Papua New Guinea will increase the minimum wage rate by 16 toea to K3.36 an hour from Friday July 3. This was announced by Secretary of Minimum Wages Tripartite Technical Committee under the Department of Labour and Industrial Relations. She stated in a public notice on the increase from K3.20 to K3.36 per hour was for “all minimum wage earners”.
The notice was directed at “employing organisations, companies, workers, other employing organisations, and the general public”. According to a department report last year, the minimum wage would further increase to K3.50 next year. It is understood that more than 80,000 workers in the wholesale retail business and hotel industry would be affected. It will be conducted “on exemptions given to employees under the partial payment of minimum wages in the agriculture sector (clause 6) and under incapacity-to-pay (clause7)”. A reliable source in the department said it would also apply to trade union members who had industry agreements. The source said it would adjust the purchasing power of the wage earner and allow people to raise their standards of living. The source strongly advised employers to abide by the new rate and implement it because the department would make sure that industries followed the set standard. Labour and Industrial Relations Minister had said last year the increase in the minimum wage rate “in essence recognises the need to provide a fair and equitable wage rate and provide for the agriculture sector and struggling businesses”.
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