Minimum wage for workers in hotels, resorts

By Mawande Jack Labour Correspondent

LABOUR Minister Membathisi Mdladlana is set to introduce a minimum wage for workers in hotels, restaurants, holiday resorts and in small, micro and medium enterprises next week.

The fast-growing hospitality industry workforce, where most do contract work, and numerous others in restaurants who do casual work and are dependent on tips for wages, will be granted their own minimum wage – including double pay for Sunday work, the labour department said.

It said a high proportion of them were women who were compelled to work long hours with no overtime pay, secure contracts or other benefits.

These women will join other vulnerable groups like the taxi drivers and domestic and farm workers who already enjoy minimum wage benefits.

Cosatu has welcomed Mdladlana‘s introduction of “measures to curb the exploitation of these workers”. National spokesman Patrick Craven said: “Any measure introduced to raise the wages of this undoubtedly most exploited workforce is welcome.”

However, Cosatu said the problem was with implementation, as employers often failed to abide by the rules.

The minister will announce the very first minimum wage and benefits for this sector on the eve of his budget vote in Parliament on Tuesday. Workers in hotels, resorts and small, micro, and medium-sized enterprises will be protected as the demand for these workers grows ahead of the 2010 World Cup.

Hospitality industry employers saw the development as a non-issue.

Adrian Gardiner of Shamwari Game Reserve said he had been “paying these workers even more than was expected. This is no issue to us.”

Nelson Mandela Metropolitan University tourism unit head Peter Myles said he hoped there would be an agreement among parties involved about what constitutes a fair minimum wage.

He said: “If imposed this could have a negative impact on the industry, resulting in hotel downgrading and the use of less labour.”

Minister‘s spokesman Zolisa Sigabi hailed the new development as signalling “an end of the exploitation of workers in the hospitality industry.

“This announcement follows an intensive five-year investigation by the Employment Conditions Commission, which advises the minister about wages and other conditions of employment,” Sigabi said.

Cosatu has undertaken to assist the government in ensuring that employers are in compliance with the determination, by making it part of its jobs and poverty campaign.

mjack@johnnicec.co.za