00:00 On Wednesday, Labour Minister Stephen McClatchy faced a question from
00:04 opposition MP Rujinathan Darsing during the Standing Finance Committee's
00:08 examination of the 2023-2024 budget in Parliament about the increase in the
00:13 minimum wage from $17.50 per hour to $20.50 per hour in fiscal 2024.
00:20 However, in doing so, House Speaker Bridget Annasett George intervened.
00:25 Under 009, determination and impact of the minimum wage level on the economy.
00:36 Minister, I see that there was an estimate of $300,000 in 2023.
00:45 Under the revised estimate, there was no expenditure.
00:51 And based on the fact that there was...
00:56 I think the one that Mr Speaker added, expenditure is a similar utilization.
01:01 Maybe what we would adopt so that we will all be on the same page, there's no appropriation.
01:06 Alright.
01:08 But there's been a decrease in the appropriation.
01:10 Alright?
01:12 The Kuva South MP continued with his question.
01:14 Could you advise if this particular study contributed or the findings contributed to the decision
01:29 as it relates to the increase in the minimum wage?
01:32 I think there's a misunderstanding of what this is trying to do.
01:39 The Labour Minister, who is also the MP for La Bré, said the Minimum Wages Board
01:43 has criteria they currently use for determining the minimum wage.
01:48 And it has to do with consultation and a whole lot of other stuff.
01:52 This particular project is to create an econometric model that will guide us in determining what
02:00 the minimum wage should be.
02:04 According to the Labour Ministry's website, in March 2017, cabinets agreed to the reconstitution
02:11 of the Minimum Wages Board and the reappointment or appointment of members in accordance with
02:16 the provision of Section 5(1) of the Minimum Wage Act for a period of three years.
02:22 We went out for request for quotations during 2023 and what we got was not deemed acceptable
02:34 and therefore we have gone back out and we are currently in the process.
02:48 We are now doing the evaluation and we are at the financial stage of that particular
02:55 evaluation so this has nothing to do with current.
02:58 This is futuristic in terms of how we determine what a minimum wage should be.
03:03 The opposition MP sought to find out if the money allocated for this study in fiscal 2024
03:10 is adequate.
03:11 When we do the financial evaluation we will be able to answer that question.
03:15 Right now that is something in progress.
03:19 Do you have a projected timeline as it relates to the completion of this particular exercise?
03:28 Nine months.
03:30 Nine months.
03:32 Thank you.
03:33 The new increase in the minimum wage takes effect from January 1st, 2024.
03:39 Jule Brown, TV6 News.
03:41 [BLANK_AUDIO]
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