The South African government has increased the National Minimum Wage to R28.79 per hour, aiming to improve living standards. However, the increase comes amidst economic challenges, particularly for domestic workers who have faced job losses and wage suppression.
The Department of Employment and Labour recently announced a rise in the National Minimum Wage for South Africa n workers, boosting hourly pay to R28.79. This represents a 4.4% increase from last year's rate of R27.58 and will take effect on March 1, 2025. The adjustment aligns with inflation trends and aims to enhance the living standards of numerous workers across the nation.
The updated minimum wage will apply universally to all workers, encompassing those in both domestic and agricultural sectors. However, workers participating in the government's expanded public works program will receive a lower hourly rate of R15.83. Contract cleaners employed by major and select municipalities will earn a higher rate of R31.69 per hour, reflecting a higher wage for specific industries. For most workers, the new rate translates to R1,295.55 per week (based on a 45-hour workweek) and R5,613.62 per month. While the wage increase is anticipated to have diverse impacts across sectors, domestic workers, although benefiting from the mandated raise, face mounting challenges within an industry already under significant strain due to economic factors. Domestic work experienced a decline following the COVID-19 pandemic, resulting in an estimated loss of 150,000 jobs, as indicated in the latest Quarterly Labour Force Survey. Despite a slight recovery, the sector has not fully rebounded to the over 1 million jobs recorded at the end of 2019. This decrease is partly attributed to the financial pressures faced by private households, which are often the primary employers of domestic workers. During economic hardship, such as inflation and high interest rates, many households have opted to reduce domestic help as a cost-saving measure. Emigration has also contributed to this trend, with households choosing to let go of domestic workers as they relocate abroad. According to the 2024 Domestic Worker Report, 21% of domestic workers lost their jobs between 2023 and 2024, with a significant portion of these losses linked to employers' inability to afford wages. Data revealed that the average monthly wage for women was only R3,349, and for men, R3,059 – significantly lower than the R5,600+ that full-time workers should earn under the new minimum wage. The challenges faced by domestic workers in 2025 are likely to persist, with some employers potentially reducing staff instead of complying with the wage increase. Others may continue to underpay workers, risking legal consequences
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