The minimum wage rate at $2 per hour has been derived after very careful consideration and in the interest of the workers and the small and medium businesses.
This is according to the Minister for Labor Jone Usamate who announced yesterday that cabinet has approved the minimum wage rate to be set at $2 per hour.
Usamate said the national minimum wage rate will cover both formal and informal sectors and that a large number of workers in the informal sector will significantly gain from the minimum wage rate of $2 per hour or weekly wage of at least $90.
Usamate added that although the individual income is still lower than the $186 Basic Need Poverty Line income for a four member family, there are several established poverty alleviation measures set up by the government that they can access.
However, the Fiji Islands Council of Trade Unions and Fiji Trade Union Congress has condemned the government decision to set the minimum wage rate at $2 per hour.
FICTU General Secretary Attar Singh said this has driven the lowest paid workers to permanent poverty.
He added that such rates when once fixed are difficult to adjust upwards.
FTUC National Secretary Felix Anthony said this has deprived workers and their families of a decent living.
He has called on the government to review the decision without delay.
However, Usamate said this will be reviewed within a year.
Anthony said the workers will have their say on this matter soon.
Story by: Praneeta Prakash
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Minimum wage rate derived after careful consideration - Usamate
