29 Apr 2009

PNG's Trade Union Congress worried not all employers will commit to new wages

10:34 am on 29 April 2009

The president of PNG's Trade Union Congress is concerned that not all employers will meet commitments under the new Minimum Wages Determination.

The Determination has been gazetted, enabling low income earners to have an immediate increase in their salaries from the current 44 kina per fortnight to 120, and then 150 kina per fortnight after six months and up to 201 after a year.

The union President, Michael Malabag, says the increase is a welcome move, especially since it's been sixteen years since the last proper overhaul of the national minimum wage.

However he admits some employers may want to avoid paying the increased wages.

"And most companies in PNG know exactly what's happening right now. And what we're worried about is some companies might ask for exemptions on the capacity to pay and there might be a likelihood of appeals, companies can abuse it. we're concerned about that area and we'll be keeping a very special watch on that."

Michael Malabag.