Minimum wage can stop social unrest - Economist

Economist Errol Gregory is calling for a compromise, as the National Minimum Wage Advisory Commission prepares to take its submissions to the Ministry of Labour.

The Commission ended its public consultations yesterday and there are reports that the minimum wage could be increased in the region of 10 per cent, the same level at which it was increased last year.

George Overton, the Director of Operations at Guardsman Limited has urged the commission not to increase the minimum wage for security guards at this time.

However, Gregory is insisting that without a compromise there could be dire consequences for the economy.

Gregory said ideally there should be a more targeted intervention for the vulnerable by the government.

However, he said barring this, all stakeholders will have to use their social conscience.

In February 2011, the minimum wage moved from $4,070 to $4,500 per 40-hour work week.

The wages for security guards wages were also moved from $6,050 to $6,655 per week.

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