'Key elements in the 2017 agreement were not taken forward in minimum wage bill'

There has been mixed reaction to the passing of the controversial national minimum wage bill with the South African Federation of Trade Union (Saftu) saying it will intensify its fight against the minimum wage of R3,500 per month or R20 an hour.

Members of Parliament on Tuesday passed the bill following months of discussions and public hearings.

Co-director of the newly-established Institute for Economic Justice Neil Coleman was the labour's lead negotiator between 2015 and 2017 at the National Economic Development and Labour Council (Nedlac).

He says the initial package tried to ensure that there would be an effective mechanism to ensure that the value and impact of the national minimum wage progressively improves over time and reduces wage inequality.

He says however changes were made which failed to incorporate critical elements in the drafting of the bill.

That history is very important. We arrived at a package which was negotiated with the deputy president at the time at the head of what was called the committee of principles. That package was finalised in February 2017 and was supposed to be translated into legislation.

Neil Coleman, Co-director of the newly-established Institute for Economic Justice

Unfortunately that was left to the department of labor to do and when they came with legislation in May we were quite shocked to see that key elements of the package were not present and new elements which were not considered in negotiations - in particular the proposed scrapping of the sectoral determinations...

Neil Coleman, Co-director of the newly-established Institute for Economic Justice

That is water under the bridge and what had happened was the department said time is up, we will just have to agree to disagree and you will have to fight this out in the parliamentary process.

Neil Coleman, Co-director of the newly-established Institute for Economic Justice

He continues to raise some of what was left out in the 2017 negotiations and agreement.

The sectoral determination was one issue, another issue was the question of the annual increases in the national minimum wage which is agreed would keep pace with inflation that has been taken out of the legislation in its original form. The second issue was that we insert a medium term target.

Neil Coleman, Co-director of the newly-established Institute for Economic Justice

Click on the link below to listen to the full discussion....


This article first appeared on 702 : 'Key elements in the 2017 agreement were not taken forward in minimum wage bill'


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
1 MILLION job losses predicted under new minimum wage laws

1 MILLION job losses predicted under new minimum wage laws

Experts are predicting massive job losses following the implementation of the R20 per hour minimum wage.

Saftu plans two-day city occupation over minimum wage demands

Saftu plans two-day city occupation over minimum wage demands

Saftu General-secretary Zwelinzima Vavi says they are drafting a new plan of action to challenge the minimum wage.

[LISTEN] Saftu, Nactu and Fedusa speak ahead of the planned national strike

[LISTEN] Saftu, Nactu and Fedusa speak ahead of the planned national strike

On Wednesday, workers will embark on a nationwide protest against a proposed minimum wage of R20 per hour.

'Minimum wage only gives us a foundation for a living wage'

'Minimum wage only gives us a foundation for a living wage'

Cosatu spokesperson Sizwe Pamla says the proposed minimum wage should not be dismissed.

'Min wage (R3500) to cause retrenchments, but for many it’ll be a big relief'

'Min wage (R3500) to cause retrenchments, but for many it’ll be a big relief'

The Money Show’s Bruce Whitfield interviews SA Payroll Association Exco Member Nicolette Nicholson.

Popular articles
Why are African teams under performing in the 2018 World Cup?

Why are African teams under performing in the 2018 World Cup?

With only five teams in the World Cup, Africa's performance hasn't exactly been memorable, so what could be the problem?

[Listen] Local hero saves family from fire

[Listen] Local hero saves family from fire

A CapeTalk listener shares the story of a young man who saved a family of five from a burning house.

Woman exposed for calling fellow aircraft passengers the K-word

Woman exposed for calling fellow aircraft passengers the K-word

Reverend Solomuzi Mabuza says he is considering laying charges against the woman for calling him a ka***r.

What business is Nomgcobo Jiba doing at NPA offices?

What business is Nomgcobo Jiba doing at NPA offices?

Freedom Under Law is demanding an explanation from the NPA after Jiba was spotted at their offices, defying a court order.

Hate plastic? Grocer Nude Foods doesn’t have any of it! It’s also cheaper…

Hate plastic? Grocer Nude Foods doesn’t have any of it! It’s also cheaper…

The concept is not new, or a hipster fad. The Money Show’s Bruce Whitfield interviews Nude Foods founder Paul Rubin.

Why Ethiopian Airlines (not SAA) is Africa's biggest and best airline

Why Ethiopian Airlines (not SAA) is Africa's biggest and best airline

State-owned (but not managed) Ethiopian Airlines is profitable. Bruce Whitfield interviews Africa correspondent Lee Kasumba.

Willemse will take Supersport to Equality Court over walk-out findings

Willemse will take Supersport to Equality Court over walk-out findings

On Tuesday, SuperSport released the findings of an investigation by Advocate Vincent Maleka.

You aren't legally entitled to an annual increase (and why your contract is key)

You aren't legally entitled to an annual increase (and why your contract is key)

Employment law litigator Joe Mothibi explains that an annual increase is not a given unless stated otherwise in the job contract.

Callers ask what will happen to Ashwin Willemse after MultiChoice findings

Callers ask what will happen to Ashwin Willemse after MultiChoice findings

On Tuesday SuperSport and Multichoice's said there was no evidence of racism following an investigation into the incident in May.

LISTEN: What's AfriForum's private prosecution attempt against Jiba about?

LISTEN: What's AfriForum's private prosecution attempt against Jiba about?

AfriForum's Kallie Kriel says Jiba abused her position to fabricate a case against former KZN Hawks head General Johan Booysen.