In what will be seen as a rare rebuke of the PPP/C government, the umbrella trade union movement, FITUG on Monday called for the speedy revision of the national minimum wage (NMW) amid signs that there are moves to further delay a decision made in January this year for the figure to be $60,000 per month.
In a release, FITUG adverted to news reports that President Irfaan Ali had stated that Minister of Labour, Joseph Hamilton had been mandated to conduct wide consultations on the matter. FITUG said that it was unclear what form the consultations would take though as reported by Stabroek News the President had said that the private sector had views on this issue.
FITUG said that it does recall the private sector’s views and adverted to a statement by current Private Sector Commission (PSC) Chair Paul Cheong in the Guyana Chronicle of December 16, 2021 that “We had a meeting… and we agreed on the $60,000. A lot of the companies already pay that and more as the minimum wage, and employees need to be comfortable. For those who are below it, it will be a good boost to their income. It’s small, but people need to be comfortable to perform properly enough”.
FITUG said that arising from that decision, the private sector’s representatives on the National Tripartite Committee (NTC) would have voiced their support for the improvement of the NMW in January, this year.
“The NTC comprises representatives of the labour movement, the business sector, and the Government offering, in our view, an adequate forum for the exchange of views on this matter”, FITUG said adding that it remains “perplexed that despite the unanimous support that the improvement of the NMW remains essentially stuck. We are convinced that the present NMW can hardly be seen as adequate”.
FITUG adverted to a May 25, 2022, Stabroek News report that part-time employees “…will be required to work for 10 days per month, earning approximately $40,000.” FITUG said that this contrasts with persons at the NMW working for no less than 20 days to earn $44,200.
FITUG said it nonetheless seeks to play an active role in the consultations to be convened by Minister Hamilton.
“Given our massive economic expansion undoubtedly there is a need to ensure the current rising tide lifts all boats and that Guyanese workers can seek to have a decent living. Indeed, President Ali himself has committed to such and, we believe, at this time the NMW should be revised speedily”, the umbrella body said.
Since the tripartite committee encompasses private sector views, observers say there is no further need to consult and the President’s reference to broader consultations appears to be a delay tactic as some segments of the business community now appear unwilling to have $60,000 per month as the minimum wage.
Responding to a question on June 3rd about the delay in the implementation of the proposed $60,000 minimum wage for the private sector, Ali said the minister has been consulting on the issue and is yet to table a full paper for discussion at Cabinet.
“He (Hamilton) has not brought before cabinet the full paper to be discussed. You know the private sector had views on this issue. We asked the minister to have wide consultation to bring together the views of everyone then present a holistic paper. The minister still has that responsibility to bring a holistic paper,” Ali said at State House.
It is unclear how a “full paper” is now required when the private sector was fully represented on the tripartite committee which also includes the government and the trade unions.
