LABOUR and Public Service Minister Pia Glover-Rolle.
Glover-Rolle assures unions they will be included and informed
By LEANDRA ROLLE
Tribune Chief Reporter
lrolle@tribunemedia.net
THE Davis administration wants to increase the minimum wage again soon, Labour Minister Pia Glover-Rolle said yesterday.
She did not give a timeline for when a decision would be made but said talks are ongoing.
She said officials had discussed the matter with a senior economics wage specialist at the International Labour Organisation.
She said union leaders would be included in discussions, adding: “You have my commitment to that.”
“Not only will you be included, but you will be informed because I will
make sure that it’s not said that our stakeholders were not aware of our plans and were allowed to mistakenly believe that this increase is not a high priority for this government.”
The Davis administration increased the minimum wage from $210 to $260 in January 2023. That was the second increase since the Ingraham administration introduced the minimum wage in 2001 at $150 per week.
Some workers said the increase did not go far enough given rising food and electricity costs.
“Implementation of each minimum wage increase requires the consideration of the various practical details, knowing that there are economic realities that inform and limit the increase,” Mrs Glover-Rolle said during a labour legislation symposium yesterday.
Yesterday, Mrs Glover Rolle said the government must do its due diligence before introducing a livable wage, saying this will require a phased and balanced approach.
“The realities may require compromise,” she said. “Having a liveable wage as a goal is one thing, but actually making it a reality requires careful planning and execution over the medium to long term. It will also require a phased approach.”
She later told reporters: “It has to be from a data-driven and research-driven approach. We have to ensure that while we are looking to implement a liveable wage that we would also have sustainability of our businesses or the employers so this is a process that is ongoing.”
Mrs Glover-Rolle also reiterated the government’s promise to fulfil each commitment in a pre-election Memorandum of Understanding it signed with the National Congress of Trade Unions Bahamas (NCTUB) and the Trade Union Congress (TUC).
The controversial 2021 signing resurfaced last week after Bahamas Electrical Workers Union (BEWU) president Kyle Wilson claimed the Davis administration is violating the agreement by leaving Bahamas Power & Light’s unions out of discussions about reforming the utility company.
She said while the government cannot do everything at once, it will not stop working until every promise is fulfilled.
Comments
sheeprunner12 3 months, 3 weeks ago
Minimum wage is not the answer.
The Government has to find new ways to LOWER the cost of living to ordinary Bahamians.
Also, Bahamians need to be more financially responsible as well. Most are too much in debt on consumer loans.
moncurcool 3 months, 3 weeks ago
Spot on
Sadly, we have these politicians who do not understand economics or running a business at the heading of this country. Any wonder they do not understand cause and effect or seeing the big picture?
jackbnimble 3 months, 3 weeks ago
Well said. The cost of living is extremely high in the Bahamas so all an increase in minimum wage will do is drive the prices of everything up as it is a business cost and businesses aim to make a profit. Wages cut into that.
joeblow 3 months, 3 weeks ago
... if only they could find a way to increase employee productivity! Increase the MW and then watch unemployment increase too!
bahamianson 3 months, 3 weeks ago
The hampstet wheel continues. Sheeprunner, I agree. They increase minimum wage, the businesses increase prices. Nib increases tax and the businesses increases the prices. Gas increases and the businesses increase prices. We need officials whom can think and use their economic and financial degrees.
Sickened 3 months, 3 weeks ago
An increase will only help for a week or two, until the business owners have to increase their prices. Some businesses will even increase their prices prior to having to pay higher wages. As sheeprunner says, government needs to find ways to lower the cost of living - this will only increase it.
AnObserver 3 months, 3 weeks ago
You know nothing about how businesses work. How are you justified in dictating to them, who run successful businesses, how to to operate, when you, the govt, have a eight figure net deficit every year? You are demonstrably the least qualified to give business advice.
JokeyJack 3 months, 3 weeks ago
Bahamas motto: "Soon Come"
Dawes 3 months, 3 weeks ago
Come just before the next election ?
Engineer 3 months, 3 weeks ago
“One man’s pay increase is another man’s price increase” Quote from Winston Churchill.
ExposedU2C 3 months, 3 weeks ago
The "officials" should have had a town hall meeting with a large and diverse group of representatives of the local business community. At such a meeting they would have been told over and over again that ever increasing government taxes and fees, combined with excessive and overly burdensome government regulations, are major contributing factors to the cost of living crisis being experienced by so many Bahamians.
At the town hall meeting, these same officials would have been reminded that the greedy cruise ship industry continues to contribute very little if anything to our domestic economy. They also would have learned that this PLP government has failed to introduce any meaningful policies aimed at creating decent paying jobs to help drive down the very high unemployment rate, especially among young people.
And rather than officials meeting with a presumably foreign senior economics wage specialist, Pia and her fellow cabinet members should be meeting with a couple of Bahamian senior economics cost-cutting specialists!
LastManStanding 3 months, 3 weeks ago
Minimum wage should be increased on a yearly basis tied with the current rate of inflation to ensure that the lower economic stratas of society are not being placed at an economic disadvantage.
The problem with simply saying "lower the COL" is that the government is a huge part of why this country is so expensive to live in with duties and lots of excise taxes, but they have painted themselves into a corner with debt and cannot afford to lose revenue. Some stuff like absurd housing costs on on NP and some Family Islands, extremely high energy costs, etc. is also a result of poor government planning as well.
Another thing to consider is that quite frankly there are very few "skilled" jobs here, with unskilled and semi skilled labour dominant. Unless you are a doctor, lawyer, successful real estate agent, big contractor etc. you there really isn't a chance for you to make much money here unless you have a friend or lover to give you an overpriced gubermint contract. Either that or you have to get tight with the rich foreigners who can give you work and get you connected with that clique, and even then a lot of them will shaft you in favour of their American friends at the first opportunity.
Bahamian economic problems are extremely complex and can't be solved by just raising the minimum wage or saying "lower the COL". I really don't see any way it gets better here; the people with the opportunity to leave will leave (not that overseas is any better at this point) and the ones left behind will either sink or swim as the gap between rich and poor continues to grow bigger.
ThisIsOurs 3 months, 3 weeks ago
From an ilo.org article: "Most frequently, countries adjust their minimum wages once a year. Some countries, adjust rates every six months, while others have 2-years intervals. Annual adjustments seem adequate in periods of low or moderate inflation, providing workers and employers with appropriate predictability and allowing for regular adjustments, in line with evolving economic circumstances.
What to do if there is high inflation? Yearly adjustments allow for predictability and smooth adjustments, and can be complemented by more frequent adjustments when inflation exceeds some threshold.
In some countries, when inflation accelerates above a certain threshold, more frequent adjustments are automatically applied. In France, for example, the minimum wage is automatically increased whenever price inflation exceeds 2 per cent within a given year.
Automatic indexation above a certain level, however, can be risky and lead to inflationary wage-price “spirals” in situations of sharply accelerating inflation.
A very complex issue. In the US the federal minimum wage increase requires an act of Congress. Despite the theory from the ilo, from epi.org (economic policy institute), in the US: "The federal minimum hourly wage is just $7.25 and has not increased since 2009. The Raise the Wage Act of 2021, introduced in the U.S. House of Representatives on January 26, 2021, would gradually raise the federal minimum wage to $15 an hour by 2025." this article was dated Jan-2021, but the 2024 fed min wage is still listed as 7.25.
The Bah govt is doing alot of uncoordinated good things, a clear sign that the motivation is not based on strategy and has everything to do with a 2025/2026 election campaign. Had this been strategic, at the time of the first increase which was just a few months ago, they would have stated the plan for the sliding scale and the ultimate goal. They didnt. Business like stability and predictability
John 3 months, 3 weeks ago
Do like the Biden Afministration is doing then. Increase the minimum wage but flood the country with millions of immigrants who not only take minimum wage jobs, but they create a housing shortage that pushes up the cost of housing . They also overload the welfare and healthcare services, so not only are minimum wage workers unemployed, but they must now battle for housing, medical, social and welfare services. Are we there yet
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