South Africa’s Minimum Wage to Increase in March 2025: What Employers Need to Know
The national minimum wage (NMW) in South Africa is set to increase from 1 March 2025, bringing changes for employers and workers across various sectors. Understanding these updates is essential to ensure compliance and fair wages for employees.
New Minimum Wage: R28,79 Per Hour
The general minimum wage will rise from R27,58 to R28,79 per hour—a 4.4% increase. This adjustment applies across most industries, ensuring a baseline wage standard for workers.
Farmworkers and Domestic Workers
Previously, farmworkers and domestic workers had separate wage structures. However, in recent years, these sectors have been aligned with the national minimum wage. From March 2025, their wage rate will remain the same as the general NMW at R28,79 per hour.
Sector-Specific Minimum Wages
While most workers fall under the new NMW, some sectors have different rates:
Expanded Public Works Programme (EPWP) Workers: R15,83 per hour
Learnership Agreements (under the Skills Development Act): Varies – see official Government Gazette for details
Wholesale and Retail Sector (SD9): Minimum rates depend on job categories, with the lowest matching the NMW at R28,79 per hour
Contract Cleaning Sector (SD1):
Metropolitan areas: R31,69 per hour
Certain rural areas: R28,79 per hour
For exact figures, consult the official Government Gazette.
What’s Not Included in the Minimum Wage?
It’s important for employers to note that the NMW applies only to basic wages and does not include:
Allowances for work-related expenses (e.g., transport, equipment)
Payment in kind (e.g., food, accommodation)
Bonuses, tips, or gratuities
Exemptions: Can Employers Apply?
Businesses facing financial constraints may apply for an exemption from the new wage rates. Applications can be submitted through the National Minimum Wage Exemption System online at https://nmw.labour.gov.za or at any Department of Employment and Labour branch.
Final Thoughts
This wage adjustment is a key step in ensuring fair pay for workers across South Africa. Employers should review their payroll structures to comply with the new regulations by 1 March 2025. Staying informed and prepared will help businesses avoid penalties while supporting fair labor practices.
For more details, refer to the official Government Gazette.
