Proposed 2026 National Minimum Wage Adjustment

Posted 08 January 2026 Written by Acts Online
Category Labour

Brought to you by SA Accounting Academy: In terms of the National Minimum Wage Act, No. 9 of 2018, the National Minimum Wage Commission has published its recommendation for the 2026 annual adjustment, proposing an increase of CPI plus 1.5%.

The Department of Employment & Labour has gazetted the report on the latest annual national minimum wage investigation along with a notice calling for written representations. The Commission’s recommendation suggests that the bottom-line pay for workers in South Africa be adjusted by the Consumer Price Index (CPI) plus 1.5% effective 1 March 2026.

This proposal follows an investigation that commenced in August 2025, incorporating stakeholder input. Since 1 March 2025, the national minimum hourly rate has been R28.79. This rate currently applies to all ordinary hours worked, including those by farm workers and domestic employees. The same uniform application is expected for the 2026 adjustment.

Interested parties have until 12 January 2026 to submit written representations regarding the proposed hike. These submissions will be considered before the final rate is determined and announced by the Minister.

Key considerations for the 2026 adjustment

  • The proposed increase formula is CPI + 1.5%.
  • The deadline for public comment is 12 January 2026.
  • The new rate is scheduled to take effect on 1 March 2026.

Click here to download the Investigation into the National Minimum Wage: Invitation for written representations.

What this means for you, your business, or your clients

  • For yourself: You must update your payroll compliance checklists to include the projected CPI + 1.5% increase for the 2026/2027 financial year to ensure accurate professional advice.
  • For your business: Firms employing staff at the minimum wage level must incorporate the proposed increase into their 2026 labor cost budgets and financial forecasts.
  • For your clients: Clients in labor-intensive sectors should be advised of the 12 January 2026 deadline to submit representations if the proposed increase impacts their operational sustainability.

Originally published at https://accountingacademy.co.za/news/read/doel-proposed-national-minimum-wage-hike-for-2026

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