14 Jun 2007

American Samoa Congressman calls for study on effects of minimum wage hike

10:42 am on 14 June 2007

American Samoa Congressman Faleomavaega Eni says there needs to be a review of the impact of the first 50 cent per hour hike in local minimum wages. before American Samoa can seek to amend federal law to prevent future hikes.

Faleomaveaga, who arrives on island today, is scheduled to meet tomorrow with the American Samoa Chamber of Commerce to discuss the minimum wage.

There have been suggestions by Senate President Lolo M. Moliga and the Chamber president David Robinson to have Faleomavaega introduce legislation to halt the escalating clauses in the minimum wage law, pertaining to both American Samoa and CNMI.

The first 50-cent hike goes into effect July 24th.

The law mandates an additional 50-cent increase every year thereafter until the federal minimum wage level of $7.25 is reached.

Under Federal law, the U.S. Labor Department is to come up with an economic study within 8 months and see where the economies of American Samoa and CNMI are - and if the 50 cents increase is too much, then adjustments can to be made.