The Department of Labor on Thursday threatened to take action against farmers who refuse to comply with the newly-set minimum wage for farmworkers.

Labor Minister Mildred Oliphant announced earlier this week that farmers will, from March 1, get a daily minimum wage of 105 rands (about 12 U. S. dollars) instead of the current 69 rands (8 dollars), which is called "slave wage" by farmworkers.

Some farmers have refused to accept the new sectorial determination, saying that would drive them out of business due to rising production cost.

In response to the refusal, Chief Director of Labor Relations at the Department of Labor Thembinkosi Mkalipi said, "Action will be taken against farmers who do not comply with the new sectoral determination."

But he did not say what action the government would take against the non-compliant farmers. The government, he said, has offered struggling farmers an option of a reprieve from the new wage increase, however the department has not received any applications of exemption from farmers.

The new sectoral determination would be promulgated for a three- year period, and during year two and three, wages will be increased by CPI, plus 1.5 percent. Thousands of farmworkers in the Western Cape Province downed tools in August last year and also in January to press their demand for a higher pay. They asked for 150 rands (18 dollars) per day, a demand rejected by Agri SA, an association of farmers.

The strike, which brought agriculture in the province to a standstill, was suspended in mid-January pending negotiations between farmworkers and farmers.

The new minimum wage was based on an agreement between farmworkers and some individual farmers who accepted the 105-rand benchmark.

The government held countrywide hearings on a new minimum wage for the agricultural sector.

Mkalipi said the sectoral determination does not include benefits.