1. Labour INVESTIGATION INTO THE SECTORAL DETERMINATION NO.13: FARM WORKER SECTOR, SOUTH AFRICA.

2. Labour Structure of the Presentation –Introduction & Background of SD 13 –Investigation Process –ECC Criteria –Inputs Required

3. Labour Introduction Background of SD:13 The Sectoral Determination, which prescribes the minimum wages, terms and conditions of employment for the farming sector, was published on 2 nd December 2002 as SD 8, and came into effect on 16 th December 2002 The provisions related to minimum wages came into effect on the 1 st March 2003. After the promulgation of the sectoral determination some employers approached the Minister of Labour with concerns regarding some of the conditions of the determination.

4. Introduction Background of SD:13 continued.. The Minister then repealed the SD 8 and published a new sectoral determination 13 on the 17 th February 2006. Since then, the SD has been reviewed every 3 years. The current SD was amended on the 24 th February 2012 and it prescribes the following minimum wages which should be used as a benchmark by employers when determining remuneration for employees: »R7.71 per hour »R347.10 per week »R1503.90 per month Labour

5. Investigation Process In terms of section 56(1) of the Basic Conditions of Employment Act (BCEA), its is stipulated that the provisions of a SD remain binding until they are amended or superseded by a new or amended SD, or they are cancelled or suspended by the Minister. It is for this reason that two notices were published by the department on the 15 th November 2012,one indicating the intention to cancel the SD and the other indicating the reviewing of the current SD In terms of the notices, the parties have been given 15 days to make inputs in the form of written representation to the department

6. ECC Criteria When advising the Minister in determining the minimum wages, section 54 sets a requirement that the ECC should consider The inputs in relation to the minimum wages should therefore be raised in relation to the following: –Ability of employers to carry on their businesses successfully –Creation and retention of employment –The operation of small, medium or micro-enterprises and new enterprises –The cost of living –The alleviation of poverty –Conditions of employment –Wage differentials and inequality –The likely impact of any proposed conditions on current employment or the creation of employment Labour

7. Inputs required Farm workers in the Western Cape region went on strike and are demanding a daily rate of R150 Is this realistic? If not, what is your proposal? Your proposal and your motivation should address the stipulated criteria. All the inputs received during the consultation process will form part of the report that will go to the ECC for them to make recommendations to the Minister.

8. Labour Thank You!!!