As Agri SA mulls the impact of the National Minimum Wage Act, which was approved in Parliament yesterday, the organisation has advised stakeholders “to exert caution as to the effect it will have on financially vulnerable farming operations.
“The agricultural sector is very complex, considering the vast majority of farming operations can be considered SMEs, many of whom are already loss-making through a combination of drought conditions and low international commodity prices,” said Agri SA Labour and Development Centre of Excellence chairman, Neil Hamman.
Following its approval, the implementation date is yet to be determined by the newly formed National Minimum Wage Commission which will be responsible for all related issues and decisions on the issue in future.
