Minister Thulas Nxesi said the proposed policy aimed to address South Africans’ expectations regarding access to work opportunities given rising unemployment and a perception that foreign nationals are distorting labour market access.
The department has increased the minimum wage to R23.19 from R21.69 last year. This comes into effect on 1 March.
Labour inspectors in the province kicked off site visits to businesses in the sector on Monday to assess their compliance with employment regulations.
Inspector-General Aggy Moiloa told Eyewitness News that they were always seeking ways of maximising the little resources they had for a greater impact.
The officials were suspended nine months ago after the Auditor-General probed the COVID-19 TERS scheme and found that there were irregularities with payments due to lapses in verification systems.
The Labour Department said that among some of the factors considered during the adjustment of the minimum wage was the fact that there had been no negative impact on employment since its implementation, despite warnings from some quarters that this would be the case.
The Department of Labour and Employment on Monday said not only did the Uniondale Integrated Empowerment Project (UNIEP) apply for the funds illegally, but it also kept part of the proceeds in the name of bank charges.
During an inspection, officials found the electronics manufacturer wasn't following some of the basic guidelines of the Occupational Health and Safety Act.
Last week Nxesi said that to date, his department has only received over 103,000 applications from employers for the Unemployment Insurance Fund.
Domestic workers in South Africa often live on the premises of their employers, in subpar conditions, without job security, and on low wages.
If implemented, the act will put into motion measures to address the high non-compliance rate with the law, giving powers to the labour minister to regulate sector targets.
