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INCREASE IN THE NATIONAL MINIMUM WAGE AND THE MINIMUM WAGE FOR INDUSTRIAL SECURITY GUARDS EFFECTIVE JUNE 1, 2024

ONNC
By ONNC
6 Min Read
THE HON. PEARNEL CHARLES Jr., M.P. MINISTER OF LABOUR AND SOCIAL SECURITY (JIS)
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Madam Speaker, today I rise to speak on the matter of the National Minimum Wage (Amendment) Order, 2024 and the Minimum Wage Industrial Security Guards (Amendment) Order, 2024.

The Minimum Wage Act stands as a pillar of our labour legislation framework and serves as this Parliament’s acknowledgment of the pivotal role workers play in societal progress. Enacted in 1938, this legislation underscores the government’s commitment to safeguard workers from substandard earnings.


Essentially Madam Speaker, the Minimum Wage Act embodies a commitment to upholding workers’ rights, promoting fair compensation practices, and fostering a conducive environment for the advancement of both employees and society.

Section 3 of the Minimum Wage Act enables the Minister of Labour and Social Security to establish minimum wages through Ministerial Orders for occupations where wages are deemed unreasonably low, establishing minimum standards to ensure that low-income workers receive fair compensation. This provision empowers me, as the Minister, to set standards that protect workers from exploitative compensation practices.

As the Minister of Labour and Social Security, I oversee the implementation of the Minimum Wage Act, which has significantly impacted the lives of workers in various sectors. Over the years, we have introduced various ‘Orders’ under Section 3 of the Act, including:

the National Minimum Wage Orders, which is used to set a wage for all sectors including domestic workers; and
the Minimum Wage (Industrial Security Guards) Orders, which is used to fix a minimum wage for persons employed as security guards to organizations who provide industrial security services.

Madam Speaker, I am committed to upholding the principle of fairness, fostering economic stability, and promoting the well-being of all stakeholders within our labour force.

It is in the execution of my function that I rise today to table for debate and affirmation an increase in the minimum wage. Consequently, I hereby ask this Honourable House to affirm the following increases, which are to become effective on June 1, 2024.

1. The NATIONAL MINIMUM WAGE is to be increased from $13,000 per 40-hour work week to $15,000.00 per 40-hour work week. This means that:
a) The single time rate is to be increased from $325.00 per hour to $375.00 per hour for work done by the worker during any period not exceeding 40 hours in any week;
b) Time and a half is to be increased from $487.50 to $562.50 per hour for work done in excess of 40 hours in any week; and
c) Double time is to be increased from $650.00 to$750.00 per hour for work done by the worker during any period on a rest day or on a public holiday.
2. The MINIMUM WAGE FOR INDUSTRIAL SECURITY GUARDS is to be increased from $14,000 per 40-hour work week to $15,000.00 per 40 hour work week.  
a) For the single time rate is to be increased from $350.00 per hour to $375.00 per hour for work done by the worker during any period not exceeding 40 hours in any week;
b) Time and a half is to be increased from $525.00 to $562.50 per hour for work done in excess of 40 hours in any week; and
c) Double time is to be increased from $700.00 to$750.00 per hour for work done by the worker during any period on a rest day or on a public holiday.

It is important to clarify Madam Speaker, that the wage increase for Industrial Security Guards applies solely to the basic rate. As such, this increase does not currently encompass any adjustments to allowances and insurance benefits. Subsequently, the prevailing rates will remain.

The Laundry Allowance will remain at $52.38 per hour;
The Firearm Premium Allowance will remain at $57.15 per hour;
The Dog Handler’s Premium Allowance will remain at $39.29 per hour; and
The Life Insurance coverage with double indemnity protection and dismemberment coverage will remain at $3,273,000.

Last year a commitment to equalize the national minimum wage and the minimum wage for industrial security guards – commitment made and executed Madam Speaker.

Let me reiterate that the Minimum Wage stands, as it says, as a minimum basic standard. I strongly urge all employers, particularly those with the means to do so, to offer their workers compensation that exceeds the minimum threshold, and I applaud all those employers who have already done so. We should all be aware of the challenges faced by the workforce and demonstrate a resolve to create an environment and offer support to advance the sustainable development and productivity of the labour force.

Madam Speaker, I now seek the affirmative resolution of this Honourable House in relation to the National Minimum Wage (Amendment) Order, 2024 and the Minimum Wage Industrial Security Guards (Amendment) Order, 2024.