The minimum wage for South Africa’s vulnerable sector of hospitality has been revised and the new wage structure will take effect from 1 July 2018, as announced in a media statement posted on the Department of Labour’s website.

The new Hospitality Sectoral Determination, which governs minimum wage rates in this sector, will be effective until 30 June 2019.

The new minimum wages for employers with 10 or less employees will be:

• A monthly wage of R R3 384.71 (from R2 959.35 in 2016/2017);
• A weekly rate of R R781.14 (from R689.97 in 2016/2017);
• And an hourly rate of R17.34 (from R15.17 in 2016/2017).

The new minimum wages for employers with more than 10 employees will be:

• A minimum monthly wage of R3 772.65 (from R3 298.52 in 2016/2017);
• A weekly rate of R870.62 (from R761.25 in 2016/2017);
• And an hourly rate of R19.35 (from R16.91 in 2016/2017).

The current wage increases have been determined by utilizing the April CPI (excluding owners’ equivalent rent) reported by Stats SA on the 23 May 2018 which is 4.5% plus 1.5% as prescribed in the Sectoral Determination. Therefore the total increase is 6%.

If you need assistance with incorporating the changes into your company’s payroll system, or have any other questions, our friendly consultants are standing by to help you.  Simply give us a call on 010 591 2080 or send an email to