.70
Forklift OperatorR 23.19R 29.59
Driver < 3 500kgR 23.19R 30.19
Merchandiser / Shop Assistant / Checker / Deli AssistantR 25.05R 31.32
CashierR 26.56R 33.21
Driver > 3 501 < 9 000kgR 28.90R 36.11
Clerk / Sales Assistant / Sales person / Block man / BakerR 31.27R 39.08
Driver > 9 001 < 16 000kgR 31.47R 39.32
DisplayerR 32.47R 40.58
Driver > 1 6001kgR 34.54R 43.20
SupervisorR 38.47R 48.09
Trainee ManagerR 41.54R 51.93
Assistant ManagerR 42.25R 56.58
ManagerR 49.60R 62.00
Schedule 2: Wholesale and Retail Minimum wages as per Sectoral Determination 9

For Employees who work more than 27 hours per week as per Clause 2(2):

Job CategoryRate per hour Rate per week Rate per month
General Assistant / Trolley CollectorR 23.19R 1 043.55R 4 521.70
Security GuardR 23.19R 1 043.55R 4 521.70
Forklift OperatorR 23.19R 1 043.55R 4 521.70
Driver < 3 500kgR 23.19R 1 043.55R 4 521.70
Merchandiser / Shop Assistant / Checker / Deli AssistantR 23.19R 1 043.55R 4 521.70
CashierR 25.66R 1 154.70R 5 003.32
Driver > 3 501 < 9 000kgR 27.88R 1 254.60R 5 436.18
Clerk / Sales Assistant / Sales person / Block man / BakerR 30.20R 1 359.00R 5 888.55
Driver > 9 001 < 16 000kgR 30.35R 1 365.75R 5 917.79
DisplayerR 31.35R 1 410.75R 6 112.78
Driver > 1 6001kgR 33.35R 1 500.75R 6 502.75
SupervisorR 37.14R 1 671.30R 7 241.74
Trainee ManagerR 40.12R 1 805.40R 7 822.80
Assistant ManagerR 43.67R 1 965.15R 8 514.99
ManagerR 47.89R 2 155.05R 9 337.83
Schedule 2: Wholesale and Retail Minimum wages as per Sectoral Determination 9

Area B: Metropolitan and Local Municipalities not mentioned in Area A:

For Employees who work 27 Hours or less in a week:

Clause 2
(3)(b)
Clause 2
(3)(a)
Job CategoryRate per hourRate per hour
General Assistant / Trolley CollectorR 23.19R 25.45
Security GuardR 23.19R 27.70
Forklift OperatorR 23.19R 25.63
Driver < 3 500kgR 23.19R 26.30
Merchandiser / Shop Assistant / Checker / Deli AssistantR 23.19R 27.69
CashierR 23.19R 29.34
Driver > 3 501 < 9 000kgR 25.15R 31.44
Clerk / Sales Assistant / Sales person / Block man / BakerR 31.27R 39.08
Driver > 9 001 < 16 000kgR 30.90R 37.62
DisplayerR 26.79R 33.49
Driver > 1 6001kgR 33.07R 41.34
SupervisorR 33.62R 42.04
Trainee ManagerR 35.99R 44.98
Assistant ManagerR 39.67R 49.60
ManagerR 43.03R 53.78
Schedule 2: Wholesale and Retail Minimum wages as per Sectoral Determination 9

For Employees who work more than 27 hours per week as per Clause 2(2):

Job CategoryRate per hourRate per week Rate per month
General Assistant / Trolley CollectorR 23.19R 1 043.55R 4 521.70
Security GuardR 23.19R 1 043.55R 4 521.70
Forklift OperatorR 23.19R 1 043.55R 4 521.70
Driver < 3 500kgR 23.19R 1 043.55R 4 521.70
Merchandiser / Shop Assistant / Checker / Deli AssistantR 23.19R 1 043.55R 4 521.70
CashierR 23.19R 1 043.55R 4 521.70
Driver > 3 501 < 9 000kgR 23.19R 1 043.55R 4 521.70
Clerk / Sales Assistant / Sales person / Block man / BakerR 26.61R 1 197.45R 5 188.55
Driver > 9 001 < 16 000kgR 28.86R 1 298.70R 5 627.27
DisplayerR 25.73R 1 157.85R 5 016.96
Driver > 1 6001kgR 31.73R 1 427.85R 6 186.87
SupervisorR 32.29R 1 453.05R 6 296.07
Trainee ManagerR 34.52R 1 553.40R 6 730.88
Assistant ManagerR 38.02R 1 710.90R 7 413.33
ManagerR 41.23R 1 855.35R 8 039.23
Schedule 2: Wholesale and Retail Minimum wages as per Sectoral Determination 9

It is therefore important that Employers ensure that they have updated their payroll accordingly to comply with the above increases.

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