A bill now before the Palau Senate raises the minimum wage to 3 US dollars per hour for Palau citizens and non citizens.
The current minimum wage is $2.50 an hour for citizens and $1.50 for foreigners.
Last week the Senate adopted amendments to the bill which would make the hourly minimum wage the same for citizens and non citizens.
The amendments would also remove employee benefits for non citizens such as free housing and food allowances.
The measure has been deferred many times on the floor because of the different views of the senators.
An earlier version of the measure proposed a minimum wage rate US$3.50 per hour.