Farmworkers and farmers know - Welcome to the South ... · PDF fileFarmworkers and farmers know Created Date: 6/15/2007 2:00:19 PM

The old law, which regulates employment and wages in the AgriculturalSector, has been changed.

Farmers will be required to pay the new prescribed minimum wages as from1 March 2006.

This document briefly covers some of the most important provisions in theSectoral Determination.

A copy of the Sectoral Determination is available from the Government Printeror from the Department of Labour. It is also available on the Departmentʼswebsite: www.labour.gov.za

What is the purpose of the Sectoral Determination?

It lays down conditions of employment for farm workers such as:

� Hours of work� Leave� Particulars of employment� Termination of employment� Prescribes the minimum wage farmers are required to pay.

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One of the purposes of the Sectoral Determination is to prescribe the minimum wage farmersare required to pay.

Who is included?

It applies to all farm workers in all farming activities in the Republic of SouthAfrica, excluding the Forestry Sector.

Who is regarded as a farm worker in terms of the SectoralDetermination?

� Farm workers in all farming activities in South Africa� A domestic worker employed in a home on a farm� A security guard employed to guard a farm or other premises where

farming activities are conducted, who is not employed in the privatesecurity industry.

Wages

What does the law say about wages?

� The new minimum wages for farm workers will become effective as from1 March 2006

� A farmer must pay a farm worker who works less than 45 hours per monthat least the hourly rate set out in Table 1

� A farm worker will be paid according to the Area in which the farm workerworks, according to Table 1

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The Sectoral Determination applies to all farm workers in all farming activities inSouth Africa

Table 1 - Minimum wages for farm workersArea A

Area B (Areas not mentioned in Area A)

Note: If you do not find the name of the municipality where you work/are employed in,in Area A, then you must know that your workplace falls under Area B.

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Bergrivier Local MunicipalityBreede Valley Local MunicipalityBuffalo City Local MunicipalityCape Agulhas Local MunicipalityCederberg Local MunicipalityCity of Cape TownCity of Johannesburg

Metropolitan MunicipalityCity of Tshwane

Metropolitan MunicipalityDrakenstein Local MunicipalityEkurhuleni Metropolitan MunicipalityEmalahleni Local MunicipalityEmfuleni Local MunicipalityEthekwini Metropolitan UnicityGamagara Local MunicipalityGeorge Local MunicipalityHibiscus Coast Local MunicipalityKaroo Hoogland Local MunicipalityKgatelopele Local MunicipalityKhara Hais Local MunicipalityKnysna Local MunicipalityKungwini Local MunicipalityKouga Local MunicipalityLangeberg Local MunicipalityLesedi Local MunicipalityMakana Local Municipality

Mangaung Local MunicipalityMatzikama Local MunicipalityMetsimaholo Local MunicipalityMiddelburg Local MunicipalityMidvaal Local MunicipalityMngeni Local MunicipalityMogale Local MunicipalityMosselbaai Local MunicipalityMsunduzi Local MunicipalityMtubatuba Local MunicipalityNama Khoi Local MunicipalityNelson Mandela Local MunicipalityNokeng tsa Taemane Local MunicipalityOudtshoorn Local MunicipalityOverstrand Local MunicipalityPlettenbergbaai Local MunicipalityPotchefstroom Local MunicipalityRandfontein Local MunicipalityRichtersveld Local MunicipalitySaldanha Bay Local MunicipalitySol Plaatjie Local MunicipalityStellenbosch Local MunicipalitySwartland Local MunicipalitySwellendam Local MunicipalityTheewaterskloof Local MunicipalityUmdoni Local MunicipalityuMhlathuze Local MunicipalityWitzenberg Local Municipality

1 March 2006to

28 February 2007Hourlyrate

1 March 2007to

29 February 2008Hourlyrate

1 March 2008to

28 February 2009Hourlyrate

R994 R5,10 R1 041 R5,34 R1 090 R5,59

R885 R4,54 R989 R5,07 R1 090 R5,59

� Wages are prescribed according to two areas, namely Area A and Area B� Municipal boundaries have been used to distinguish between the two

areas� Table 1 list the municipalities grouped as Area A and Area B covers the

rest of South Africa.

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Are wages paid according to the number of hours worked per week?

Yes. If a farm worker works less than 45 hours per week the worker should bepaid at least the hourly rate in Table 1, and if the farm worker works 45 hoursper week, at least the monthly rate specified in Table 1 should be paid.

Deductions

Permissible deductions

(a) A farmer may deduct an amount not exceeding 10% of a farm workerʼswage for a house:

� If there is no electricity where the infrastructure does not exist on a farm� If water is available within 100 meters from the house� The house has a roof that is durable and waterproof� The house has glass windows that can be opened� A flush toilet or pit latrine is available in, or in close proximity, to the house� The house is not less than 30 square meters in size.

(b) A farmer may deduct for loss or damage only in the following instances:

� If it was the fault of the farm worker� A fair procedure was followed to give the farm worker a reasonable

opportunity to show why the deductions should not be made� The total amount of the debt is not more than the actual amount of the loss

or damage� The total deductions from the farm workerʼs pay is not more than one

quarter of the farm workerʼs pay in money.

What deductions are not allowed?

A farmer may not deduct for the grazing of a farm workerʼs cattle or sheep(livestock).

Other important provisions about deductions

If goods are purchased by the farm worker and it is deducted from the farmworkerʼs wage, the amount deducted should be the same as the proof ofpurchase.

Conditions of employment

How many ordinary hours may a farm worker work per week?

Farm workers should not work more than 45 ordinary hours per week.

How many overtime hours may a farm worker work per week?

Farm workers may work 15 hours overtime per week, but not more than 12hours per day including overtime.

When should overtime be paid?

Overtime is payable when a farm worker works more than the prescribedhours per week (i.e. 45 hours), unless the written particulars shortens thosehours, then overtime should be paid if those shortened hours are exceeded.

Table 2 - Hours per day

The payment for overtime worked is one and a half times the hourly wageprescribed in Table 1.

Example:How to calculate a daily wage including overtime.

A farm worker in Area A works 5 days per week and 9 hours per day. On aspecific day he/she works 12 hours. What is the wage for this day?

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Ordinary hoursOvertime hours

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Total 12

9 ordinary hours of work @R5.10 per hour 9 X R5.10 R45.50

3 Hours overtime @ one anda half times hourly rate

R5.10 + R2.55 (1 xtimes hourly rate of

R5.10)=R7.653 X R7.65 = R22.95

R22.95

Table 3 – Wage for a 12-hour day

Sunday work and public holidays

Should workers be paid extra when working on Sundays and publicholidays?

A farmer must pay a farm worker who works on a Sunday in accordance withTable 4.

Public holidays

A farmer may not call for a farm worker to work on a public holiday, except ifthe farm worker agrees to work.

If a public holiday falls on a day that farm workers would normally work afarmer should pay as follows:

� A farm worker that does not work on this day, his/her normal wage� A farm worker that works on this day should be paid double the daily

wage.

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Time worked on a Sunday PaymentOne hour or less Double the wage

for one hourR5.10 x 2= R10.20

More than one hour but notmore than two hours

Double the wagefor time worked

R5.10 +R5.10= R10.20 x 2=R20.40

More than two hours but not morethan five hours

The daily wage For 9 hour day =R45.50

More than five hours The greater ofdouble the wagepayable in respectof time worked(excluding over-time) or doublethe daily wage.

If worked for8 hours it iseither 8 xR5.10 =R40.80 x 2 =R81.60Or2 x R45.50 =R91.00The amountpayable isthusR91.00

Table 4 – Payment for Sunday work

Leave

What type of leave is a farm worker entitled to?

Four types of leave, namely: annual, sick, family responsibility and maternityleave.

What are the conditions regarding annual leave?

Farm workers are entitled to 3 weeks paid leave per annual leave cycle.Should a public holiday fall within the leave cycle an additional dayʼs paidleave must be granted.

What are the conditions regarding sick leave?

The sick leave cycle is 36 months and is based on the number of days workedover a six week period.

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Example:

How to calculate sick leave:A farm worker works 5 days per week.Sick leave days per cycle are 5 x 6 (number of week) = 30 days paid sick leavedays per 36 months of employment.

Farm workers are entitled to annual, sick, family responsibility and maternity leave.

What is family responsibility leave?

It is leave granted for specific family related matters.

Three days leave on full pay are granted during an annual leave cycleand can be used for:

� The birth of a child of the farm worker� A sick child of the farm worker� When a spouse, parent, grandparent, child, grandchild, brother or sister of

the farm worker dies.

What are the key issues related to maternity leave?

Maternity leave is for four months and starts four weeks before theexpected date of birth.

A farm worker may only resume work, six weeks after the birth of a child.

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The lawfulness or fairness of dismissals can be challenged by farm workers in terms ofChapter VIII of the Labour Relations Act, 1995, or any other law.

Termination of employment

How should termination of employment be conducted?

Either party may terminate the employment relationship. If a farm workerworked for less than six months for a farmer, one weekʼs notice is required.Two weeksʼ notice is required if a farm worker worked for more than 6 monthsbut less than a year for a farmer and four weeksʼ notice is required if a farmworker worked for more than a year for a farmer.

Important

� The lawfulness or fairness of dismissals can be challenged by farmworkers in terms of Chapter VIII of the Labour Relations Act, 1995,

or any other law� The termination of employment clause, payment instead of notice clause

and accommodation, livestock and crops on termination clause does notaffect the rights of farm workers which they became entitled to in terms ofany land reform process.

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Every farm worker must get a pay slip when he/she is paid.

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When should severance pay be paid?Severance pay is paid where there are operational reasons for terminating theemployment of a farm worker.

How much severance pay should be paid?

If a farm workerʼs employment ends, based on operational requirements,he/she should be paid: one weekʼs remuneration for every completed year ofservice.

Certificate of service

The farmer must give a farm worker a certificate of service on ending theemployment relationship.

The following should be included on the certificate

� Farm workerʼs full name� Name and address of the farmer� Date of commencement and date of termination of employment� Title of the job or brief description of the work for which the farm worker

was employed at the date of termination� Any relevant training received by the farm worker� Pay at date of termination� If the farm worker requests, the reason for termination of employment.

Records

What records must be kept?

A farmer will be required to give the farm worker a pay slip and writtenparticulars of employment.

Payslip

Every farm worker must get a pay slip.Copies of the slips must be kept for three years as it will serve as proof thatthe farmer has complied with all the monetary provisions of the law.

Information to be on the pay slip

� Farmerʼs name and address� Farm workerʼs name and occupation� Period in respect of which payment is made� Farm workerʼs wage rate and overtime rate� Number of ordinary hours worked by a farm worker during that period� Number of overtime hours worked by the farm worker during that period� Number of hours worked by the farm worker on a paid holiday or on a

Sunday� Farm workerʼs wage� Details of any other pay arising out of the farm workerʼs employment� Details of any deductions made� Farmerʼs registration number with the Unemployment Insurance Fund and

the farmerʼs contribution to the Fund� Actual amount paid to the farm worker.

Written particulars of employment

Farm workers are not always aware of their rights or what is expected ofthem.

It is also difficult for the Department of Labour to investigate complaints ifthere is no documentation that proves the conditions

Providing a farm worker with written particulars of employment will help whenany dispute arises.

It is the responsibility of the farmer to issue these particulars.

The farmer must give a farm worker written particulars of employment. Thefarmer must ensure that the farm worker understands the contents of what isrequired.

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The following should form part of the written particulars ofemployment

� Full name and address of the farmer� Name and occupation of the farm worker, or a brief description of the work

for which the farm worker is employed� Place of work, and where the farm worker is required or permitted to work

at various places, an indication of this� Date on which employment began� Farm workerʼs ordinary hours of work and days of work� Farm workerʼs wage or the rate and method of payment� Rate of pay for overtime work� Any other cash payments that the farm worker is entitled to� Any food or accommodation payment that the farm worker is entitled to

and the value of the food or accommodation calculated in accordance withclause (8)

� Any other payment in kind received from the farmer� How frequently wages will be paid� Any deductions to be made from the farm workerʼs wages� Leave to which the farm worker is entitled to� Period of notice required to terminate employment, or if employment

is for a specific period, the date when employment is to terminate.

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Farm workers are not always aware of their rights or what is expected of them.

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Eastern Cape

Aliwal North Tel: (051) 633 2633Butterworth Tel: (047) 491 0656Cradock Tel: (048) 881 3010East London Tel: (043) 702 7500Fort Beaufort Tel: (046) 645 4686Graaf-Reinet Tel: (049) 892 2142Grahamstown Tel: (046) 622 2104King Williamʼs

Town Tel: (043) 643 4756Lusikisiki Tel: (039) 253 1996Maclear Tel: (045) 932 1424Mdantsane Tel: (043) 761 3151Mount Ayliff Tel: (039) 254 0282Mthatha Tel: (047) 501 5600Port Elizabeth Tel: (041) 506 5000Queenstown Tel: (045) 807 5400Uitenhage Tel: (041) 992 4627

Free State

Bethlehem Tel: (058) 303 5293Bloemfontein Tel: (051) 505 6215Botshabelo Tel: (051) 534 3789Ficksburg Tel: (051) 933 2299Harrismith Tel: (058) 623 2977Kroonstad Tel: (056) 215 1812Petrusburg Tel: (053) 574 0932Phuthaditjhaba Tel: (058) 713 0373Sasolburg Tel: (016) 970 3200Welkom Tel: (057) 391 0200Zastron Tel: (051) 673 1471

Gauteng North

Atteridgeville Tel: (012) 386 5116Bronkhorstspruit Tel: (013) 932 0197Garankuwa Tel: (012) 702 4525Krugersdorp Tel: (011) 955 4420

Labour Centres of the Department of Labour

Eastern CapeEast London Tel: (043) 701 3000Free StateBloemfontein Tel: (051) 505 6200Gauteng NorthPretoria Tel: (012) 309 5000Gauteng SouthJohannesburg Tel: (011) 497 3222KwaZulu-NatalDurban Tel: (031) 366 2000

LimpopoPolokwane Tel: (015) 290 1744MpumalangaWitbank Tel: (013) 655 8700North WestMafikeng Tel: (018) 387 1800Northern CapeKimberley Tel: (053) 838 1500Western CapeCape Town Tel: (021) 441 8000

Provincial Offices of the Department of Labour

Contact details

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Mamelodi Tel: (012) 805 5090Pretoria Tel: (012) 309 5050Randfontein Tel: (011) 693 3618Soshanguve Tel: (012) 799 7395Temba Tel: (012) 717 9500

Gauteng South

Alberton Tel: (011) 861 6130Benoni Tel: (011) 747 9601Boksburg Tel: (011) 898 3340Brakpan Tel: (011) 744 9000Carletonville Tel: (018) 788 3281Germiston Tel: (011) 345 6300Johannesburg Tel: (011) 497 3163Kempton Park Tel: (011) 975 9301Nigel Tel: (011) 814 7095Randburg Tel: (011) 781 8144Roodepoort Tel: (011) 766 2000Sandton Tel: (011) 444 7631Sebokeng Tel: (016) 988 2626Soweto Tel: (011) 939 1200Springs Tel: (011) 365 3700Vanderbijlpark Tel: (016) 981 0280Vereeniging Tel: (016) 430 0000

KwaZulu-Natal

Dundee Tel: (034) 212 3147Durban Tel: (031) 336 1559Estcourt Tel: (036) 352 2161Kokstad Tel: (039) 727 2140Ladysmith Tel: (036) 638 1900Newcastle Tel: (034) 312 6038Pietermaritzburg Tel: (033) 341 5300Pinetown Tel: (031) 700 2206Port Shepstone Tel: (039) 682 2406Prospecton Tel: (031) 902 1590Richards Bay Tel: (035) 780 8700Richmond Tel: (033) 212 2768Stanger Tel: (032) 551 4291Ulundi Tel: (035) 879 1439Verulam Tel: (032) 533 5050

Vryheid Tel: (034) 980 8820

Limpopo

Giyani Tel: (015) 812 9041Jane Furse Tel: (013) 265 7210Lebowakgomo Tel: (015) 633 9360Lephalale Tel: (014) 763 2162Makhado Tel: (015) 516 0207Modimolle Tel: (014) 717 1046Mokopani Tel: (015) 491 5973Phalaborwa Tel: (015) 781 5114Polokwane Tel: (015) 299 5000Seshego Tel: (015) 223 7020Thohoyandou Tel: (015) 960 1300Tzaneen Tel: (015) 306 2600

Mpumalanga

Baberton Tel: (031) 712 3066Bethal Tel: (017) 647 5212Carolina Tel: (017) 843 1077Eerstehoek Tel: (017) 883 2414eMalahleni Tel: (013) 653 3800Ermelo Tel: (017) 819 7632Groblersdal Tel: (013) 262 3150Kwamhlanga Tel: (013) 947 3173KaMhlushwa Tel: (013) 785 0010Lydenburg Tel: (013) 235 2368Middelburg Tel: (013) 283 3600Nelspruit Tel: (013) 753 2844Piet Retief Tel: (017) 826 1883Sabie Tel: (013) 764 2105Secunda Tel: (017) 631 2594Standerton Tel: (017) 712 1351Volksrust Tel: (017) 735 2994

Northern Cape

Calvinia Tel: (027) 341 1280De Aar Tel: (053) 631 0952Kimberley Tel: (053) 838 1500Kuruman Tel: (053) 712 3952

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Postmasburg Tel: (053) 313 0641Springbok Tel: (027) 718 1058Upington Tel: (054) 331 1752

North West

Brits Tel: (012) 252 3068Christiana Tel: (053) 441 2120Klerksdorp Tel: (018) 464 8700Lichtenburg Tel: (018) 632 4323Mafikeng Tel: (018) 381 1010Mogwase Tel: (014) 555 5693Potchefstroom Tel: (018) 297 5100Rustenburg Tel: (014) 592 8214Taung Tel: (053) 994 1710Vryburg Tel: (053) 927 5221

Western Cape

Beaufort West Tel: (023) 414 3427Bellville Tel: (021) 941 7000Cape Town Tel: (021) 460 5911Claremont Tel: (021) 683 2388George Tel: (044) 801 1201Knysna Tel: (044) 382 3150Mitchellʼs Plain Tel: (021) 376 1771Mossel Bay Tel: (044) 691 1140Oudtshoorn Tel: (044) 272 4370Paarl Tel: (021) 872 2020Somerset West Tel: (021) 852 2535Vredenburg Tel: (022) 715 1627Worcester Tel: (023) 347 0152

Layout and design by the Media Production Unit, Chief Directorate of Communication,Department of Labour. Website: www.labour.gov.za