South Africa to Raise Minimum Hourly Wage 4.4%, Meets Union View

South Africa’s minimum hourly wage will increase by 4.4% to 28.79 rand ($1.53) from next month.

The raise, announced in the Government Gazette on Tuesday, almost matches labor-union officials’ inflation expectation of 4.5% for 2025. The National Minimum Wage Commission had recommended an increase of the December growth in the consumer price index, which was 3%, plus 1.5 percentage points.

While many businesses have said a prescribed minimum wage distorts the labor market and makes it difficult to employ more unskilled workers, commercial farmers’ group AgriSA said this year’s raise will support employees in the industry.

“This increase aims ...