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    Wednesday, June 19, 2019-7:52:10P.M.

     

     

     

     

     

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Regional News

Palau’s Remengesau proposes $8.50 hourly minimum wage

KOROR (Tia Belau/Pacnews) — Palau President Tommy E. Remengesau Jr. is pushing for a significant minimum wage increase with a one-page bill delivered to the Senate at the end of the day last Friday.

The bill’s formal introduction is expected in the April regular session of the National Congress.

The last time legislation was passed to increase minimum wage was RPPL 9-1 signed on April 30, 2013” “On October 1, 2013, every employer in the Republic shall pay a minimum wage of $2.75 per hour. On October 1 of each subsequent year, the minimum wage shall increase by $0.25 per hour until it reaches $3.50 per hour.”

This time President Remengesau proposes an $8.50 hourly minimum wage for Palauans:

“On Oct. 1, 2016, every employer in the Republic shall pay a minimum wage of $3.50 per hour. On Oct. 1, of each subsequent year, the minimum wage shall increase by $0.50 until it reaches $8.50 per hour. Except as provided in subsection (5) of this Section, all employers shall pay minimum wage to their employees, including employers in the hotel, motel, tourist, restaurant, or other industries whose employees may customarily and regularly receive tips for direct personal customer service. Service charges, tips and other gratuities given to an employee shall not be used as payment or credit toward payment of the minimum hourly wage.”

Along with the minimum wage bill, President Remengesau is also proposing a measure to amend the Foreign Investment Act to promote the development of high-end hotels and accommodations. The measure is also expected to be taken up by lawmakers this month.