The Cabinet has approved a national minimum wage of N$18 per hour, starting in January 2025. The new policy, scheduled for review after two years, is expected to benefit employees in security, agriculture, construction and domestic sectors.
Ministry of Labour, Industrial Relations and Employment Creation Executive Director Lydia Indombo stated that this wage order is crucial for ensuring a fairer income distribution and improving the livelihoods of the most vulnerable workers.
This decision follows the appointment of a Wages Commission by Minister Utoni Nujoma in February 2021.
“The Commission conducted a thorough investigation into various industries and ultimately recommended the N$18 per hour rate. The national minimum wage will apply to all employees, with certain exemptions as specified by the Minister through Wage Orders,” Indombo explained.
She highlighted that the national minimum wage sets a baseline, not a ceiling, ensuring that no worker is paid less than the minimum threshold while allowing room for higher wages through negotiations.
“By setting a wage floor, the national minimum wage helps narrow the income gap and reduce poverty. With increased income, workers can achieve a better quality of life. The national minimum wage is about dignity, fairness and the opportunity for every worker to lead a decent life,” Indombo explained.
Currently, domestic workers earn a minimum of N$9.03 per hour and will see their wages rise to N$18 per hour over three years.
“In the first year, domestic workers will earn N$12.02 per hour, followed by N$15.01 per hour in the second year,” Indombo said.
Similarly, agricultural workers, who earn a minimum of N$6 per hour plus in-kind payments, will see phased increases to N$18 per hour by the third year.
“Their wages will be N$10 per hour in the first year and N$14 per hour in the second year, exclusive of in-kind benefits,” Indombo noted.
A notice with detailed information on the national minimum wage will be published in the Government Gazette in July 2024.
