Tufton dismisses claims that minimum wage increase will affect cost of living, employment
KINGSTON, Jamaica— Dr Christopher Tufton, campaign chairman of the Jamaica Labour Party (JLP), is pushing back at claims that Prime Minister Andrew Holness recently announced increase in the country’s national minimum wage will affect cost of living and employment opportunities for Jamaicans.
“On the issue of whether or not it will impact employment. It is important to note that this government has never advanced one policy position in isolation in overall macroeconomic and microeconomic management of the economy. The fact that it is being phased should also be taken into consideration with the fact that we are doing several other things that are going to impact productivity one hand, which is essential to offering more, Tufton shared.
He noted that the government has not advanced a proposal for increasing minimum wage without the necessary policy to improve productivity.
Among the policies outlined by Tufton were the renegotiation of the Jamaica Public Service licence to reduce energy costs, expansion of training through the HEART/NSTA Trust, digitisation of government processes and expansion of the country’s logistics network.
“We have not advanced a proposal for doubling the minimum wage in isolation of the overarching government policy to advance variables towards improving productivity, and the fact that it is being phased should also be comfort to those who may have some concerns about cost and whether it would impact their cost of operation or indeed if would impact employment levels. We believe it is doable, and we are resting our case on the fact that we have done it in the past. The prime minister was clear to say that the country is moving in a direction now when it can take off on a much steeper trajectory towards growth because we have paid down the debt, we have stabilised the macroeconomics, and we have addressed crime, or certain are addressing it.
Crime and security is a big cost of production where people need security guards and so on; those things cost money. All of those things we believe will all go well, and at the end of the day, he [Prime Minister Andrew Holness] was clear to say offering more to those in need is an overarching policy of the government to address those that are most economically vulnerable in our society,” Tufton said, noting the minimum increase is for members of the population who need a liveable wage.
Tufton was speaking at a Jamaica Labour Party press conference on Monday.
Prime Minister Andrew Holness, while speaking at a JLP mass rally in Old Harbour on Sunday, announced that the national minimum wage would double from $16,000 to $32,000 over the next several years if the JLP returns to power after the general election.
He noted that the first increase would take place in the next budget, which would see the minimum wage at $18,000, then increase gradually after the next few years.
READ: Holness promises to move minimum wage to $18,500 in 2026