# summary

- Link: https://dearsouthafrica.co.za/national-minimum-wage-2025/summary/
- Published: 2024-12-30T12:01:47+02:00
- Author: dearSA

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[ Have your say on the National Minumum Wage](https://dearsouthafrica.co.za/national-minimum-wage-2025/)

Public comments as delivered

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SUMMARY OF PUBLIC INPUT

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MEASURING THE IMPACT OF THE 2024 NATIONAL
 MINIMUM WAGE INCREASE

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THE LABOUR MARKET EFFECTS OF SOUTH AFRICA’S NATIONAL MINIMUM WAGE FIVE-YEAR REVIEW

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National Minimum Wage Commission proposal for 2025 adjustment

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**Satori News** Impact and Implications: Public Engagement Invited for South Africa’s
2025 Minimum Wage Proposal

South Africa’s National Minimum Wage Commission proposed a 2025 increase tied to
the Consumer Price Index plus 1.5%, currently estimated around R28.50 per hour. 
This follows a public input period ending January 14, 2025, with the final rate 
announced in February, effective March 1st. The commission considers various economic
factors in its annual review, aiming to balance worker needs with business viability.
The current minimum wage is R27.58, applicable to most workers.

There are mixed views about the national minimum wage. Labour Federation COSATU 
has proposed that the national minimum wage be increased in 2025 by the average 
inflation rate plus 3%, while the DA says a national minimum wage hike will deepen
South Africa’s unemployment crisis. The 30th of September marked the closing date
for the submission of written comments concerning possible adjustments to the national
minimum wage for next year.

There are mixed views about the national minimum wage. Labour Federation COSATU 
has proposed that the national minimum wage be increased in 2025 by the average 
inflation rate plus 3%, while the DA says a national minimum wage hike will deepen
South Africa’s unemployment crisis.

### In the Media

 * Moneyweb — [SA employer organisations oppose national minimum wage hike](https://www.moneyweb.co.za/news/south-africa/sa-employer-organisations-oppose-national-minimum-wage-hike/)
 * IOL — [National Minimum Wage Commission proposes increase for 2025](https://www.iol.co.za/business/jobs/national-minimum-wage-commission-proposes-increase-for-2025-c3a0285b-6c6c-4026-adc4-f531d27eefff)
 * COSATU — [COSATU welcomes the National Minimum Wage Commission’s recommendation for an inflation plus 1.5% increase for 2025](https://mediadon.co.za/2024/12/19/cosatu-welcomes-the-national-minimum-wage-commissions-recommendation-for-an-inflation-plus-1-5-increase-for-2025/)

### STATEMENTS AND MEDIA RELEASES

Click on a logo to view.

![COSATU-logo](https://cdn.dearsouthafrica.co.za/wp-content/uploads/2022/10/16161244/
COSATU-logo-small.jpg "COSATU-logo-small")

Want to display your organisation’s statement? [Click here. ](https://dearsouthafrica.co.za/national-minimum-wage-2025/summary/ nmw2025@dearsouthafrica.co.za?subject=org info for NMW 2025 info page)

Close

### COSATU

### COSATU welcomes the National Minimum Wage Commission’s recommendation for an inflation plus 1.5% increase for 2025

The Congress of South African Trade Unions (COSATU) welcomes the National Minimum
Wage (NMW) Commission’s recommendation for an inflation plus 1.5% increase for the
NMW from 1 March 2025.   Whilst COSATU had tabled a slightly higher proposal to 
the NMW Commission, we are pleased that our demand for a positive above inflation
increase has prevailed and secured the unanimous support of the Commission.

This increase will help protect the value of the NMW and workers’ ability to take
care of their families.  It will inject badly needed stimulus into the economy, 
spurring growth, sustaining and creating badly needed jobs.  It will provide relief
to 6 million workers earning within the NMW range in particular farm, domestic, 
[construction](https://www.polity.org.za/topic/construction), retail, hospitality,
[transport](https://www.polity.org.za/topic/transport), [security](https://www.polity.org.za/topic/security),
and [cleaning](https://www.polity.org.za/topic/cleaning) [workers](https://www.polity.org.za/topic/services).

The NMW Act mandates the Commission to ensure the NMW is not eroded by inflation
as this would plunge many workers deeper into debt, poverty and despair.   The NMW
Commission has asked for public comments until the 14^(th) of January 2025.  The
Federation will be presenting its submission to support the Commission’ recommendations
and finalise its proposals to the Minister of Employment and Labour. We urge the
Minister to move with speed to announce the final increase and ensure it comes into
effect by no later than 1 March 2025.  Workers cannot afford any delays.

COSATU is pleased with the progress that has been made with the NMW since it came
into effect in 2019 at R20 per hour.  Today it is R27.58 and will soon reach R30.
It has seen the wages of domestic workers rise from R15 and farmworkers R18 in 2019
to being equalised with the NMW.  This is a far cry from the poverty wages farm 
and domestic workers were paid a few years ago, at times as little as R6 an hour.
It is one of government led by President Cyril Ramaphosa and the African National
Congress’ most important and transformational achievements.

Engagements are taking place with the Department of Public Works and Infrastructure
on a road map to ensure that Expanded Public and Community Works Programmes’ workers
reach the NMW as well.  It is unacceptable that such workers remain pegged at 55%
of the NMW.  This must now come to an end.

Whilst we have made progress, it is critical the Department of Employment and Labour
cracks down on employers who ignore the NMW Act.  Equally, we expect unions across
the board to work together to expose such employers.  Organised [Business](https://www.polity.org.za/topic/business)
must play its part. It is unacceptable that an estimated 45% of employers refuse
to comply with the NMW. This matter should be treated as a criminal offence it is
and such employers made to face the full force of the law. These employers cannot
be allowed to behave like they are above the country’s laws and treat their employees
little better than slaves.

The Minister’s progressive commitment to employ 20 000 inspectors over the next 
three years must be expedited to ensure the abhorrent defiance of the rule of law
by some employers is dealt with decisively.

Many miserly critics of the NMW said before it came into effect in 2019 that it 
would lead to a job’s bloodbath.  Independent research by the University of Cape
Town has shown this not to be the case.  It has had a positive impact on reducing
poverty and inequality levels and boosting the economy.  Other countries who have
introduced a NMW like the US, Germany and Brazil have had similar positive experiences.

Beyond the NMW, government needs to tackle the network and other obstacles to growing
the economy in particular cable theft, aging [infrastructure](https://www.polity.org.za/topic/infrastructure),
endemic crime and corruption, and entrenched poverty and inequality.  These are 
critical to fixing the state, unlocking the economy, creating decent jobs as well
as ensuring workers earn a living wage.

**Issued by COSATU **

Matthew Parks (COSATU Parliamentary Coordinator)

Mobile: 082 785 0687

Email: [matthew@cosatu.org.za](https://dearsouthafrica.co.za/national-minimum-wage-2025/summary/matthew@cosatu.org.za)
