Agri SA appreciates balanced approach to latest minimum wage increase of 4.4%
Industry body Agri SA has stated its appreciation for the National Minimum Wage Commission having strived to take a balanced approach in the latest national minimum wage increase of 4.4%, effective March 1.
The adjustment raises the minimum wage from R27.58 to R28.70 an hour, which Agri SA says reflects the complex economic landscape currently faced by many sectors in South Africa, including agriculture.
Agri SA CEO Johann Kotzé explains that the national minimum wage increase is aimed at safeguarding the livelihoods of farmworkers, while also considering the long-term sustainability and competitiveness of the agriculture sector.
The sector employs about 935 000 people, which necessitates that wages be fair and viable, particularly in rural areas.
The agriculture sector is already grappling with factors such as sluggish GDP growth and drought conditions across many farming regions, which places considerable strain on producers.
However, with the anticipated La Niña rainfall this season and some economic improvement, agricultural GDP could grow by 3.5% this year.
Agri SA remains steadfast in its commitment to fostering a sustainable agriculture landscape in South Africa despite the current hurdles.
“We believe that by enhancing job creation initiatives and advocating for policies that support both workers and employers, we can cultivate a thriving agriculture sector that benefits all stakeholders,” Kotzé concludes.
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