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New restaurant laws: 'Don’t rush to comply. It’s being challenged'

25 January 2021 7:24 PM
Tags:
Minimum wage
Alcohol ban
The Money Show
Labour law
Bruce Whitfield
restaurants
restaurant industry
curfew
alcohol sales ban
prohibition
alcohol prohibition
Jan Truter
Labourwise

The Money Show’s Bruce Whitfield interviews Jan Truter, Managing Director at Labourwise.

RELATED: New laws force all restaurants to pay higher wages, and a host of other expenses


The restaurant industry and the people it employs are lobbying the government to lift the curfew and the ban on the sale of alcohol.

Restaurant owners are furthermore concerned about new laws that will soon come into effect across South Africa, setting higher minimum wages for restaurant workers and compelling owners to cover a host of expenses.

© romastudio/123rf

The minimum wage for waiters is set at R22.25 per hour – this amount increases on 1 May 2021 by 1.5% more than the inflation rate at that time.

Wages of waiters who earn more than that may not be reduced.

Restaurants with fewer than 10 employees may pay 10% less.

Restaurant owners are also now liable for a number of other costs such as:

  • A levy for “council expenses" (R5 per month per employee)

  • "General" levy (R25 per month per restaurant)

  • Dispute resolution levy (R3 a month per employee)

  • Funeral benefits (R12.50 a month per employee)

  • Retirement fund (5% of an employee’s monthly wages)

  • A stipend if employees are required to wash their own uniforms (R17.50 a week)

  • An annual bonus each December equal to a week’s wages for those employed for 12 consecutive months (and two weeks’ wages for those employed for 24 consecutive months).

The Money Show’s Bruce Whitfield interviewed Jan Truter, Managing Director at Labourwise.

Now is not the best time to increase wages and other costs. But it’s not the biggest problem…

Jan Truter, Managing Director - Labourwise

… many restaurants pay more than this proscribed minimum wage. The problem is it slipped in through the backdoor...

Jan Truter, Managing Director - Labourwise

... the bargaining council agreement… those parties aren’t representative of the majority of employers and employees…

Jan Truter, Managing Director - Labourwise

The industry is under siege… absolutely devasted… the last nail in the coffin… It is being challenged… employers aren’t encouraged… to register and comply… We’re hoping logic will prevail…

Jan Truter, Managing Director - Labourwise

Listen to the interview in the audio below.


This article first appeared on CapeTalk : New restaurant laws: 'Don’t rush to comply. It’s being challenged'




25 January 2021 7:24 PM
Tags:
Minimum wage
Alcohol ban
The Money Show
Labour law
Bruce Whitfield
restaurants
restaurant industry
curfew
alcohol sales ban
prohibition
alcohol prohibition
Jan Truter
Labourwise

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