New National Minimum Wage rate to come into effect from today

The new National Minimum Wage rate of $2.32 will come into effect from today.

Minister for Employment, Productivity and Industrial Relations, Jioji Konrote says the increase will see more than 100,000 marginalised workers have their weekly wages increased.

He adds the national minimum wage covers workers in the informal sector as well as those workers in the formal sector that are not covered under the current 10 Wages Regulations.

Konrote says employers almost had a five months adjustment period to enable compliance with this new wage policy.

He adds the enforcement of the first minimum wage has been successful with minimal non‑compliance by the employers.

Konrote says a total of 98 percent of the 581 employers that were inspected in 2014 complied with the law while 90 percent compliance has been recorded for the first two quarters of 2015.

He stresses the Enforcement Unit of the Ministry will continue to ensure compliance of the new wage through regular employer inspections.

He adds to protect workers from being exploited, the fixed penalty notice under the Employment Relations Regulations has been increased from $100 to $500 dollars.

The employers who fail to comply with any provisions of the National Minimum Wage will be issued on spot fine of $500 dollars by Ministry’s Enforcement Officers.

Konrote says the National Minimum Wage does not repeal but coexists with the current sectoral minimum wage rates for workers in the ten sectors covered under the new 2015 Wages Regulations.