{"id":804665,"date":"2024-12-18T17:56:34","date_gmt":"2024-12-18T15:56:34","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=804665"},"modified":"2024-12-18T17:56:43","modified_gmt":"2024-12-18T15:56:43","slug":"here-is-the-proposed-wage-hike-for-domestic-workers-in-2025","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/lifestyle\/804665\/here-is-the-proposed-wage-hike-for-domestic-workers-in-2025\/","title":{"rendered":"Here is the proposed wage hike for domestic workers in 2025"},"content":{"rendered":"\n

The National Minimum Wage (NMW) Commission has announced its proposed national minimum wage increase for 2025, recommending a hike of CPI+1.5%.<\/p>\n\n\n\n

This follows the commission’s recent invitation for written representations on potential adjustments to South Africa\u2019s NMW for 2025.<\/p>\n\n\n\n

On Wednesday (18 December 2024), the NMW Commission published a report in the government gazette, outlining its recommendations for the annual review of the national minimum wage. <\/p>\n\n\n\n

The report also invites the public to submit written representations.THis deadline is set for 14 January 2025.<\/p>\n\n\n\n

According to the commission, the Consumer Price Index (CPI), which measures changes in the prices paid by consumers for goods and services over time, is a key factor in these considerations. <\/p>\n\n\n\n

As of November 2024, South Africa\u2019s CPI stood at 2.9%,\u00a0a slight increase from 2.8% in October 2024.<\/p>\n\n\n\n

At current inflation levels, the NMW would increase to around R28.50 – however, this depends on CPI.<\/p>\n\n\n\n

“It is important to take note that the rate of inflation that will be implemented will be the inflation rate six weeks prior to the 1st of March (i.e. December CPI published in January), <\/strong>which is the date that the new minimum wage comes into effect,” it said.<\/p>\n\n\n\n

When considering the NMW hike, the commission said it includes representatives from organized labour, business, community, and experts in labour market and employment conditions.<\/p>\n\n\n\n

Under the NMWA, the Commission is responsible for annually reviewing and recommending adjustments to the national minimum wage. It also investigates and reports annually to the Minister on the impact of the national minimum wage on the economy, collective bargaining, and income differentials, making this information available to the public.<\/p>\n\n\n\n

As of 2024, the national minimum wage in South Africa is R27.58 per hour. This rate is applicable to all workers, including farm workers and domestic workers. However, workers employed under the Expanded Public Works Programme (EPWP) have a minimum wage of R15.16 per hour.<\/p>\n\n\n

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The minimum wage represents the lowest remuneration that employers are legally permitted to pay their employees for each ordinary hour worked. It is illegal for employers to pay their employees less than this minimum threshold.<\/p>\n\n\n\n

The Commission considers several factors in its annual adjustment of the minimum wage. These include:<\/p>\n\n\n\n