The Minister of Employment and Labour has published Gazettes setting out the increases in the NMW, various Sectoral Determinations as well as the “earnings threshold”. These will be effective on 1 March 2021 and the table set out below summarises the situation that employers will face come 1 March 2021.
It is common knowledge that the business representatives made a minority submission to the NMW Commission that most of these increases that are above CPI (3% at the time) would further damage the ailing economy and employment prospects. In particular, the equalisation of farm workers to the general minimum wage with immediate effect from 1 March 2021 represents around a 16% increase and that of domestic workers an 18% increase.
These increases come at a difficult time for both employers and employees – the latter struggling to recover from the impact of Covid-19 disruptions on earnings and employment prospects.