Understanding the a pplication of wages in the motor industry september 2012 31 august 2013
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Understanding the A pplication of Wages in the Motor Industry September 2012 – 31 August 2013. Divisions of the Motor Industry.

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Understanding the a pplication of wages in the motor industry september 2012 31 august 2013

Understanding the Application of Wages in the Motor IndustrySeptember 2012 – 31 August 2013

Divisions of the motor industry
Divisions of the Motor Industry

Division A of the Main Agreement covers generic Conditions of Employment which are applicable to the motor industry other than those conditions which are specifically applicable to office, stores, sales and clerical employees.

Division A also contains definitions and the grades of the various employees.

Divisions of motor industry
Divisions of Motor Industry

Division B – covers all wages and conditions of employment which are applicable to office, stores, sales and clerical employees.

Divisions of the motor industry1
Divisions of the Motor Industry

Division C – contains minimum wages for all employees excluding Office, Stores, sales and clerical employees.

Divion c chapters
Divion C - Chapters

Division C – is divided into five chapters:

  • Chapter 1 - The entire motor industry, other than those specifically covered in Chapters 2, 3, 4 and 5

  • Chapter 2 – Vehicle Body Builders

  • Chapter 3 – Component Manufacturers

  • Chapter 4 – Automotive Engineering Establishments

  • Chapter 5 – Reconditioning Establishments

Division d sectors
Division D - Sectors

Sector 1 – Manufacturing (Chapter III)

Vehicle Body Building (Chapter II)

Sector 2 – Remanufacturing

Sector 3 – Engine Reconditioning Establishments

Sector 4 – Workshops, Motorcycle dealers, Body

repairers, tyre dealers etc.

Sector 5 – Fuel Dealers

Sector 6 – Dealerships

Sector 7 – Parts and Equipment Dealers

Grades of employees excluding division b employees
Grades of Employees excluding Division B Employees

Grades of Employees are included in our circular.

Please click link hereunder to access the information relating to the different Grades.


(Right click on link, select open hyperlink)

Minimum wages
Minimum Wages

Minimum wages means that an employer may not pay a wage less than that which is prescribed for the particular grade or category of employee, unless the employer has obtained an exemption from MIBCO.

Please note that Dealerships (Sector 6) employees have higher minimum wages than the rest of the industry.

Guaranteed monetary increases
Guaranteed Monetary Increases

Guaranteed monetary increases - the minimum monetary value of increases to be granted to employees who are earning above the minimum prescribed increases at the time when the agreement becomes effective.

Guaranteed monetary increases are not applicable in dealerships (Sector 6) and Component Manufacturers (Chapter III).

Actual increases
Actual Increases

Component Manufacturing Establishments (Chapter III) grant actual percentage increases to employees below the threshold of R115 500 per annum.

Effective date
Effective Date

The effective date of implementation is

1 September 2012, other than Forecourt Attendants and Cashiers at fuel retailers.

The effective date of implementation for Forecourt Attendant wages and Cashiers employed at Service Stations is 5 September 2012.

Understanding the a pplication of wages in the motor industry september 2012 31 august 2013

Prepared by: Regional Office

Aruna Ranchod- Director : Industrial Relations

Claire Patterson – Director : Communications

September 2012