The National Minimum Wage Commission has released its recommendation on the 2026 increase in the national minimum wage. The Department of Labour and Employment released a statement on Thursday inviting the public to submit comments on the proposed increase. The minimum wage is currently at R28.79 per hour, affecting approximately 5.5 million workers.
“The National Minimum Wage Commission recommends that the minimum wage for 2026 be adjusted by the rate of the consumer price index, plus 1.5%,” reads the statement. The rate of consumer price index is 3.6%, this plus the 1.5% suggests an increase of 5%, which will put the minimum wage for 2026 around R30 per hour. The national minimum wage was introduced and came into effect on 1 January 2019 under the National Minimum Wages Act of 2018, establishing a minimum wage floor to protect low-paid workers and reduce inequality, starting at R20 per hour.
This was a major policy step, building on earlier sectoral minimums and addressing wage disparities. The National Minimum Wage Commission said the recommendation follows an exhaustiveannual review processthat considers research conducted on the impact of the national minimum wage, public input, input from economic and industry experts, and extensive deliberations among the commissioners. “It is important to take note that the rate of inflation that will be implemented will be the inflation rate six weeks prior to the first of March, which is the date that the new minimum wage comes into effect.” The commission invites the public to further submit their written representations, as these provide valuable insight into how the proposed wage adjustment may affect workers, employers, and the economy at large.
Read Full Article on The Citizen