Government Recommends a Pay Increase for Domestic Workers and Minimum Wage Employees, Cosatu Guns for 10% Hike

• The Department of Employment and Labour’s National Minimum Wage Commission is looking into increasing domestic workers' wages
• With the proposed wage increase, domestic workers could see themselves earning around R4 000 a month
• The national minimum wage will also see an increase of about 8%, but Cosatu says workers need an increase of at least 10%

JOHANNESBURG - The new year is getting off to a good start for domestic workers and people who get paid according to the minimum wage.

The Department of Employment and Labour’s National Minimum Wage Commission has recommended an above-inflation rate increase for the national minimum wage. This will effectively see domestic workers earning R25,05 per hour.

According to BusinessTech, the commission stated in December 2022 that it was probing the national minimum wage for 2023 and was looking at an increase of CPI (consumer price index)+0.5% or a CPI+1%.

Read also

Business news: International Monetary Fund warns of tough financial year for global economy in 2023

In 2022, the CPI was sitting at around 7% which means the national minimum could see an increase of at least 8%. The current national minimum wage is R23.19.

With the proposed minimum wage increase for domestic workers, employees could earn around R4 000 for 20 days worked, if they work eight hours a day.

Cosatu wants the minimum wage to increase by 10%

Cosatu General Secretary Solly Phetoe says the trade union has welcomed the proposed 8% minimum wage increase, but they were hoping for 10%.

Speaking on eNCA, Phetoe stated they would continue to push for a 10% increase but also acknowledged that an 8% increase is reasonable and would provide relief to millions of workers across the country.

"As Cosatu, we would love that the increase goes up to 10% for this year so that we can then be able to move quickly to the engagement of the living wage," said Phetoe.

Read also

26-year-old millionaire goes viral after quitting data analyst job for TikTok to make over R10m in 8 months

Phetoe explained that Cosatu made a submission of CPI+3% to the commission last year.

Domestic workers bill that seeks to offer formal benefits yet to be signed by President Cyril Ramaphosa

Briefly News previously reported that the Compensation for Occupational Injuries and Diseases Amendment Bill is awaiting a signature from President Cyril Ramaphosa for it to be turned into a law.

The bill was introduced to Parliament in September 2020 and seeks to give domestic workers formal workplace benefits. Labour minister Thulas Nxesi introduced the bill to allow domestic workers compensation for injury and disease that either occurred or were a result of labour.

According to BusinessTech, once Ramaphosa signs off on the bill, the Compensation Fund will accept claims from workers who are injured or passed away due to injuries while performing their duties. A domestic worker’s “main employer” will be held accountable for workplace-related injuries.

Source: Briefly News