ECS2604
EXAM PACK
,UNIVERSITY EXAMINATIONS
May/June 2022
ECS2604
Labour Economics
100 Marks
Duration: 4 Hours
First examiner: Mr. C Leotlela
Second examiner: Ms. L Nesongozhe
CONFIDENTIAL
This paper consists of eighteen (19) pages.
Instructions:
(1) Once you have completed your answers submit it as a single document in PDF format using
the eAssessment tool on the myExams portal. It is preferable for you to type your answers
(Font: Arial 12) and then convert your document to PDF format for submission. However, if
this is not possible, you may also write your answers down and scan them to a PDF file. Please
write legibly.
(2) Start with a cover page stating the module code, ECS2604, and your student number.
(3) This should be followed by your answers to the questions. Note that all questions are
compulsory. There are no elective questions.
(4) Make sure that each question is clearly numbered.
(5) This is a open-book examination. Other sources of information are not allowed.
(6) Plagiarism will not be tolerated and may result in disciplinary action if detected.
(7) Please ensure that you submitted the declaration of honesty on myUnisa.
(8) Please ensure that your PDF document is NOT encrypted to a “secured” mode and that it is
NOT password protected as these files cannot be marked. Virus infected files will also not be
marked.
, Page 2 of 19 ECS2604
CONFIDENTIAL May/June 2022
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, Page 3 of 19 ECS2604
CONFIDENTIAL May/June 2022
SECTION A 50 MARKS
Answer ALL the questions in this section.
QUESTION 1
Read the article below to answer the questions below:
New minimum wage a boost for millions of workers
- Cosatu
Article by: Khulekani Magubane Feb 08, 2022
Labour federation Cosatu has hailed the increase to the national minimum wage, as
well as the inclusion of domestic workers and farm workers.
The new national minimum wage is set at R23.19 per hour - an increase of 6.9% -
and includes domestic workers, whose minimum wage was previously set at 75% of
the national minimum wage.
The latest amendments are set to come into effect from 1 March.
Lobby groups such as the National Employer Association of South Africa (Neasa)
have been opposed to the national minimum wage in principle as well as an increase
in the domestic worker wage, arguing that it does not account for unique
circumstances of affordability.
The Department of Employment and Labour has processes by which any employer
that cannot afford to pay employees the national minimum wage can apply for an
exemption, which will be considered.
Cosatu spokesperson Sizwe Pamla said the gazetted increases to the national
minimum wage would make a positive difference in the lives of more than 6 million
workers, particularly those who were now included in the national minimum wage.
"It will mean a significant increase for the 892 000 domestic workers who are
overwhelmingly women and also improve the lives of 800 000 farm workers," said
Pamla.
However, Pamla stressed that Expanded Public Works Programme (EPWP) and
Community Works Programme (CWP) workers still remained at 55% of the national
minimum wage at R12.75. He said Cosatu would engage with government on how to
equalise EPWP and CWP wages with the national minimum wage.
"Cosatu is pleased that the extensive research undertaken by the National Minimum
Wage Commission shows that few job losses have occurred as a result of the