In a major move that will directly affect millions of low-income earners, the South African government has confirmed a new increase to the National Minimum Wage (NMW), set to take effect on 1 July 2025. Workers across all sectors can now expect a minimum of R28.79 per hour, pushing monthly earnings for full-time employees to an estimated R4,600 — assuming a 40-hour workweek.
The increase, announced by the Department of Employment and Labour, comes amid rising living costs and continued public pressure to boost wages in line with inflation. The adjustment is intended to ensure that the minimum wage remains a living wage and keeps pace with basic household needs.
Here’s everything you need to know about the July 2025 NMW increase, who it applies to, and what it means for workers and employers across the country.
What Is the New National Minimum Wage for 2025?
Effective from 1 July 2025, the new NMW will be R28.79 per hour — up from the previous rate of R27.58 per hour set in March 2024. This 4.4% increase is in line with inflation and follows recommendations made by the National Minimum Wage Commission.
New wage breakdown:
| Pay Period | Rate (2025) | Old Rate (2024) | Difference |
|---|---|---|---|
| Per Hour | R28.79 | R27.58 | +R1.21 |
| Per Week (40 hrs) | R1,151.60 | R1,103.20 | +R48.40 |
| Per Month (40 hrs/wk avg) | R4,606.40 | R4,412.80 | +R193.60 |
This new wage applies to all workers in South Africa, including farm workers, domestic workers, and those employed in expanded public works programmes (EPWP), unless sector-specific minimums are higher.
Who Does the NMW Increase Apply To?
The National Minimum Wage applies across all industries and sectors, regardless of whether workers are employed full-time, part-time, or on a casual basis.
Covered worker categories include:
- General workers in retail, cleaning, hospitality, and service sectors
- Domestic workers (housekeepers, gardeners, caregivers)
- Farm and agricultural workers
- Security guards
- Construction and factory workers
- Workers in EPWP (with adjusted minimums)
- Contract, short-term, and seasonal employees
Exemptions or variations may apply in rare cases, but most workers must now earn at least R28.79/hour by law.
Sector-Specific Minimum Wages for July 2025
While the NMW sets the base standard, some sectors have their own wage structures. However, many of these have now been aligned with the general NMW, especially for previously lower-paid categories like domestic and farm workers.
Confirmed minimums from 1 July 2025:
| Sector/Worker Type | New Minimum Wage | Notes |
|---|---|---|
| General workers (NMW base) | R28.79/hour | Standard rate across most sectors |
| Domestic workers | R28.79/hour | Aligned fully with NMW |
| Farm workers | R28.79/hour | Fully aligned with NMW |
| EPWP participants | R15.72/hour | Adjusted for programme specifics |
| Learnership allowances | Varies | Based on NQF level and hours |
Employers who fail to comply with the updated rates could face penalties and labour inspections.
Province-Wise Table Detailing The impact of South Africa’s national minimum wage increase
Here’s a province-wise table reflecting the new National Minimum Wage (NMW) in South Africa, which climbed to R28.79 per hour (effective 1 March 2025). Monthly earnings are based on a standard 40-hour workweek, amounting to approximately R4,989.88 per month (not R4,600)—figures are uniform across all provinces unless sector-specific exceptions apply.
| Province | Hourly Wage | Monthly Est. (40 hrs/wk) | Notes |
|---|---|---|---|
| Gauteng | R28.79 | ~R4,990 | Standard NMW, no special exemptions |
| Western Cape | R28.79 | ~R4,990 | Applies across metro/urban areas |
| KwaZulu-Natal | R28.79 | ~R4,990 | EPWP workers may get lower R15.83/hr |
| Eastern Cape | R28.79 | ~R4,990 | Rural minimum also aligned |
| Limpopo | R28.79 | ~R4,990 | Includes farm & domestic workers |
| Mpumalanga | R28.79 | ~R4,990 | Sector-specific audits ongoing |
| North West | R28.79 | ~R4,990 | No reported wage violations |
| Free State | R28.79 | ~R4,990 | Applies across public and private |
| Northern Cape | R28.79 | ~R4,990 | Labour inspectors deployed |
Why Was the NMW Increased?
The wage hike is intended to address the rising cost of living, protect the lowest-paid workers, and stimulate fairer income distribution. It follows recommendations made after months of consultation between labour unions, government representatives, and employer bodies.
Key reasons behind the increase:
- Match inflation and food price hikes
- Strengthen wage equity and dignity at work
- Improve quality of life for low-income households
- Honour the phased commitment to equalise domestic and farm worker wages
- Encourage sustainable economic participation
Officials have emphasized that the increase is both economically justified and socially necessary.
What Does This Mean for Workers?
For workers earning below the new minimum, this increase represents real progress. An extra R1.21 per hour adds up significantly over the course of a month — especially for full-time employees or those working overtime.
Examples of monthly earnings after the increase:
| Weekly Hours | Monthly Earnings (R28.79/hr) |
|---|---|
| 20 hours | R2,303.20 |
| 30 hours | R3,454.80 |
| 40 hours | R4,606.40 |
| 45 hours | R5,181.75 |
| 50 hours | R5,757.00 |
This raise can be used to help cover food, transport, school fees, and household bills — providing greater financial breathing room for workers and their families.
How Should Employers Prepare?
Employers must ensure they are compliant with the new rate by 1 July 2025. Failure to pay the legal minimum wage could result in labour disputes, fines, or reputational damage.
Steps for employers:
- Review all wage structures and payroll systems
- Notify affected staff of the changes
- Adjust contracts where necessary
- Budget for increased payroll costs
- Stay updated via the Department of Labour website
For small employers, such as households employing domestic workers, tools and calculators are available on SASSA and Labour Department platforms to assist with compliance.
What If Your Employer Doesn’t Comply?
Workers who are not paid the new minimum wage have the right to lodge a complaint with the Department of Employment and Labour or approach the Commission for Conciliation, Mediation and Arbitration (CCMA).
What to do if underpaid:
- Raise the issue with your employer in writing
- Report anonymously to the Labour Department hotline: 0800 843 843
- File a dispute with the CCMA for mediation and resolution
- Keep records of hours worked, pay received, and any contracts
The law is clear: no employee may be paid less than the prescribed minimum, regardless of their job title or hours worked.
The July 2025 increase in South Africa’s National Minimum Wage is a critical step toward economic fairness and improved living conditions for millions of workers. With the hourly rate now at R28.79 and estimated monthly earnings topping R4,600, employees across the country will see direct benefits in their wallets — helping them better manage the rising cost of living.
Employers are reminded to update their systems before the deadline to avoid non-compliance penalties. Workers should know their rights, track their hours, and speak up if they are not being paid fairly. This wage increase is not just a policy shift — it’s a promise of dignity, protection, and economic justice.
FQA’s for South Africa NMW
Q1: What is the new minimum wage in South Africa for July 2025?
A: The National Minimum Wage increases to R28.79 per hour from 1 July 2025.
Q2: Who qualifies for the new wage?
A: All workers in South Africa, including domestic and farm workers, unless otherwise exempt.
Q3: How much is that per month?
A: For a full-time worker (40 hours/week), the estimated monthly wage is R4,606.40.
Q4: Do domestic workers qualify?
A: Yes. Domestic workers must be paid the full R28.79/hour from July 1, 2025.
Q5: What happens if my employer doesn’t pay the new rate?
A: You can report them to the Department of Labour or file a complaint with the CCMA.
Q6: Are part-time workers also included?
A: Yes. All workers, regardless of hours, must be paid at least the hourly minimum rate.
Q7: Will the EPWP wage increase too?
A: Yes, but to a lower adjusted rate of R15.72/hour due to programme-specific criteria.
Q8: Where can I get help calculating my new wage?
A: Visit www.labour.gov.za or call the Department’s hotline at 0800 843 843.
