Families struggle to survive as food costs outpace minimum wage

FAMILIES are forced to 'eat what they can afford' as minimum wage workers struggle to survive on R4,836 per month.

New research shows 59% of wages are consumed by electricity and transport alone, leaving children particularly vulnerable to malnutrition.

The Pietermaritzburg Economic Justice and Dignity (PMBEJD) group warns that this crisis threatens the nation's future economic prospects.

They have called for an increase in the minimum wage as recent statistics show that minimum to average earning workers were “living below the poverty line”.

With a monthly increase to food basket, the rising cost of electricity and transport, families are forced to eat what they can afford while children who depend on support grants are “suffering the most.

This is according to statistics from the (PMBEJD) September 2025 Household Affordability Index (HAI), which tracked prices of basic foods each month in Durban, Johannesburg and Pietermaritzburg.

In September, of the 44 foods tracked in the food basket, 21 foods increased in price.

Foods which increased in price by 5% or more, included chicken gizzards (5%), beef liver (7%), butternut (13%), green pepper (9%), and bananas (8%). 

Foods which increased by 2% or more, were sugar beans (4%), salt (2%), curry powder (2%), chicken livers (2%), wors (4%), canned beans (4%), peanut butter (2%), white bread (2%), and brown bread (2%).

Foods in the basket which decreased in price by 5% or more, included potatoes (-15%), onions (-7%), fish (-6%), tomatoes (-11%), carrots (-9%), spinach (-9%), cabbage (-5%), and oranges (-5%). Foods which decreased, by 2% or more, include soup (-2%), tea (-2%), and beef (-2%). 

Mervyn Abrahams, spokesperson for PMBEJD, called on government to look at increasing the minimum wage.

“The wage workers earn is not just to sustain themselves alone, it is used to support the entire family. The National Minimum Wage (NMW) is R28,79 per hour, R230,32 for an 8-hour day, and R4 836,72 for an average 21-day working month. In September 2025, with 21 working-days, the maximum NMW for a general worker is R4 836,72. Workers work to support their families. 

“One wage typically must support four people. Dispersed in a worker’s family of four persons, the NMW is R1 209,18 per person, which is below the upper bound poverty line of R1 634 per person per month. 

“The September 2025 average cost of a basic nutritional food basket for a family of four persons is R3 689,64. On our calculations, using Pietermaritzburg-based figures for electricity and transport, and the average figure for a minimum nutritional basket of food for a family of four, puts electricity, and transport, taking up 59,2% of a worker’s wage (R2 861,85/R4 836,72),” he added.

Abrahams said food was bought after monies for transport and electricity had been paid for or set aside, leaving R1 974,87 for food and everything else.

“In September, PMBEJD calculated that workers’ families will underspend on food by a minimum of 46,5%, having R1 974,87 left over after transport and electricity have been paid, and with food for the month costing R3 689,64.

“In this scenario there is no possibility of a worker being able to afford enough nutritious food for her family. If the entire R1 974,87 all went to buy food, then for a family of four persons, it would provide R493,72 per person per month. 

“This is below the food poverty line of R796 per person per month. In September 2025, the average monthly cost to feed a child a basic nutritious diet was R940,62. The child support grant of R560 is 30% below the food poverty line of R796, and 40% below the average monthly cost of R940,62 to feed a child a basic nutritious diet.

“The government needs to look at increasing the minimum wage to make it possible for households to be able to access nutritious food, which is the basic necessity of life. 

“Child support grants are not enough to allow for children to have access to sufficient or nutritious food, especially if there is no other income in the household. Child support grants need to be set at the food poverty line or what it costs to feed a child. A child not having sufficient nutritious food has a direct input in a long term economic trajectory.

“If children do not eat properly, they cannot perform at their full potential and this results in stunting their growth.Their ability to function in a modern economy will be severely damaged and the country will pay for it in 10 to 15 years from now, with higher unemployment rates. We need a restructure of the budget for this to be resolved,” Abrahams added.

He said food retailers, who were at the  “apex of the food system” were benefiting from food price hikes, while consumers were struggling to make ends meet.

“They are paying their CEO’s and their directors millions of rand, while food prices are high and unaffordable. How do they justify these high salaries? There must be high profit margins for this to be.

“Food retailers should look at profit margins and try to keep nutritious food priced lower. But the solution does not depend on a decrease in food prices alone.  When electricity increases by 15% , wages increase 5%. A larger portion of wages then goes to paying electricity, leaving less money to buy food.

In his weekly newsletter last week, President Ramaphosa highlighted the growing food insecurity crisis in South Africa, exacerbated by rising inflation and food costs.

He called on major retailers to make nutritious food more affordable while acknowledging government interventions like zero-rating basic food items and the Competition Commission's efforts to combat price-fixing.

He specifically urged the 'Big Five' retail companies to take greater responsibility in ensuring affordable healthy food choices for all South Africans. 

 “With the majority of South Africans relying on supermarket retailers for their food supply, the private sector has an important role to play. The ‘Big Five’ retail companies (Shoprite, Pick n Pay, The Spar Group, Massmart, and Woolworths) can and must play a far greater role in making nutritious food more affordable for households. We acknowledge the efforts being made in this regard by a number of retailers to keep their prices as low as possible, as well as initiatives to keep daily essentials affordable. The Shoprite Group’s R5 products line is an example of this. 

“As retailers work to grow their market share among low-income households, they have a responsibility to ensure this includes affordable healthy food choices such as plant and animal proteins, fruits and vegetables,” Ramaphosa said.

POST