Supporters of a minimum wage say it can stimulate growth as workers can spend more, as well as reducing inequality. PHOTO; AFP
South Africa will introduce a national minimum wage of
3,500 rand (261 dollars) per month in 2018, Deputy President Cyril
Ramaphosa said on Thursday, following protracted negotiations between
the government and labour unions.
Supporters of a minimum wage say it can stimulate growth as workers can spend more, as well as reducing inequality.
Critics say it could lead to increased unemployment as employers will be unable to afford higher wage bills.