South African workers will need at least R15,000 per month if they are to live a decent life.
This is according to data from Living Wage South Africa Network which was collected from working individuals across South Africa between November 2023 and January 2024.
Ines Meyer, spokesperson, Living Wage South Africa Network said that a living wage is sufficient for a worker to provide themselves and their family with the basic necessities of life and save for the future or cover unforeseen emergency expenses.
A living wage is different from the national minimum wage that employers are legally compelled to pay their workers, but which rarely satisfies their fundamental needs. In comparison, employers are encouraged to offer a living wage voluntarily.
Meyer said: “We also see a living wage as one means to afford those in our employ dignity, but, of course, it goes further. It is also about how we interact with employees, in practice and on paper in policies.”
The research behind the living wage is not based on typical methodologies for determining wages.
“Instead, we consider the subjective experience of individual workers. We ask individuals across South Africa to score their own ability to make choices in different areas of life which are important to them,” Meyer said.
These areas include measures such as quality of housing, employment, healthcare, physical and psychological wellbeing, and more.
The gathered information is then graphed against their reported net-income.
According to Meyer, a living wage is the amount from which onwards it becomes possible to realise the life domains which are valued. This makes it possible to identify annual changes and emerging trends in their life conditions.
“We use this data to determine a living wage that is both reasonable and humane,” Meyer said.
Employer resistance
Meyer said some employers see even the minimum wage as a financial burden and they argue it makes an ample workforce too expensive, resulting in higher unemployment.
However, Meyer disagrees.
“International living wage research shows that workers who can cope financially are more motivated, more productive and less prone to absenteeism,” Meyer said.
“This benefits their employers, who offset their costs through greater output to meet market demand. So far, there is no evidence to suggest that providing decent incomes increases unemployment.”
