How to help your domestic worker navigate finances

• Published date: 23 August 2023
• Author: Vuyile Madwantsi
• Publication title: Cape Times, The (Cape Town, South Africa)

According to Luke Kannemeyer, managing director of SweepSouth, the current financial crisis has devastating implications for South Africa’s domestic workers, 94% of whom are women, and four out of five are sole breadwinners supporting four or more dependants

Their wages are failing to keep pace with the soaring expenses, leaving them in a precarious financial situation. And they are still being severely underpaid.

It wasn’t so long ago when Tweeps were outraged over a job advertisement looking for a full-time live-in nanny that read: “Looking for a stay-in helper for my eight-year-old daughter. Please, any recommendations? Salary: R2 500. Age: 33-45”

The impact of high food and energy prices is particularly severe for the most vulnerable members of our society. Even those fortunate enough to retain their jobs (28% reported being retrenched in the past year) find themselves falling behind on repayments, with 35% sinking into debt.

Saving money has become a distant dream, revealed Kannemeyer.

As a result of tightening the belt, families are having to make drastic cuts in basic food items and not risk missing essential payments like having money for transport.

Consequently, the children of domestic workers have suffered from malnutrition and stunted growth.

Moreover, being forced to choose between life’s necessities can take a profound toll on mental well-being. In this current economic climate, it is our responsibility to extend a helping hand to our employees in every way possible, he said.

Pay a living wage

According to Kannemeyer, it begins with being a just and empathetic employer. Make sure your domestic worker’s salary is fair and meets, or even exceeds, minimum wage requirements, “Pay them a living wage. Only 14% of the respondents in our survey are contributing to UIF.”

Given the prevalence of job losses, if you have to let your domestic worker go, with UIF they will receive some kind of compensation.

Be a compliant employer

It is crucial to comply with the Basic Conditions of Employment Act. Being a compliant employer includes paying your domestic worker’s UIF, and making sure that your helper receives the requisite number of annual sick leave days.

Docking pay for days not worked leads to huge financial pressure.

Be sensitive

If your domestic worker travels to work each day, consider how load shedding and South Africa’s public transport might affect their ability to arrive at work on time.

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