National minimum wage under consideration

MBABANE – Government is considering introducing a national minimum wage that could change how workers’ minimum pay is determined across the economy.

The proposal follows a feasibility study commissioned in 2024 with technical support from the International Labour Organisation (ILO).

Government disclosed the development in its responses to the United Nations (UN) Committee on Economic, Social and Cultural Rights.

According to the report, Eswatini currently regulates minimum wages through the Wages Act of 1964.

The legislation provides for minimum wages across 18 sectors.

These wages undergo periodic reviews to account for changes in the cost of living.

However, government is examining whether the country should introduce a national minimum wage.

The report states that a consultant was engaged in 2024 to assess the feasibility of the proposed arrangement.

Consultations were also conducted through structures representing government, employers and workers.

The consultations were intended to balance the interests of the different parties.

Government said stakeholders adopted a roadmap following the development of an inception report outlining proposed options.

A national wage floor could change the minimum amount employers are required to pay, depending on the model adopted.

The report also identifies proposed amendments to employment legislation. The draft Employment Bill of 2024 includes measures intended to strengthen wage security.

These include provisions requiring wages to be paid in legal tender. The proposed legislation would also prohibit agreements restricting how employees spend their earnings.

Government said the reforms were intended to strengthen protections governing wage payments.

During the UN committee’s review on November 3, government confirmed that establishing a national minimum wage board remained under consideration.

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