South Africa’s minimum wage better than Brics

30 April 2015 - 17:07 By RDM News Wire

Despite 84.5% of South African workers receiving a regular wage or salary – which is high in world terms and even better than some developed countries – the subject of minimum wages remains one of the most heatedly discussed economic topics. And it’s often misunderstood by both workers and businessmen‚ said economist Mike Schussler‚ presenting the 14th United Association of South Africa (UASA) South African Employment Report at the Johannesburg Country Club on Thursday morning."When comparing South African minimum wages across a range of sectors we generally fare better than any of our Brics partners‚" Schussler said.He said that more workers are covered by minimum wages in South Africa than in most countries‚ and our sophisticated system has brought more worker and employee benefits than elsewhere.“Worldwide 155 countries have determined minimum wages on a national or sector basis. At least 52% of these countries have not adjusted their minimum wages for at least two years. Another 41 countries do not have a determined national minimum wage‚" Schussler said.Minimum wages range from $108 a year in Cuba to over $32 000 in Australia. Generally so-called Western countries have higher minimum wages than non-market economies.To earn a minimum wage a worker usually would have to be employed in the formal economy and earn a regular wage. Too often it is forgotten that 84.5% of South African workers earn a regular wage or salary. This is high in world terms and is even better than in some developed countries."On a purchase power parity basis even domestic workers get a minimum wage similar to that of China while gold miners earn a minimum wage that compares favourably with Poland‚ Turkey‚ Japan‚ Spain and even Israel.A South African miner earns more than twice the per capita GDP income share compared to miners in India or Brazil‚ while the minimum wage for government employees is six times the ratio of Russia’s minimum wage.-RDM News Wire..

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