Gsbt

South Africa will introduce a national minimum wage of 3,500 rand ($261) per month in 2018, Deputy President Cyril Ramaphosa said on Thursday, according to a Reuters report. The announcement follows protracted negotiations between the government and labour unions. Nigeria’s current minimum wage is N18,000 ($60) with organised labour asking it be increased to at least N50,000 ($166), despite several state and local governments defaulting on the existing amount. The Nigerian government has not acceded to labour’s request amidst a biting recession that has crippled Africa’s largest economy. Workers have meanwhile complained the N18,000 is way below a living wage and cannot meet basic needs of workers. Supporters of a South African minimum wage say it can stimulate growth as workers can spend more, and reduce inequality. Critics say it could lead to increased unemployment as employers will be unable to afford higher wage bills. Credit ratings agencies have said agreeing a minimum w