The Congress of South African Trade Unions (COSATU) notes the 2026 increase in the Basic Conditions of Employment Annual Income Threshold with effect from 1 May 2026.  The Threshold will be increased to the amount of R269 601 per annum or R22 100 per month. 

Key labour rights, protections and benefits linked to the Threshold include the right to overtime pay, automatic access to the CCMA as well as income caps for unemployment insurance as well as paid maternity, parental and adoption leave.

This inflation-based increase is important to protecting the various labour rights, protections and benefits linked to the Threshold from inflationary erosion.  It is critical that this threshold is continuously adjusted annually to ensure that these critical rights are retained, protected and enhanced as workers receive their annual salary increases.

Whilst COSATU welcomes this increase, we remain deeply aggrieved that between 2013 and 2019 the Threshold was shamefully not adjusted by the Department of Employment and Labour.  This meant a significant reduction in the number of workers covered by these hard-won labour rights, benefits and protections.

The Federation has tabled bold and decisive proposals to the National Minimum Wage Commission for the Threshold to be comprehensively reviewed and substantially increased to ensure that all workers are fully covered and protected by our progressive labour laws. The failure by the Department to protect these hard-won rights between 2013 and 2019 is an abysmal shame that must now be urgently corrected.

Issued by COSATU

Matthew Parks (COSATU Parliamentary Coordinator)

Cell: 082 785 0687

Email: matthew@cosatu.org.za