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Minimum wage rise delayed
published: Wednesday | March 19, 2003

By Balford Henry, News Editor

THE RECOMMENDATIONS of the National Minimum Wage Advisory Commission for an increased National Minimum Wage (NMW) will be delayed by at least a month.

Minister of Labour and Social Security, Horace Dalley, had asked the Commission to submit its recommendations by March 31, 2003. However, the Commission will not now be able to meet that deadline, as it will meet into the first week of April, and is expected to seek an extension next week.

The Commission is expected to meet next on March 25, secretary Marcia Sewell confirmed on Monday, to hear oral submissions from a number of the bodies that have sent in written submissions. But, they will also have to meet again on April 1 to conclude those oral submissions. The Commission is now aiming at an April 30 deadline for making its recommendations to the Minister, who will then take it to Cabinet and then to Parliament.

The Commission has already received submissions from a number of bodies, including the Jamaica Employers' Federation (JEF), the Jamaica Confederation of Trade Unions (JCTU), the Jamaica Society for Industrial Security, the Household Workers Association and Women Working for Progress.

Only those organisations which have already sent in written submissions will be allowed to make oral submissions.

The last increase was the 50 per cent raise which moved the minimum wage from $1,200 per week to $1,800, effective January 7, 2002. This created a new minimum rate of $45 per hour for a 40-hour week, instead of $30 per hour.

The minimum hourly rate for industrial security guards also moved from $50.50 per hour to $70.70. Security guards also benefited from a 50 per cent increase in laundry, firearm and dog handler's premium allowances.

The minimum wage was previously increased on August 2, 1999. It affects mostly non-unionised workers in the catering, dry goods, garment and dry cleaning trade, as well as agriculture and household workers.

The 50 per cent, or $600 per week increase fell short of the 100 per cent hike recommended by the National Workers Union (NWU), which had argued that it would have been necessary to lift the rate above the poverty line. An increase equivalent to 85 per cent of the per capita Gross Domestic Product (GDP) and spread over three years was recommended by the JEF.

Mr. Dalley, who took over as Minister last October, has supported an annual review of the rates following discussions with the JCTU and JEF last November.

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