There are some interesting reports regarding the labour market in today’s paper. For starters, caretaker Minister Rafael Boasman confirmed that the intention was not to apply the controversial
mandatory counterpart rule when hiring expatriates across the board to everyone, but rather as a one-year pilot project.
This may sound like good news to some, but also raises questions about the potential for favouritism. Mention was made of casinos, but crystal-clear criteria as to why certain companies and not others under what circumstances would be required to guarantee equal treatment.
The minister said the policy had been “corrected” based on an unfavourable court verdict and negative advice by the Social Economic Council SER. Nevertheless, it would seem sensible to implement such only on a voluntary basis for now and prevent legal problems down the road.
In addition, the minimum wage is being adjusted upward to the cost of living by 0.9 per cent, bringing it to NAf. 8.83 (about US $5) per hour effective January 1, 2016. Most people know that’s still by far not enough income for an average family in St. Maarten to ensure a decent existence, but a small increase is always better than none.
Employers should keep in mind that the lowest salary allowed is meant as a beginner’s pay, not to keep workers at the same level for years on end. Businesses seeing to it that their personnel eventually can afford to cover at least the most essential needs of a modest household on the island actually invest in productivity, which may ultimately help ensure their profitability.
