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Hospitality SD 14 Rates 1 July 2009 - 30 June 2010
New rates for the hospitality industry at 11.1 %
Small to Medium enterprizes were hoping to see a much lower percentage increase than the 11.1% on the minimum wages. This increase is applicable from 1 July 2009 until end June 2010. Given the current difficult financial circumstances small to medium enterprises has reported that they struggle tremendously to implement these wages. Some employers were already on short time and/or reduced their workforce and the increase could not come at a worse time.
Specifically in the Garden Route, businesses in this industry has reported an almost 40% drop in turn over. Theory and factual knowledge has become a reality for hospitality business owners in that the "luxuries of eating out and sleeping in luxury accommodation" is affected tremendously within such economic climate. The spending ability of the consumer declines and it is quite logical that the consumer cuts on luxuries.
All is not negative! Employers are looking forward to 2010 and expects the soccer enthusiasts, players and their support staff to boost the industry again from as early as April 2010.
To download the minimum wage rates click here.
