In the first 12 days of the year, since the minimum wage was increased to $20.50 the Ministry of Labour received 36 reports of non-compliance. Two people were reportedly fired for raising concerns after not receiving the increase.
In an emailed response to Guardian Media, the ministry said since the increase it received 17 reports from those in the retail sector, nine from the restaurants and fast foods sector, four in the service sector, two in private security, two complaints about tyre shop(s), one domestic work and one home for the aged.
“Since the beginning of 2024, the Labour Inspectorate Unit of the Ministry of Labour has, as at 12th January 2024, received 53 telephone enquiries, 18 visitors to its offices, 36 complaints and 27 email enquiries seeking information and advice about the increase in the minimum wage,” the ministry said.
It stated that for the first 12 days of December 2019, when the last increase happened, two people were also fired. It added that the labour inspectors will have to investigate and confirm whether the two terminations were related to the increase in the minimum wage.
Guardian Media emailed questions to the Labour Ministry after an employee at a hardware complained that she was fired after raising issues with her bosses over a 50-cent increase in her hourly rate.
The mother of one claimed she was a cashier at Pigalle’s Limited, a hardware, for the past three months.
On January 12, when she enquired about her increase, she claimed she was first told she was already paid above minimum wage.
She was paid $20 an hour before the increase came into effect on January 1.
After showing her employers a copy of a Ministry of Labour infomercial, she was given her correct salary and her termination letter.
The letter stated: “Dear, (name stated.) Please be advised that effective 12th January 2024, that your services will no longer be required. We thank you for your time served and wish you all the best in the future. Please be guided accordingly.”
The letter was signed by the director of the company Nicholas Khouri.
When Guardian Media contacted Khouri, he denied that the cashier was fired after raising issues about minimum wage. He countered that the 23-year-old was tardy and said to contact the store’s manager before ending the call.
Fired for speaking out?
The dismissed hardware worker claimed she and other cashiers worked eight and a half hours daily for $850 weekly. After the first week, she realised that there was no increase in her salary. The following week she added she spoke up about the increase and was told that the workers were already paid above minimum wage. After insisting, her $850 payment was rescinded and she was paid the $875 owed and dismissed.
“I find that was very unfair. I took it normal, but I was very angry I was fired for speaking up for my rights. Is 50 cents I was fired for, that is not a loss. Twenty-five dollars is a bread. I got fired for a bread.”
The young woman said she never had any issues with the company before and was shocked at their response to her telling them she was being underpaid.
Before ending the phone call, Khouri said the employee was on probation and was fired because of her constant lateness. He said cashiers are asked to get to work before 8 am opening to collect their float and leave usually between 4.30 to 4.45 pm after balancing their sales.
The employee admitted to being “two to three minutes late” on some days and one day when her son fell, she arrived 30 minutes late as she lived within walking distance of the hardware. She said she stayed at home on days he was not well and at no time prior to her termination was she warned about her tardiness.
Recurring issue
During his budget presentation in October last year, Finance Minister Colm Imbert announced the increase from $17.50 to $20.50, effective January 1.
According to the government’s calculations, the increase will impact the lives of some 190,000 employees who work within supermarkets, hardwares, bars, hotels, restaurants, warehouses, gas stations among other establishments, as well as those employed as security officers and domestic workers.
In a media release on December 31, the government said employees will be paid $164.00 for an 8-hour workday, $820.00 for a 40-hour work week, and a monthly rate of $3553.33.
According to the Ministry between December 2019 to December 2023, it received 133 reports of non-compliance of the then minimum wage. The ministry said until the Labour inspectors complete and verify its complaints, it would not be able to confirm whether there were any repeat offenders.
Asked about actions taken in the past about employees not being paid their dues, the ministry said: “Previous complaints for breaches of the legislation were investigated by labour inspectors resulting in arrears paid by the employer to the affected workers. For example, in 2023, labour inspectors recovered $1,304,809.76 for affected workers.”