Minimum wage results in certainty for agriculture sector – AgriSA

10th February 2017 By: Megan van Wyngaardt - Creamer Media Contributing Editor Online

South Africa’s agriculture sector will, as from March this year, start paying its labourers R15.39 an hour, as per the long-anticipated new national minimum wage that was announced by Deputy President Cyril Ramaphosa this week.

“This brings certainty for agriculture regarding the remuneration levels that will be payable in the next year,” AgriSA labour committee chairperson Neil Hamman said.

The new national minimum wage, which will take effect on May 1, 2018, is based on an hourly rate of R20, but the agricultural sector will initially have to pay only 90% of that rate, or R18 an hour. It will start paying R20 an hour as from May 1, 2019.

AgriSA noted, however, that many farmers have not yet recovered from the impact of the drought and advised farmers that, those who are unable to afford the higher wages, may apply for a Section 50 variation before the national minimum wage comes into effect in 2018.

However, a variation can only be granted for a period of one year, serving as temporary relief.

Between March 1, 2017, and February 28, 2018, the monthly minimum wage in the agricultural sector will be R3001.13, the weekly wage R692.62 and the daily wage R138.52 – applicable to a worker who works nine hours a day.