Abstract:
Poverty is a significant world wide issue. Although literature on the impact of a
minimum wage in the agricultural sector is rather limited, previous empirical research
shows that employment was reduced with the implementation of a minimum wage.
The following questions are studied:
- Does the implementation of a minimum wage have any effect on employment
in the agricultural sector of the North-West province?
- Is there any relation between poverty and unemployment?
- Does the implementation of a minimum wage and sectoral determination have
any impact on social-economic issues.
The empirical study is carried out by way of a questionnaire from which responses
are investigated. A random sample was used to evaluate the effect of a minimum
wage on employment and social-economic factors in the North-West province. The
target population includes all the affiliated members of Agri North-West. This group is
negative about labour laws and experiences that the implementation of a minimum
wage has a negative effect on employment.
The agricultural sector provides many job opportunities in South Africa. Seeing that a
minimum wage has a negative impact on employment in the North-West province,
further research is recommended.