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2022/2023 Provisional prescribed wages

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We are pleased to advise that the new wage tables for 2022/2023 have been finalised and are enclosed under Annexure “A”.

Members are required to implement these increases from the date of publication of the agreements in the government gazette, which will be communicated by the RMI once publication has taken place.

SAPRA members are aware that the Department of Mineral Resources and Energy (DMRE) implemented a fuel margin adjustment effective from 07 December 2022, which means that all affected Sector-5 employers are already receiving the retail margin increases on every litre of petrol sold from the said date. Employers are therefore encouraged to make the wage adjustments even though Sector-5 increases have not been gazetted by the Department of Employment and Labour (DEL) and can therefore not be regulated by MIBCO until the date of publication.

The new Main Agreement earnings threshold has been aligned with the threshold of the Basic Conditions of Employment Act (BCEA), which is R224 080.48 per annum and will remain aligned with the BCEA when increases are announced by the Minister of the DoEL.  It is important to note that independent earnings threshold clauses were added to the Motor Industry Fund Agreements as well as the Motor Industry Administrative Agreement. Up until now, only the Main Collective Agreement contained an earnings threshold which the other collective agreements referred to for application. The net effect of these changes is that all employees earning in excess of the threshold amount above, are exempt from the application of these agreements.

It is further important to note that the value of all allowances and non-wage cash components remains unchanged until 31 August 2025.

An employer that 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.

If members have any queries, kindly contact your local IR Specialist: IR Contacts – Retail Motor Industry Organisation (rmi.org.za)