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St Lucia warns against layoffs ahead of new minimum wage
Phillip J Pierre
Latest News, Regional
September 20, 2024

St Lucia warns against layoffs ahead of new minimum wage

CASTRIES, St Lucia (CMC) – St Lucia’s Department of Labour has embarked upon a sensitisation campaign amid reports that some employers were moving to dismiss workers ahead of the planned October 1 implementation of the country’s National Minimum Livable Wage.

“There are provisions made in the Act as far as penalties for people who breach the legislation. So we have a EC$10,000(One EC dollar=US$0.37 cents) fine as well as the six-month imprisonment, either or, or both,” said Labour Commissioner, Joseph Joseph.

“Do not use the minimum wage as a punishment. It is not meant to be that. It is supposed to be an achievement for us. Let us celebrate instead of punishing people,” Joseph said, adding “we do not encourage companies to use layoff or redundancy, due to the minimum wage”.

Last month Prime Minister Phillip J Pierre, addressing Emancipation Day activities, warned employers against laying off workers following the implementation of the island’s first minimum wage policy.

“Today is a powerful reminder of the abolition of slavery, a brutal and inhumane system which was imposed on our ancestors for almost four hundred years,” he said, adding “our forefathers would be proud if we could be a society of equity and justice.

“…my government is implementing the first-ever new minimum wage for the workers of this country. No worker in this country will earn less than EC$1,130 a month, or EC$52.00 daily or EC$6.52 hourly.”

“There are whispers that some of you are planning to do otherwise. I want to discourage you from attempting to lay off workers, instead of rewarding their years of hard work with this minimum wage,” he added.

The authorities said that the minimum wage would be separate from any incentives, bonuses, commissions, or service charges employees earn.

Joseph said the the authorities are urging companies against laying off workers, saying “the minimum wage is a blessing to our people, those at the lower end of the scale”.

“Do not use the minimum wage as a punishment. It is not meant to be that. It is supposed to be an achievement for us. Let us celebrate instead of punishing people,” Joseph said, as he encouraged employees to familiarise themselves with the legislation and their state-mandated rights.

The Department of Labour said it is embarking on a sensitisation campaign with an official roadshow scheduled for next month.

Labour Minister Dr Virginia-Albert Poyotte has since announced an extension of the minimum wage commission’s term to monitor the implementation process, including any layoffs due to the measure.

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Minimum Wage Phillip J Pierre St Lucia
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