Trade unionists who promote it, the officials who estimate it, the rulers who decree it, are not part of the legion of unemployed who surely would work for less than the official minimum wage.
EDITORIAL
The unemployed have no voice, in principle because they do not pay a sindical fee, and if they did have one, they would not raise it, because it feels devoid of the dignity necessary to do so, because they are used to adopting a very humble position in job interviews. Nothing further impoverishes the human spirit that lack of gainful income of one form or another.
The president of the Chamber of Commerce and Industry of Panama has called for an increase in the minimum wages and for productivity to be included in the formula that determines it.
Regarding discussions on the minimum wage, no conclusion has been agreed between the parties -workers and employers, and if this situation continues until the end of the year, it could mean that the final figure is established by Executive decree.
With the approval by the Executive, an 8% increase in the minimum wage will come into force on May 16.
The agreement reached by employers, unions and government representatives, on 28 April, is waiting for ratification by the president in order to be implemented.
An article in LaPrensa Grafica on its website outlines previous changes; since 2006 there have been four increases in the minimum wage, one per year up to 2009, of 10%, 5%, 5% and 8% respectively. In 2011 the rise was 8%
As of February 28 an increase of 7% will be put in place, and another 6% during the second half of the year.
The increase was defined by a tripartite commission composed of government, unions and the private sector and it applies to the eight sectors of the economy.
"The National Minimum Wage Commission ratified the 8% salary increase for micro, small and medium enterprises (MSME)", states the article in Laprensa.com.ni.
SME Federation argues the increase will force to consider payroll adjustments.
The Federation of Small and Medium Enterprises (FEPYME) through a paid advertisement in the local press asked President Alvaro Colom to reconsider his decision, "so to set minimum wages in accordance to technical criteria and in accordance with the economic situation."
"Alejandro Ceballos, (executive director of the Committee on Textiles), asked the government to analyze the recent increase technically," published Prensalibre.com.
The government has established by decree a minimum wage increase ranging between 3 and 6%.
The percentage increases varies with the number of company workers and whether it is in an urban or rural area.
"Workers earning $ 291.08 in urban areas, whose companies have more than 50 workers must now receive $ 311.51, so these employees will earn an additional $20.43", explained Tiempo.hn.
The Honduran Council of Private Enterprise (Cohep), reiterated that they are unable to pay a retroactive wage adjustment.
Santiago Ruiz, president of Cohep, told La Tribuna, "What is there to negotiate is an adjustment for 2011; we suggest a meeting and try to advance in what the minimum salary should be in order to have something predictable for the next three years."
In the absence of agreements at negotiating tables between employers and employees, the President approved the increment.
This was announced by President Porfirio Lobo, who gave no details of percentages to be applied, but stressed that the increase will be retroactive.
Proceso Digital published on its website, "The minimum wage should have been approved in April, but due to disagreements between employers and workers represented at the Minimum Wage Commission, the decision has been delayed."
The business sector agrees with unions in the need to modify the current scheme, but differ in how to implement it.
Unions want changes “that recognize past inflation and at least half the expected inflation for the current year”, said Mauricio Castro, director of the National Association of Public Employees.
Businesses prefer to promote a unified minimum salary, allowing a dignifying lifestyle for any worker, whatever their job is.
The president of Honduras remarked he expects both parties to land an agreement without intervention from the government.
The last proposal by the Labor Secretary comprised raising monthly wages by $26.46 (500 lempiras) plus a yearly bonus of $159 (3.000 lempiras). This proposal was rejected by both workers and businessmen.
“Workers request a salary increase of 30%, while businessmen reject any kind of increase, arguing they cannot afford it now due to the recent economic and political crisis”, reported newspaper La Tribuna.
Business owners have already filed 72 legal suits against the executive decree that increased the minimum wage.
Latribuna.hn reports: "Yesterday there 72 suits in total calling for the suspension of the of the Executive Decree which increased the minimum wage to 5,500 lempiras for urban areas and 4.55 for rural areas, but up to now none of them have been taken up by the Constitutional Branch of the Supreme Court."
The Private Sector Council of Honduras is recommending to its members that they challenge the executive decree increasing the minimum wage in the Supreme Court.
According to proceso.hn "they also asked President Manuel Zelaya to amend his decision to increase minimum wages to 5,500 lempiras.
The business owners warned that this decision will affect 90% of the companies in Honduras, at which more than 70% of the workers in Honduras are employed."
Businessmen point to negative effects due to the measure, such as the loss of competitiveness because of cheaper labor in neighboring countries such as El Salvador, Nicaragua and Guatemala.
According to elsalvador.com, "workers who earn 3,400 lempiras (some $170) will now earn 5,500 lempiras (some $300).
Amilcar Bulnes, president of the Honduran Private Businesses Council, lamented that the Honduran Government has raised wages to the same level as Costa Rica, which has a higher income than the rest of countries in Central America, except for Panama.
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