National Minimum Wage Under Review: Commission Opens Window for 2027 Adjustment Submissions

Employers have until 4 September 2026 to shape the next national minimum wage adjustment, as the National Minimum Wage Commission formally opens its annual consultation process.

Purpose of the Notice

On 5 August 2026, the Department of Employment and Labour published Government Notice R. 7772 in Government Gazette No. 55135, inviting written representations on possible adjustments to the National Minimum Wage (NMW). Acting Chairperson of the NMW Commission, Mr Gavin Hartford, has called on all interested parties — employers, employer bodies, trade unions, and individual workers — to submit input ahead of the Commission's annual report and recommendations to the Minister of Employment and Labour, due later in 2026, in terms of section 6(2) of the National Minimum Wage Act 9 of 2018.

This is the formal opening of the 2026 review cycle that will determine the NMW rate effective from 1 March 2027. It follows the well-established statutory rhythm under which the Commission gathers evidence and stakeholder input before recommending an adjustment, which the Minister then gazettes ahead of implementation.

How to Participate

• Written representations: submit to the Directorate: Employment Standards, Department of Employment and Labour, Private Bag X117, Pretoria, 0001, or by email to nmwreview@labour.gov.za.

• Closing date: 4 September 2026.

• Survey questionnaire: an online NMW Survey Questionnaire is also available via the Department's website (www.labour.gov.za) and Facebook page, to supplement formal written submissions and assist the Department's analysis.

Key Considerations and Metrics for Submissions

Representations are generally most persuasive where they engage directly with the metrics the Commission and Minister weigh each year. Employers preparing input should consider addressing:

• Inflation and cost of living — CPI trends and the erosion of real wages since the last adjustment.

• Employment and unemployment effects — sector-specific job creation or job-loss risk, particularly in labour-intensive industries (manufacturing, agriculture, retail, hospitality, cleaning, security, and domestic work).

• Wage floor compression — the narrowing gap between the NMW and entry-level wages set in Bargaining Council agreements and sectoral determinations, and its effect on pay progression structures.

• Sectoral parity — the continued alignment of farm worker and domestic worker rates with the general NMW (achieved in 2022 and 2024 respectively), and any sector-specific relief sought.

• Compliance and enforcement capacity — the Department's stated intention to significantly expand its labour inspectorate, raising the practical risk profile of non-compliance.

• EPWP and learnership allowances — differentiated rates that may also be affected by the review.

Potential Employer Impact

For GBS clients, the 2026 review carries several practical implications that should be factored into 2027 budget and workforce planning cycles:

• Payroll cost escalation — based on the trend of the last three adjustments (8.5%, 4.4% and 5.0% respectively), employers should model a base-case NMW increase in the region of 5-6.5% for March 2027, with a higher-inflation scenario for contingency planning.

• Bargaining Council interaction — where sectoral or Bargaining Council minima already track the NMW, a further increase may trigger consequential adjustments across full wage scales, not only entry-level rates.

• Budgeting and forecasting — clients in manufacturing, cleaning, security, hospitality and retail sectors (where wage bills are NMW-anchored) should begin scenario planning now, ahead of the Commission's report later in 2026.

• Submission opportunity — employers with a material interest in the outcome, particularly through organised business or sector bodies, should consider using the current window (closing 4 September 2026) to place sector-specific evidence before the Commission.

NMW Increases: Three-Year Trend

The table below sets out the general NMW hourly rate adjustments over the past three annual review cycles, for reference in preparing representations and impact modelling.

Effective Date	General NMW (per hour)	Increase (Rand)	Increase (%)	EPWP Rate (per hour)
1 March 2024	R27.58 (from R25.42)	R2.16	8.5%	R15.16
1 March 2025	R28.79 (from R27.58)	R1.21	4.4%	R15.83
1 March 2026	R30.23 (from R28.79)	R1.44	5.0%	R16.62

Note: farm worker and domestic worker rates reached parity with the general NMW in March 2022 and March 2024 respectively, and have moved in lockstep with the general rate since. Figures reflect gazetted increases; percentages are rounded to one decimal place.

GBS Comment

This notice marks the start of the formal consultation window for what will become the eighth annual NMW adjustment since the Act's commencement in 2019. Given the consistency of above-inflation increases over the past three cycles, employers should not treat this as a routine gazette notice to file away — the representations made now, and the data submitted through the accompanying survey, materially shape the recommendation the Commission ultimately tables to the Minister.

GBS is available to assist clients in preparing sector-specific written representations.

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This article is for informational purposes only and does not constitute legal advice. For specific legal guidance on protected disclosures, employment practices, or compliance obligations, consult a qualified labour law practitioner.

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