The Youth Employment Service (YES) recently celebrated a defining chapter in South Africa's employment journey. Together with the private sector we reached a milestone of creating over 200 000 work opportunities, transforming lives through dignity, purpose, and possibility. This moment affirmed YES as a national strategic asset and one of the largest corporate-funded youth employment programmes globally, delivered without drawing on the national fiscus.
YES values your continued investment in South Africa’s youth, a commitment that strengthens families, builds communities, and helps unlock the future of our economy. Your partnership remains a critical enabler in multiplying impact and shaping a future that works. We are writing to inform you of recent changes to minimum wage legislation. The minimum wage received by YES placed youth must comply with the relevant labour legislation including the Basic Conditions of Employment Act, 1997, the National Minimum Wage Act, 2018 and any sectoral determination that the employer is regulated by.
75% of YES Youth come from households that receive salary grants, and 79% have dependents, meaning the impact of the YES salary ripples across families and communities.
By placing young people in jobs and including them into the economy, we are helping to create a sustainable future for our country, companies and youth. Together, we have injected over R12 billion into the economy through youth salaries and to date, we have created 216,000+ high-quality work experiences.
And now, this salary will be going much further, with the recent minimum wage increase, effective 01 March 2026.
Minimum wage update
The recent amendment to the Minimum Wage Act of 2018 has increased the national minimum wage from R28.79 per ordinary hour worked to R30.23 [Gazette no.54075]
The effects of the increase
Where a YES Youth works 40 ordinary hours per week, the YES Youth will need to be paid a minimum wage of R5 241.00 per month. It’s an increase of R249.00 from R4 992.00 minimum wage that applied previously. Adding to this, the Skills Development Levy and Unemployment Insurance Fund company contribution will therefore also increase to a combined R104.82 per youth per month. This is calculated at 1% of R5 241.00 per month for each of UIF and SDL (R5 241.00 x 2% = R104.82) and brings the total increased wage cost to R5 345.82 per youth per month. If your YES Youth salaries are paid through the YES Implementation Partner Model, you will shortly be receiving an invoice from YES for the related minimum wage top-up contribution required.
Investing in youth employment delivers measurable and sustained impact. It strengthens families, builds community resilience, and ensures a pipeline of future-ready talent. Your commitment plays a critical role in unlocking the potential of young South Africans.
Together, we are multiplying impact and shaping stronger futures.
Thank you for saying YES!
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Amendment to the Gazette