National Wage, Working Hours & Contribution Survey Results ‘07

1. National Wage, Working Hours & Contribution Survey Results ‘07 ? Spur: We are here to give…… “People a taste for life” Only possible if you have…… “People with a taste for life”

2. BCEA = Hygiene??? • Good hygiene will not attract excess guests, as it is expected that food outlets are clean & healthy • So….. • Sound BCE will not attract people however, if they are lacking, they will deter people from seeking employment or from planning long term employment in your establishment

3. What is it that Employees want? • Role clarity – what is expected from me • Care – someone is concerned for my well being • Fair treatment • Improvement – development • Feedback: • R+R=R? Appreciation for a job • How can I improve?

4. Very Basic Maslow’s Hierarchy of needs: HAPPY WITH ONE’S EXISTENCE FEEL GOOD & HAVE PRIDE LOVE & FRIENDS SHELTER & SAFETY FOOD & DRINK

5. Look as Maslow’s Hierarchy: Are we meeting basic needs? • Food & drink • Can all who work for us provide for themselves and families???? • Safety & Shelter • Safety: if I break a leg? 2 months out of action, how am I going to pay my rent, feed myself? • Medical, provident, UIF? • Time to pay bills: electricity, rent, etc • Love & Friends • Do I have time to have a relationship? • Do I have time to see my children • Divorce rate in Spurs? • Feel Good & Have Pride • Am I told daily “what’s good about what I do?” • Am I told daily how I can achieve more for the business & myself? Purpose of Management is to channel the behaviour of all personnel to accomplish the Businesses’ mission and objective, while simultaneously helping them accomplish their own career & personal objectives. “Organizations do not succeed while their people are failing”.

6. Interesting Facts: Production Staff • Basic purchases per day: • 2 x Loaves of bread: R11 (brown) • 2lt of milk: R12 • 1 Cabbage R 6 • Total: R29 per day • Per month x 30 daysR870 • 12.5kg pap R44 • Taxi – round trip R14 x 16 days R336 • TotalR1250 basics per month This excludes: rent (room R250), schooling, medical, meat, marg, clothing, deo, soap, toilet rolls, etc Average minimum wage: • General staff member: R1 500 • Senior staff member: R2 000 • Dishwasher/cleaner: R1 100 • Of stores 74 surveyed: no store has medical benefit for staff (aids/ poor health?) Stat: On average, every working person in this country supports 14 others! One store confessed to paying dishwasher R25 per day x 6days x 4 weeks = 600 p.m HOW WILL I SUPPLIMENT MY INCOME?

7. Interesting Facts: Managers working hours: • Lowest Hours 48 per week • Highest Hours 81 to 95 week • Average hours 65 per week • BCEA 45 hours per week – for all • Max 10 (JHB 16) hours overtime – for all • Total hours to be worked a week: 55 • All, on average work 10 hours p/week- over time (65 hours) • Over time: anything over 45 hours per week is paid out - time and a half • Therefore – most mangers would be paid time & a half for 20 over time hours per week

8. 65 hours per week • If a manger is working 65 hours a week – he is working 10 hours a day • He at least has, on average 14 hours off time a day • 8 hours sleep • 1 hour shopping, pay bills, traveling, etc • 2 hours bathing, personal issues, laundry, cleaning, hobbies • 3 hours family time

9. 72 hours per week • 72 hours per week / 6 days a week = • Works 12 hours a day on average • 8 hours sleep • 1 hours shopping, pay bills, traveling etc • 2 hour bathing, personal issues, cleaning house, laundry • 1 hour family time per day • Most managers work night shifts – do they get to see their people • Operators take Sunday off, do other mangers have time off on this day, once in a while?

10. Hours between shifts • If a manger closes at 24h00 & opens at 8h00 • 8 hours between shifts • 6 hours sleep • 1 hour personal issues, bathing, laundry • 1 hour travel, bills, purchases (if a shop is open) • BCEA states that all are entitled to 12 consecutive hours between shifts!!?

11. Our managers are entitled to: • Have a life • Pay their bills • Have relationships • Spend time with their families & friends • Have hobbies: exercise, out door, movies, study etc • Have rest & enjoyment • The happier one is in their personal life, the better employees they are! • This is why people leave us to look for a real job with ‘normal’ working hours • Exit interview – 70% of managers leave due to time!

12. Managers are NOT entitled to overtime in Pretoria if they earn: Pretoria BC • R45 000 per annum – R3 750 per month Max hours per week, including overtime: 61 hrs per week • Basic working hours 45 per week, max • Over time:16 hours over time per week Overtime rate: • Any overtime is to be paid at rate 1½ x hourly rate • Over time paid at R28.43 per hour x 16 = R454.80 x 4 =1 819.20 should be paid in overtime if salary is R 3 600 p.m.

13. JHB Bargaining Council JHB B.C. silent on max working hours & salaries that exclude overtime, i.e–comply with BCEA Hourly rate stipulated by JHB B.C: • Min mgmt salary @ 16.88 = R3038.40 • Min assistant salary @ 11.84 = R2131.20 • Supervisor salary @ R10.33 = R1859.40 Overtime – paid at 1½ x hourly rate

14. BCEA – all those NOT located in JHB & Pretoria region Basic Manager’s Salary: • R115 000 P.A. or R9 600 P.M Any person earning under this is entitled to overtime at their hourly rate x 1½ Therefore in general, on average, only the owner/operator is NOT entitled to overtime!

15. ? What’s the solution? Work smarter not harder • Restructure hours – or pay overtime? • Up grade technology & equipment • Employ casual labour at an hourly rate to work over peak times: • Host – door • Floor service supervisor • Adim clerk/ cashier • Owners may have to start putting in more hours or pay overtime?!

16. Priority…… • Happy well trained managers = happy well trained staff/ waiters = well run business  • Ultimately for managers it’s a job & the Owners “shadow is definitely the best fertilizer!” Stu Leonard

17. National Wage, Working Hours & Contribution Survey Results ‘07 Results of the 74 stores that were surveyed Nationally…………… Excel spread sheet…..