The active population in figures

Note: (e) Estimated data

Working conditions

Legal weekly duration

45 hours in a week or 9 hours in a day. For employees who work a 6-day week, it is 8 hours per day.

Retirement age

The retirement age is 65 for men and 60 for women.

Working contracts

Employment is mainly regulated by the law of contract and by Labour Relations Act (LRA),1995. The contract should clearly mention : maximum hours of work, overtime rates, minimum periods of annual leave, notice of termination, organizational rights in respect of trade unions, strike law, rights and responsibilities of employers and workers in the event of retrenchments, insolvency and transfers of businesses, protection from unfair dismissal and the prohibition of unfair discrimination.

Cost of labor

Minimum wage

South Africa does not have a national minimum wage, but the Minister of Labour can make sectoral determinations, which may include a basic remuneration level. Legislation differentiates between urban and rural areas.

Average wage

Average monthly gross earnings in South Africa is ZAR 8,500 (USD 1,100).

Social contributions

Social security contributions paid by employers: 1%
Social security contributions paid by employees: 1 %.

Social partners

Social dialogue and involvement of social partners

For effective bargaining, South Africa has Bargaining Council system. Bargaining takes place between the employers and trade unions under the auspices of the Bargaining Council. The collective agreements concluded in the Bargaining Council bind only the parties to the Bargaining Council.

The Congress of South African Trade Unions (COSATU) is the largest and most effective trade union in South Africa. It is affiliated with the African National Congress (ANC) and the South African Communist Party. COSATU represents 21 national industrial affiliates.

Unions

COSATU (Congress of South African Trade Unions)
FEDUSA (Federation of Unions of South Africa)

Unionization rate

30% (approximately)

Labor regulation bodies

Department of Labour, Government of South Africa