Should the minimum wage be increased?

Author : teriann

Have you ever tried imagining how much better life in Jamaica would be if everyone was able to survive on their salary?

Persons would lose that desperate look as they try to decide what necessary items they will have to live without! There would be less crime as persons would not feel that they had to commit illegal acts in order to get enough money to provide for their family’s basic needs.

Of course, that scenario might seem to be wishful thinking but it would certainly go a long way to alleviate some of society’s ills. The reality is that many persons who are working only earn minimum wage which is not enough to feed a small family much less a larger one with extended members.

Minimum Wage

The minimum wage has been increased a number of times but it still has not fully met the needs of the workers. Their salary might have increased but so has the cost of living.  This means that you need to go shopping with more money than you did in the past but it buys less things.

The current minimum wage in Jamaica is $5,600 per 40-hour work week.  It was last increased on January 6, 2014 as well as a new minimum hourly rate for industrial security guards which was increased from $7,320.40 to $8,198.80 per 40-hour work week.

Can this be enough for a family to survive?

Well, let’s assume that rent and utilities, food costs add up to $30,000. and you only earn $22,400 per month. There are also the additional costs of transportation and  lunch  as well as other incidentals.

How are persons who earn minimum wage able to survive?

They have learnt to be resourceful and cut corners in order to stretch the money they earn. The strain is showing though as some persons have taken on more than one job in order to make ends meet.

So do you think that minimum wage should be increased?

The problem with raising minimum wage is that if employers feel that they can not pay they might lay of workers or pass on their costs to consumers who will be faced with higher prices!

As reported in an article published on The Gleaner’s website, “President Nicolas Maduro has raised Venezuela’s minimum wage for the second time this year to help workers being battered by the world’s highest inflation.”

I am sure that Jamaican workers would appreciate a similar gesture!

I think that there must be a balanced discussion on the issue. Drop me line below and share your thoughts!

Teri Ann Renee Paisley

Gleaner online writer

Tags:

The opinions on this page do not necessarily reflect the views of The Gleaner.
The Gleaner reserves the right not to publish comments that may be deemed libelous, derogatory or indecent.
To respond to The Gleaner please use the feedback form.

3 Responses to “Should the minimum wage be increased?”

  1. RAISE WAGES NOW
    Dear Editors, It seems I am being instructed not to write this letter now. It is my opinion that the workers in our society are suffering from intense poverty, which need to be alleviated. Hence I write my reasons. Andre who was not available, suggested that I send it to Gleaner letters.
    There is an article in today’s Gleaner which comes from the head of the IMF’s mission to Jamaica, Mr. Martijn, which indicates that the IMF wants no wage increases in Jamaica at the current time; as this would upset the financial budget. Irrespective, it has been 3 to 4 years government and civil service employees have had no increase in pay to deal with rising inflation; Minimum wages have been limited to 10%. The pressure to survive has become extreme, poverty is increasing, and the crows of heaven are hungrily looking at their prey.
    On both sides of this equation everyone starves to death; unemployment is rising, adolescents leaving school have little future prospects in work and service, better educated employees seek to migrate. Only certain political candidates seem to gaining weight, and making fancy visits overseas and spending money on irrelevant causes, like climate change and climate monitoring (The Riverton City Dump; consider Min Housing, and Environment and Environmental disaster at its Riverton Dump).
    The City dump is currently on fire from neglect by the climate monitors and their administrators. This result is concurrent with opinions that the dump is poorly managed and monitored.
    In an interesting article about wage freeze policy, Paul Krugman a senior economist at NY Times, pointing out that a wage freeze austerity measure may result in opposite effects: Productive slowdown, in many U.S. companies (after some experiences), are occurring with more regularity than expected.
    Paying workers better will lead to better morale, higher productivity, and lesser turnover of employees.
    Significant pay increases across the board for millions of American workers may be contrary to public thinking: So the answer is raise minimum above expectations; allow workers to organize, direct fiscal and monetary policy towards full employment. If this is done, major steps towards a society beneficial to stability and peace will take place. This issue is also now that McDonald’s have announced a wage increase policy, as well as 12 other large businesses.
    The fact being that extreme inequality is a tool of the market, and change may now be invoked if and when ever management requires.

    Conservatives in the past have always maintained that a wage increase is always a market driven product; the law of supply and demand determines the level of wages, and the market will punish those who betray its rules.
    One of the strangest experiences belong to the largest Companies in the World, which had been at the forefront of the world, the Walmart group. After many years of keeping the no wage increase policy, Walmart announced it will be raising pay for half a million workers just a few days ago:
    Now this change will affect whole communities, simply because there will be a significant spill-over effect, and this may spread to many other Companies in the same region. Moreover the example set is the choice made, that Companies the size of Walmart can and will make the right decision; that allow a low-wage company to boost morale, with increased turnover.
    This shows that pay raises may be planned for millions of workers, than would have been thought. This enables better organization of labour, direct fiscal and money policies, tending to promote full employment.
    Then the society will make the point that extreme inequality are results of a choice made, not a driven option of the market.

    (615words)

    ©Ramesh Sujanani

  2. Minimum wage needs to be increased but if those who employ them (nurses, teachers etc) does not get an increase in their minimum salary how will it work. Recently, I heard some teachers discussing this issue and they said that they have stopped their washer ladies and credit washing machines from Singer and Courts as it work out better financially. Every one have to be squeezing their pockets except you know who…

  3. Thanks for some other excellent post. Where
    else may anybody get that kind of info in such an ideal manner of writing?
    I’ve a presentation subsequent week, and I’m on the look for such information.

Leave a Reply