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Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

Motor Industry Bargaining Council  (MIBCO)

Extension to Non-Parties of the Main Collective Agreement

Division C

Chapter 3: Manufacturing Establishments

Clause 2: Wages

 

(1) Preamble:
(a) Negotiations are based on increases to actual and minimum wages as set out in this clause.
(b) Employees in Chapter Ill establishments, inclusive of Division B employees employed at Chapter Ill establishments whose annual earnings is less than the than the National Wage Threshold as set out in the schedule, per period, below will be eligible for annual increases as stipulated in sub-clause (2) hereunder.

 

National Wage Threshold:

For the period from the date of implementation of the National Wage Threshold as determined and published by the Minister of Employment and Labour as amended in the Basic Conditions of Employment Act—

(i) For weekly earners—

is the sum of the published National Wage Threshold divided by 52 or 53 (weeks),whichever is applicable;

(ii) For monthly earners—

 

(2) is the sum of the published National Wage Threshold divided by 12 (months) Actual Wages

 

The following increases shall be paid on actual wages:

(a) 7.5%  in respect of the period from the date of implementation as determined by the Minister of Employment and Labour to 31 August 2023.
(b) 6% in respect of the period 01 September 2023 to 31 August 2024.
(c) 6% in respect of the period 01 September 2024 to 31 August 2025.

 

(3) Set-off

An employer who has granted an increase over and above the prescribed increases during the preceding 12 months may offset those increases against the increases set out below; provided that no wage increases shall be offset on more than one occasion.

 

(4) Prohibition on Industrial Action

The Parties undertake not to embark on any industrial action as a result of disputes on minimum wages and percentage increases relating to any other chapters of this Agreement provided the employer has implemented this Agreement and in which case any such industrial action is deemed to be unprotected.

 

(5) Exemptions

An employer may apply for an exemption in respect of the increases to actual wages as set out in this clause in accordance with sub-clause 8.1(1)(e) of Division A of this Agreement clause 5 of the Administrative Agreement (administrative change).

 

(6) Minimum Wage

Subject to the provisions of sub-clause (7) of this clause dealing with bonuses, the minimum wage that an employer must pay to each of his employees of the under-mentioned classes must be as set out in the Schedules hereunder and no employee shall accept a wage lower than that specified for his class.

 

(7) Bonus

Employers shall permit employees for whom wages are prescribed for operatives Grade 3, 4, 5 & 6 in the Schedule to use measuring instruments and/or gauges and the minimum weekly prescribed wage must be increased if the employee at any time in the course of his or her duties uses—

(a) vernier gauge and/or micrometer in which event the prescribed wage must be increased by R15.36 from the date of implementation as determined by the Minister of Employment and Labour to 31 August 2025 per week; or
(b) a tape and/or rule and/or square and/or sets and adjusts the machine he operates in which event the prescribed wage must be increased by R10.24 from the date of implementation as determined by the Minister of Employment and Labour to 31 August 2025.

 

(8) WAGE SCHEDULES:
(a) Minimum wages from the date of implementation as determined by the Minister of Employment and Labour to 31 August 2023—

 

PART A : MISCELLANEOUS

Employee class

Minimum Wages

 

PW

PH

Grade 1

1291.95

28.71

Grade 2

1701.45

37.81

Grade 8

3833.55

85.19

Watchman

1520.99

*

 

PART B : OPERATIVES WHO MAY QUALIFY FOR SETTING BONUS

Employee class

Minimum Wages

 

PW

PH

Grade 3

1840.50

40.90

Grade 4

2010.15

44.67

Grade 5

2241.90

49.82

Grade 6

2690.55

59.79

 

Apprenticeship and learnership minimum wages for the period from the date of implementation as determined by the Minister of Employment and Labour to 31 August 2023—

 

Apprentices/Learners (All Chapters)


PW

PH

3 year Trade

First year

1772.55

39.39

Second year

2198.25

48.85

Third year

2701.80

60.04

4 year Trade

First year

1772.55

39.39

Second year

1944.00

43.20

Third year

2198.25

48.85

Fourth year

2701.80

60.04

NQF Learnerships

Level 1

1772.55

39.39

Level 2

1944.00

43.20

Level 3

2198.25

48.85

Level 4

2701.80

60.04

CBMT

Level 1

1690.20

37.56

Level 2

2110.95

46.91

Level 3

2537.55

56.39

Level 4

2953.80

65.64

 

(b) Minimum wages from 01 September 2023 to 31 August 2024—

 

PART A : MISCELLANEOUS

Employee class

Minimum Wages

 

PW

PH

Grade 1

1369.35

30.43

Grade 2

1803.60

40.08

Grade 8

4063.50

90.30

Watchman

1612.25

*

 

PART B : OPERATIVES WHO MAY QUALIFY FOR SETTING BONUS

Employee class

Minimum Wages

 

PW

PH

Grade 3

1950.75

43.35

Grade 4

2130.75

47.35

Grade 5

2376.45

52.81

Grade 6

2852.10

63.38

 

Apprenticeship and learnership minimum wages from 01 September 2023 to 31 August 2024—

 

Apprentices/Learners (All Chapters)


PW

PH

3 year Trade

First year

1861.20

41.36

Second year

2308.05

51.29

Third year

2836.80

63.04

4 year Trade

First year

1861.20

41.36

Second year

2041.20

45.36

Third year

2308.05

51.29

Fourth year

2836.80

63.04

NQF Learnerships

Level 1

1861.20

41.36

Level 2

2041.20

45.36

Level 3

2308.05

51.29

Level 4

2836.80

63.04

CBMT

Level 1

1774.80

39.44

Level 2

2216.70

49.26

Level 3

2664.45

59.21

Level 4

3101.40

68.92

 

(c) Minimum wages from 01 September 2024 to 31 August 2025—

 

PART A : MISCELLANEOUS

Employee class

Minimum Wages

 

PW

PH

Grade 1

1451.70

32.26

Grade 2

1911.60

42.48

Grade 8

4307.40

95.72

Watchman

1708.99

*

 

PART B : OPERATIVES WHO MAY QUALIFY FOR SETTING BONUS

Employee class

Minimum Wages

 

PW

PH

Grade 3

2067.75

45.95

Grade 4

2258.55

50.19

Grade 5

2519.10

55.98

Grade 6

3023.10

67.18

 

Apprenticeship and learnership minimum wages from 01 September 2024 to 31 August 2025—

 

Apprentices/Learners (All Chapters)


PW

PH

3 year Trade

First year

1954.35

43.43

Second year

2423.25

53.85

Third year

2978.55

66.19

4 year Trade

First year

1954.35

43.43

Second year

2143.35

47.63

Third year

2423.25

53.85

Fourth year

2978.55

66.19

NQF Learnerships

Level 1

1954.35

43.43

Level 2

2143.35

47.63

Level 3

2423.25

53.85

Level 4

2978.55

66.19

CBMT

Level 1

1863.45

41.41

Level 2

2327.40

51.72

Level 3

2797.65

62.17

Level 4

3256.65

72.37