Dionne Rose, Business Reporter
Pearnel Charles, Minister of Labour and Social Security, says he is still targeting the end of January for agreement on a new National Minimum Wage. - Rudolph Brown/Chief Photographer
Government was late in constituting the National Minimum Wage Advisory Commission to lead annual consultations on a new wage floor, but Labour Minister Pearnel Charles says the administration is still optimistic that a recommendation could emerge in January.
"We are still fighting for that," Charles told Wednesday Business.
But the consultations, which normally take up to two months, are yet to begin.
The process usually involves submissions from unions, employers and trade associations, with at least one of those groups saying it will be making a case for a $600 per month or 18.75 per cent increase.
Proposed increase
"We want it to be increased to $3,800," said Shirley Pryce, president of the Jamaica Household Workers Association (JHWA).
The current minimum wage is $3,200 for a 40-hour workweek.
But at least one trade union plans to make its case based on inflation, which would see its request being contained below a $500 increase.
"Based on what is coming out, the year-to- date figure of inflation show a 14 to 15 per cent," said Vincent Morrison, president of the National Workers Union.
"The fiscal figure is 11.5 per cent to 12 per cent. I don't think that we should settle for anything below that," he said. "The purchasing power of the workers must be protected."
The Jamaica Employers' Federation (JEF) has not said what level of increase company bosses consider affordable.
New commission
Charles, who has headed the Labour Ministry for three months following a change of government in September, has only recently appointed a new commission.
Its members are: newcomer, Charles Jones, former chief personnel officer at the Office of the Services Commission, who has been appointed chairman; Hopeton Caven, who will continue to represent the trade unions; and Silvera Castro, who is representing the employers.
Charles said the commission has already met and is expected to proceed with consultations almost immediately.
A reliable source in the ministry said the consultations normally take six to eight weeks, which could see the minimum wage being implemented a month later than is customary.
However, Charles is insisting that the increases could be in place before the end of January.
The minimum wage was last increased in January 2007 to $3,200 for general workers and $4,700 for industrial security guards.
dionne.rose@gleanerjm.com.