'Minimum wage workers cannot afford basic, nutritional food'

Anele and the Club catch up on the latest business news with Zinathi Gquma. 

Listen below:

The latest Household Affordability Index paints a grim picture for low-income earners.

The latest estimates put a nutritional food basket at R3,800.

The current minimum wage is R27,58 per hour (about R4,900 per month). It will increase to R28,79 from 1 March. 

RELATED: Unions welcome minimum wage increase, point out it still falls short of providing decent living

With low-income earners spending 60% of their salaries on transport and electricity, they will not have enough money to afford the ‘basket’, says Gquma.

“[Low-income earners] are left with R2,100 for food and other items… They cannot even afford basic nutritional food products, and they are underspending about half on food.” 

– Zinathi Gquma

“It is no wonder that in this country... we do not have a proper savings culture... we live off loans, which we have to pay back with interest.” 

– Zinathi Gquma

Scroll up to the audio player to listen to the discussion.