Labour Ministry to finalise minimum wage increase in Private Sector

Labour Minister Joseph Hamilton has said that the National Tripartite Committee (NTC), on the issue of the salary increases for the Private Sector, is expected to meet within the next week to finalise the proposed increase in minimum wage.

The Minister made this disclosure during a virtual press conference on Monday.
The National Tripartite Committee (NTC), which comprises representatives of the labour movement, the Private Sector and the Government, at its meeting in April last year had agreed to up the national minimum wage for Private Sector employees to $60,000 per month. The increase was supported by all the constituents but was never implemented by the then Labour Department.
However, Minister Hamilton, who recently ascended to the office of Minister of Labour following the People’s Progressive Party/Civic (PPP/C) victory at the March 2 polls, indicated that he advised the Chief Labour Officer to urgently convene a meeting of the NTC to finalise the proposed increase.
He told the media that since the last engagement in April, the Committee did not engage again and the proposal was just sitting on the former Minister’s desk with no action. However, he related that at a recent interaction with members of the Private Sector, the impact of COVID-19 on businesses was discussed.
The Minister said that the impact of the pandemic would have to be taken into account when the NTC reconvenes to finalise the proposal.
“When the Committee meets that will be put on the table and we will have to discuss it and see how best we can keep the agreement that the three entities they had regarding this matter since 2019,” he stated.
He added that mechanisms would have to be put in place to ensure that the parties can stick to the initial agreement in light of the pandemic. Further, he noted that the revision of the agreement would depend on the nature of the upcoming engagement with the Private Sector bodies.
In January 2017, the Private Sector’s minimum wage was increased from an hourly rate of $202 to $255, taking the monthly wage from $35,000 to $44,200.
Over a year ago, consultant of the Labour Department at the then Social Protection Ministry, Francis Carryl had explained that the economy is vastly changing and another increase was crucial at that time.
“We’re not sure when the consultations will be completed, but we are working assiduously to raise the Private Sector’s minimum wage, to bring it up to speed with the 2019 economic circumstances. We don’t want to excite anyone, but all the parties including the unions, employers and the Government are interested with what has been brought to the table. As soon as the consultations are completed, we will announce the increase,” Carryl at that time related.
However, to date, there has been no such increase or a date slated for an increase to be implemented for Private Sector employees across the country.
In light of this, many workers attached to the country’s Private Sector have over the year left their jobs and sought employment at Government-run agencies or Ministries for better wages.
Back in December, the Guyana Agricultural and General Workers’ Union (GAWU) had urged the Private Sector to increase the minimum wage for its employees.
“This stark disparity requires urgent attention. Our Union is aware that the National Tripartite Committee (NTC), which comprises representatives of the labour movement, the Private Sector and the Government, at its meeting in April, this year agreed to up the national minimum wage to $60,000 per month. The increase which, we understand, was supported by all the constituents, at this time, has not been implemented…We are at a loss as to why the NTC is not meeting as such meetings are critical to ensure that the decision to increase the national minimum wage is implemented. Undoubtedly our nation’s workers are more than deserving and the improvement would bring about much-deserved relief to our working-class,” GAWU had stated. (G2)