Today's Labour News

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earningsFinancial Mail writes that ten months after its introduction, the national minimum wage (NMW) of R20 an hour has not caused a jobs bloodbath.  

Nor have firms flooded the Department of Employment and Labour (DEL) looking for exemptions, although it might well have discouraged the hiring of new entry-level workers.  According to the CCMA, of the 19,500 claims it has received so far this year under the Basic Conditions of Employment Amendment Act and the NMW Act, only 1,823 (9%) related to the NMW Act alone.  Most of these were for firms not raising wages in line with the NMW, or for making unilateral changes to the terms and conditions of employment as a result of the NMW.  Only 94 claims involved dismissal disputes.  So, assuming one claim per worker, fewer than 100 workers have claimed to have been unfairly dismissed since January this year because of the introduction of the NMW.  So far, 519 firms have applied to the DEL for exemption from the NMW.  It has granted 323 (62%) of these claims and refused 160 (30%), with the rest either still pending or withdrawn.  Business Unity SA’s (Busa’s) Kaizer Moyane said member firms had not expressed much concern over the policy’s implementation.  "I am not aware of a single entity that has said it had to retrench workers because of the NMW," Moyane indicated.

  • Read the full original of the report in the above regard by Ntwaagae Seleka at BusinessLive (paywall access only)


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