Employers who wish to apply for exemption for financial reasons must lodge their application on the National Minimum Wage Exemption System in the prescribed form, as soon as the system is available. Draft regulations have been published for comment dealing with the process to apply for exemption.
http://www.nmw.dol.gov.za/ (site not available yet)
It is unclear when the system regarding the exemption applications will be become active, LabourNet will post an update as soon as we have more clarity.
The system will require the employers’ particulars which includes; full name of employer, Unemployment Insurance Fund (UIF) reference, Compensation for Injuries and Diseases Act (COIDA) number, South Africa Revenue Services (SARS) number, Company Registration number, Nature of business conducted, Bargaining Council, Physical Address and Contact person names and contact details.
The system will adjudicate the granting or rejection of exemption immediately except, when the applicant has been subjected to audit review where one will have to complete the application in 30 days.
Representative trade unions and or all employees must be consulted, the consultation process requires the employer to provide the other parties with a copy of the exemption application to be lodged on the online system.
The delegated authority may grant an exemption from paying the National Minimum Wage only from the date of the application for the exemption. The exemption must specify the period for which it is granted, which may not be more than 12 months.
An employer exempted from paying the National Minimum Wage must display a copy of the exemption notice conspicuously at the workplace where it can be read by all employees to whom the exemption applies.
A copy of the exemption notice must be given to the representative trade union, every worker who requests a copy, and the Bargaining Council.
Please contact your allocated consultant or the Helpdesk if you have any queries or concerns.
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