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South Africa – Minimum wage increased by +7.7% in the hospitality sector

10 July 2014

Hospitality sector workers across South Africa will receive a higher minimum wage, effective from 1 July 2014, reports allafrica.com. The new minimum wage will run until 30 June 2015 and represents an increase of +7.7%.

The Labour Department explained that in terms of the sectoral determination, which prescribes minimum wage rates and conditions of employment in the hospitality sector, the new rate increases are demarcated into two categories.

Table 1: Minimum wage for employers with 10 or fewer employees
Minimum rate for the period Minimum rate for the period
1 July 2013 to 30 June 2014 1 July 2014 to 30 June 2015
Monthly Weekly Hourly Monthly Weekly Hourly
ZAR 2,415.86 ZAR 557.55 ZAR 12.39 ZAR 2,601.88 ZAR 600.48 ZAR 13.34
USD 226 USD 52 USD 1.16 USD 243 USD 56 USD 1.25
Table 2: Minimum wage for employers with 10 or more employees
Minimum rate for the period Minimum rate for the period
1 July 2013 to 30 June 2014 1 July 2014 to 30 June 2015
Monthly Weekly Hourly Monthly Weekly Hourly
ZAR 2,692.74 ZAR 621.45 ZAR 13.81 ZAR 2,900.08 ZAR 669.30 ZAR 14.87
USD 252 USD 58 USD 1.29 USD 271 USD 63 USD 1.39

The hospitality sector covers any commercial business or part of a commercial business in which employers and workers are associated for the purpose of carrying on or conducting one or more activities for payment.