Extending minimum wage to EPWP could cost billions

The government might have to fork out an extra R10bn if the National Economic Development and Labour Council (Nedlac) decides that temporary workers employed under the Expanded Public Works Programme (EPWP) be included in the national minimum wage. Business Report reports that it has emerged after business, government, community-based organisations, the Federation of Unions of SA and the National Council of Trade Unions signed the minimum wage agreement to be implemented in May 2018 that the social partners in Nedlac have agreed to meet to discuss outstanding issues on the minimum wage. According to the agreement, the minimum wage, which provides for R20 an hour, will be overseen by a seven-member commission. The commission has been tasked to decide, among other things, whether EPWP participants should be excluded from the minimum wage since they are paid an R83-a-day stipend. The report notes the EPWP, launched in 2004, is a nationwide programme covering all government and state-owned enterprises aimed at poverty and income relief through temporary jobs.

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