Cosatu puts brakes on signing of R20 p/h minimum wage deal

Parties at the National Economic Development and Labour Council (Nedlac) have agreed to a R20 per hour national minimum wage which is due to take effect from May 2018.

However, the signing of the agreements of a national minimum wage have been postponed after the Congress of South African Trade Unions (Cosatu) asked for time to present the report Central Executive Committee (CEC).

Cosatu National Spokesperson Sizwe Pamla says the federation needs to consult with its members before signing the agreement, as it has some concerns.

Pamla says Cosatu feels the national minimum wage leaves out the most vulnerable among the country's workforce.

Cosatu want details from Labour Department on how the minimum wage will be enforced and how the wage will be determined across sectors, advises Pamla.

Cosatu has asked for time to engage with its workers and present feedback.

Pamla advises that the minimum wage could still be rejected by Cosatu members.

Meanwhile, Nedlac agreed that the minimum wage be reviewed on a yearly basis.

The signing ceremony for the minimum wage and labour law changes has been postponed until further notice.

Meanwhile, Wits professor Imraan Valodia says effective minimum wage laws have an impact on reducing inequality.

The evidence says that it has an impact to raise the incomes of the those who earn very little. It has an impact on poor workers.

Prof. Imraan Valodia, Chairperson of the Advisory Panel on National Minimum Wage

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