New National Minimum Wage: Both futile and destructive

2-minute read
07 February 2024 | 16:59 CAT

The proposed National Minimum Wage hike for 2024. Photo/ BusinessTECH

Only some people are happy with the new National Minimum Wage Minister of Employment and Labour Thulas Nxesi announced on Friday, taking the minimum wage for a general worker from R25.42 to R27.58 per hour from 1 March.

Chief Executive of the National Employers Association of South Africa (NEASA),
Gerhard Papenfus speaks on Radio Islam International on the recently announced 8.5/ increase to the national minimum wage and its potential implications for employment in the economy.

Papenfus points out that Employment and Labour Minister Thulas Nxesi’s announcement of an 8.5% increase to the national minimum wage is based on the advice and recommendations of the National Minimum Wage Commission (NMWC).

According to him, the NMWC “ignored the input of numerous business institutions and trade unions who warned of the dire consequences of implementing further increases and the calls for the scrapping of the national minimum wage and simply proceeded with recommending the implementation of its own original proposals”.

Papenfus adds that how the NMWC reached its conclusion shows the “futility” of the public participation process leading up to its eventual recommendation.

He suggests that the solution lies in a growing economy, robust labour market arrangements, and a new approach to working.

Listen to the full interview on The Daily Round-Up with Moulana Junaid Kharsany.

Abandoned Refugees!

Rabia Mayet | rabiamayet@radioislam.co.za 18 June 2026 2-minute read As documented refugees line the streets in Durban, forced to live and sleep outside the Home Affairs office, concerns have been raised by over 130 community civic organizations, trade unions and...

50 Years On

Rabia Mayet | rabiamayet@radioislam.co.za 16 June 2026 3-minute read 50 years since the Soweto uprising, when thousands of schoolchildren took to the streets to protest Bantu education and the imposition of Afrikaans as a medium of learning, questions on whether the...

Iran-US Deal

Rabia Mayet | rabiamayet@radioislam.co.za 15 June 2026 2-minute read Diplomatic efforts between Iran and the US have culminated in a “done deal” barring Israel spoiling it, with both Iran and the US agreeing to the Memorandum of Understanding which will be signed on...

Middle East Report

12 June 2026 | 12:25 CAT 2-minute read Iran-US Negotiations Possible; Deep Disputes Remain During this week’s Middle East Report, analyst James Dorsey examined the latest signals of shifting tensions between the United States and Iran, as reports of renewed diplomatic...

UUCSA Engages Political Parties on Muslim Civic Consensus

10 June 2026 | 21:53 CAT 2-minute read The United Ulama Council of South Africa (UUCSA) convened a Municipal Elections Indaba in Ormonde, Johannesburg. The three-day event, which concluded earlier today, was hosted by the UUCSA Political Strategy Committee to...

Ramaphosa’s immigration plan faces criticism over leadership gap

9 June 2026 | 11:35 CAT 4-minute read Immigration address indicates response, not leadership President Cyril Ramaphosa's address to the nation on immigration and rising tensions targeting foreign nationals has drawn both praise and criticism. The president outlined a...