Fin24 reports that minimum wage increases will come into effect for the hospitality industry on 1 July and will be applicable until June 30 2017, the Federated Hospitality Association of Southern Africa (Fedhasa) in the Cape region cautioned on Tuesday.  

The annual minimum wage rate increase for the hospitality industry is usually based on CPI plus a percentage, which has varied over the last few years from +1% up to +2%.  For a 45-hour week, the current minimum wage per month is R3,076.98.  At a Department of Labour (DoL) hearing earlier this year, some unions asked for a CPI +2% annual increase, while Fedhasa’s position was an increase in line with CPI.  Fedhasa also lobbied for a geographical differential in minimum wages as well as other adjustments.  The results of the hearing are expected to be published in May.

• Read this report by Carin Smith in full at Fin24

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