The Hospitality Sector is about to be turned on its head with the proposals that could see a change in minimum wages, annual increases and any other conditions of employment related to the operation of the sector.
Mogodi Masenya, Assistant Director for Employment Standards in the Department of Labour was addressing employers and employees from the sector during the deliberations at a public briefing session in Polokwane (Limpopo) on Tuesday.
“We want to appeal to you that during the process of this deliberation you consider the Employment Condition Commission (ECC ) criteria which seek to ensure that there is creation and retention jobs, alleviation of poverty, cost of living, impact on conditions of Occupational Health and Safety aspects as well as the ability for the business to be conducted successfully.”
The ECC is the body that advise the Minister on wages and other conditions of employment. The Sectoral Determination on Taxi Industry was promulgated on 15 May 2007.
The current minimum wage for employers with 10 or less employees sits at R2 240.60 per month, while employers with 10 employees or more will pay R2 495.80 per month and will expire on 30 June 2013.
“The approach was informed by the fact that the majority of employees in the hospitality sector are employed by small firms such as those with 10 employees or less. The industry employs over five hundred thousand people and is considered to have an immense contribution towards the Gross Domestic Product (GDP) in the country.
Masenya said “on the basis of commission payment, an agreement in writing may allow a worker to perform commission work.
"The agreement must include the worker’s wage, basis for calculation of commission, period for which commission will be calculated, date when commission will be paid as well as type and profit for which the commission will be earned.
"In no way must the commission be presented as a worker’s wage. Workers must receive a minimum wage over and above the commission.”
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