GOVT’S 7% SALARY INCREASE FOR MANUFACTURERS & HANDCRAFT

 MBABANE – Costs of operating a business in the manufacturing and sale of handcraft have escalated following the gazetting of a seven per cent salary increase.

 In terms of legal notice number 129 of 2018, issued by the Minister of Labour and Social Security Winnie Magagula, in exercise of powers vested by Section 11 of the Wages Act of 1964, the new salary structure came into force with effect from August 3, 2018.

The new pay structure, which revokes the one effected in November 2016, will apply to persons employed in the manufacture, primarily by hand and with minimal use of powered machines of spinning, glass work, glass plaiting, weaving, knitting, sewing, batic work-work, carving, dyeing, casting, forging, pottery, tanning, painting, screen printing, candle making, moulding and drawing of goods to be sold as handcraft.

She explained that all employers would be expected to pay the basic minimum wage calculated at the new rate.
“Any employee who, at the date of commencement of this order, is in receipt of a higher wage or enjoys better conditions of employment than those prescribed by the order, shall not suffer a reduction in such wage or condition by reason of this order coming into operation,” Magagula pronounced.

It was explained that where no definition of an employee duties exists, such employee would be paid a basic minimum wage not less than that applicable to a general labourer.
The normal working hours per week for employees other than security guards and casual labourers would consist of not more than 45 hours of work spread over six days a week.

The inflation currently stands at 4.9 per cent.
It should also be mentioned that employers within the security services industry will also have to dig deeper into their pockets to cater for a five per cent pay rise.
Magagula recently announced all employers would be expected to pay the basic minimum wage calculated at the new rate.
In the gazette, it was pointed out that the basic week would consist of 72 hours spread over a period of six days.

It was explained that any employee who would be required to be on duty and work in excess of the 72 hours would be entitled to be paid for such overtime, at the rate of one and a half times the employee’s normal hourly rate of wages.
“Payment shall be calculated on the basis of the overtime worked each day in excess of the daily working hours. Normal hourly rate shall mean the employees’ monthly rate of wages divided by 312,” reads the gazette in part.

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