FEDHASA is urgently coordinating a legal application to scrutinise the extension of the Bargaining Council for the Fast Food, Restaurant, Catering and Allied Trades Main Agreement to non-parties – and we need your support to make it happen.
Published in Government Gazette No. 55542 on 16 October 2026, the extension is due to take effect on Monday, 26 October 2026. This decision has potentially significant financial and operational implications for restaurants, cafés, caterers and other affected hospitality businesses across South Africa.
What does this mean for your business?
The agreement introduces a range of employment-related obligations for affected businesses, including:
- Prescribed minimum wages, ranging from the national minimum wage of R30.23 per hour to R57.23 per hour for certain categories, including chefs and managers.
- Employer contributions of 5% towards the Council’s Provident Fund, in addition to the employee contribution.
- Contributions towards a funeral scheme.
- A uniform cleaning allowance of R17.50 per week.
- A minimum annual bonus equivalent to two weeks’ salary.
- Council levies of R16 per employee per month, shared between employer and employee, and a R25 monthly levy per establishment payable by the employer.
The precise obligations applicable to each business will depend on the agreement’s provisions and the relevant circumstances. Members should obtain appropriate advice on their individual obligations.
For an industry already dealing with rising operating costs, pressure on margins, electricity and food costs, and the ongoing challenge of remaining affordable while sustaining employment, the extension raises serious concerns.
FEDHASA is taking action
FEDHASA believes that the decision warrants urgent legal scrutiny, particularly regarding whether the statutory requirements for extending the agreement to non-parties have been met.
This is not the first time this issue has arisen. In 2021, the Labour Court granted an interdict following an earlier extension of the agreement. FEDHASA is now coordinating a fresh urgent interdict application to challenge the latest decision.
We need restaurant owners and affected employers to stand together
A successful challenge will require both broad industry participation and financial support to meet the costs of urgent legal proceedings. We are therefore calling on members and affected businesses to do two things immediately:
1. Join the urgent interdict application
Please complete FEDHASA’s online form by no later than 17:00 on Tuesday, 20 October 2026:
- Company or legal entity name.
- Total number of employees.
- Full name and contact details of the authorised signatory.
The appointed legal team will provide further information on the application, the requirements for participation and the associated costs.
2. Contribute towards the legal costs
We are asking members who are able to do so to contribute towards the legal fees required to bring this urgent application. Contributions will help FEDHASA and participating employers challenge a decision that could have far-reaching consequences for the restaurant and hospitality sector.
Time is running out
With the extension due to take effect on 26 October, the timetable for legal action is extremely tight. We cannot afford to delay.
This is about more than one agreement or one business. It is about ensuring that decisions affecting an entire industry are lawfully made, properly justified and implemented with due consideration for the businesses and jobs at stake.
FEDHASA will continue to represent the interests of the hospitality sector and will keep members informed as the matter progresses.
Please act now. Send your details and confirm your participation before 5pm on Tuesday, 20 October 2026.
