South Africa’s minimum wage to be revealed on Sunday
A South African government advisory panel will give its recommendations for the country’s minimum wage bill on Sunday, deputy president Cyril Ramaphosa said on Friday.
The country’s official unemployment rate is close to 25 percent, and inequality remains to be an issue 25 years after the end of apartheid.
Supporters of a minimum wage say it can stimulate growth as workers can spend more while reducing inequality. Critics say it could lead to increase unemployment as employers will be unable to afford higher wage bills.
“The magical number that everyone is waiting for will be out on Sunday,” Ramaphosa said on the sidelines of a labour conference in Johannesburg, local news agency EyeWitness News reported.
Ramaphosa set up a panel drawn from labour, private sector and academics to propose the minimum wage as part of the government’s efforts to address income disparities, low wages and a wave of violent and protracted strikes in recent years.
Analysts have said the recommended minimum wage will likely be in the range of 3,500 to 4,500 rand per month.