Minimum wages to be improved

Days after taking over as the Treasurer, Prime Minister James Marape wants an urgent review into the current minimum wage.

Following a meeting with the minister responsible Kessy Sawang, the prime minister issued a directive to the Department of Labor and Employment, emphasising the urgent need to address the longstanding minimum wage issue.

The current minimum wage was approved by the National Executive Council and implemented 10 years ago from K2.29 per hour.

“The minimum wage issue has been outstanding since 2014,” said Mr Marape.

“I have instructed Minister Sawang that the minimum wage of K3.50 per hour should be reviewed to align with the escalating cost of living and changes in the Consumer Price Index [CPI].

“A comprehensive report will be presented to me at the earliest opportunity, allowing us [government] to determine a fair rate that considers the plight of our low-wage earners while ensuring the continued viability of our companies, particularly small businesses.”

The prime minister understands that; an increased take home pay for employees can result in laying off of workers by their employers to stay afloat. 

“We are committed to striking a fair balance between the welfare of employees and the sustainability of businesses,” Mr Marape said.  

The prime minister said with the high cost of living, his government is committed to have in place measures to support families.