Big changes ahead for South Africa's national minimum wage
Every year, the commission calls for public submissions before compiling recommendations for the Minister of Employment and Labour.
These recommendations shape the new wage level, which no employer is legally allowed to pay below. Submissions for 2026 adjustments must be received by the Department of Employment and Labour by 18 September 2025.
Currently, the national minimum wage is R28.79 per hour, implemented in March 2025 after a 4.4 percent increase in line with inflation.
This translates to about R4 737 per month for a 38-hour week, or R5 610 per month for a 45-hour week.
The 2026 review is significant because it marks the final year of the commission's medium-term targets announced in 2023.
Those targets are committed to annual hikes above inflation, ensuring wages grow in real terms rather than losing value. Future increases will be linked to the consumer price index (CPI) and the median wage level in South Africa.
Factors guiding the commission's recommendations include inflation, cost of living, GDP, collective bargaining, and the ability of employers, particularly small businesses, to absorb wage increases without shedding jobs.
Workers and unions typically welcome higher increases, while employers often warn of rising costs in an already fragile economy.
In 2024, for instance, the wage rose by 9.62 percent, sparking backlash from business groups, while the more modest 4.4 percent increase in 2025 was seen as a compromise.
Given current inflation trends, workers can expect at least a 3 percent rise in 2026, pushing the hourly minimum to around R29.65 or higher.
Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1
Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Citizen
9 hours ago
- The Citizen
Public called to comment on national minimum wage adjustment
With the National Minimum Wage (NMW) currently at R28.79 per hour, the NMW Commission is calling for public input on possible adjustments for next year. The current rate was announced in February by Employment and Labour Minister Nomakhosazana Meth. The minimum wage is the lowest remuneration rate employers are legally permitted to pay their employees for each ordinary hour worked. The commission is responsible for annually reviewing and recommending adjustments to the National Minimum Wage. 'It 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,' said departmental spokesperson Teboho Thejane. The public has been given until 18 September to make written submissions. Representations should go to the directorate: Employment Standards, Department of Employment and Labour, Private Bag X117, Pretoria, 0001 or [email protected] Don't have the ZO app? Download it to your Android or Apple device here: HAVE YOUR SAY Like our Facebook page and follow us on Twitter. For news straight to your phone invite us: WhatsApp – 060 784 2695 Instagram – zululand_observer
The South African
11 hours ago
- The South African
Big changes ahead for South Africa's national minimum wage
South Africa's National Minimum Wage (NMW) is set for another shake-up as the NMW Commission opens consultations for 2026 adjustments. Every year, the commission calls for public submissions before compiling recommendations for the Minister of Employment and Labour. These recommendations shape the new wage level, which no employer is legally allowed to pay below. Submissions for 2026 adjustments must be received by the Department of Employment and Labour by 18 September 2025. Currently, the national minimum wage is R28.79 per hour, implemented in March 2025 after a 4.4 percent increase in line with inflation. This translates to about R4 737 per month for a 38-hour week, or R5 610 per month for a 45-hour week. The 2026 review is significant because it marks the final year of the commission's medium-term targets announced in 2023. Those targets are committed to annual hikes above inflation, ensuring wages grow in real terms rather than losing value. Future increases will be linked to the consumer price index (CPI) and the median wage level in South Africa. Factors guiding the commission's recommendations include inflation, cost of living, GDP, collective bargaining, and the ability of employers, particularly small businesses, to absorb wage increases without shedding jobs. Workers and unions typically welcome higher increases, while employers often warn of rising costs in an already fragile economy. In 2024, for instance, the wage rose by 9.62 percent, sparking backlash from business groups, while the more modest 4.4 percent increase in 2025 was seen as a compromise. Given current inflation trends, workers can expect at least a 3 percent rise in 2026, pushing the hourly minimum to around R29.65 or higher. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
IOL News
11 hours ago
- IOL News
Business owners, workers urged to have their say on national minimum wage adjustments for 2026
Stakeholders, including business owners and workers, have been urged to submit their views on potential adjustments to the national minimum wage for 2026. Image: File The National Minimum Wage (NMW) Commission is calling on all interested parties or stakeholders to make written submission for possible adjustments to the NMW for 2026. The Commission said it will provide its annual report and recommendations on a possible adjustment to the National Minimum Wage to the Minister of Employment and Labour later this year. A statement from the Department of Employment and Labour said NMW chairperson Imraan Valodia was urging all interested parties to take the opportunity to have their say in the possible adjustment. The department statement said the NMW is the lowest remuneration rate that employers are obligated and legally permitted to pay their employees for each ordinary hour worked. It is illegal for employers to pay their employees less than the minimum threshold. The NMW was first introduced for implementation in South Africa in 2019. 'The minimum wage is currently fixed at R28,79 for each ordinary hour worked. The current rate was announced in February 2025 by Minister of the Department of Employment and Labour, Nomakhosazana Meth.' The current rate was increased by 4.2% compared to last year's rate. The Commission is responsible for annually reviewing and recommending adjustments to the national minimum wage. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ 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. The department said comments should reach the directorate: Employment Standards, Department of Employment and Labour, Private Bag X117, Pretoria, 0001 or be sent to nmwreview@ by September 18. In addition to making representations on NMW, the Commission is appealing to interested parties to complete a survey questionnaire which can be accessed here or via the Department of Employment and Labour's website and social media pages. THE MERCURY
