Imposed minimum wage hikes hurt economies in american. Starkist, owners of starkist samoa, which employs about 2,200 employees issued the following statement regarding the increase in the minimum wage which went into effect yesterday. New labour laws for samoa clarke ey koria lawyersclarke. Heinzs company, which in turn owns 75% of del monte corps stock. Feb 15, 2020 a declining market generally for processed tuna products, down 40 percent in the three decades ending in 2017. Median salary the median salary is 3,630 wst per month, which means that half 50% of the population are earning less than 3,630 wst while the other half are earning more than 3,630 wst. American samoa governor togiola tulafono suggested that, rather than laying off minimum wage workers, the companies could reduce salaries and bonuses of toptier employees. Tri marine international cannery in american samoa, 20 tri marine. On july 1, 2017, minimum wage rates change in two states, the district of columbia, and 14 local jurisdictions most are in california.
The gao reported that average earnings in american samoa rose by 27 percent, but local prices increased by 34 percent. The american samoa minimum wage increased on september 30, 2018. Notice of the new american samoa minimum wage rates was published in the federal register today. Dec 12, 2016 territory currently has 17 different minimum wages, depending on the industry by fili sagapolutele. The next minimum wage update is scheduled for 2021. American samoa s gross domestic product gdp per capita is less than a quarter of the u. The united states congress increased the minimum wage for tuna canners in american samoa by 46 percent between june 2007 and june 2009, and have scheduled another increase later this year.
The lowest wage is for garment workers and the highest is for those in the shipping industry. American samoa assesses impact of minimum wage rise rnz. Proposition 206 approved by 58 percent of voters in nov. Samoa first union pushes for a fair minimum wage apheda. American samoa territory energy profile analysis u. To amend the fair minimum wage act of 2007 to stop a scheduled increase in the minimum wage applicable to american samoa and to provide that any future increases in such minimum wage shall be determined by the secretary of labor. The paperback of the american samoa, alternatives for raising minimum wages to keep pace with the cost of living and reach the federal level. Samoa first union sfu has been educating workers and the. The cnmi minimum wage will increase again by 50 cents effective sept. American samoa s governor is again exploring the possibility of seeking financial assistance from the united states to subsidise future minimum wage increases. How us minimum wage laws ruined american samoas economy. Tulafono proposed amending public law 11028 so that 1 the annual 50cent increases be amended to make them biennial and 2 any scheduled minimum wage increase be postponed for two years if the dol bureau of labor statistics determines that such an increase would substantially. Usdol moves to rescind special salary level for american. Northern mariana islands cnmi territorial minimum wage.
The federal minimum wage and american samoa unt digital library. The wage rates are set for particular industries, not. Industry committee for all industries in american samoa no. The fair minimum wage act of 2007 public law 11028, as amended, applies the minimum wage rates shown above to industries in american samoa. Nonprofit campaign one fair wage is launched by saru jayaraman, cofounder of roc united, whose goal is for tipped workers to be paid the standard federal minimum wage. Local government and tuna canneries are the largest employers, accounting in 2014 for 42.
The rate increases will apply to all government employees and several of the covered private sector industries in the territory. In 2007, the first incremental wage increase took effect with no immediately measurable impact on the economy. Starkist tuna owns one of the two packing plants on american samoa. I think the source for this information was this post and, perhaps, this wikipedia entry it appears that, as of this writing, theres no reference to pelosi in the latter. The 2018 american samoa federal minimum wage poster must be posted by every employer with one or more employees covered by the minimum wage. Department of labor announces minimum wage increase. Under the 2016 final rule, the minimum guaranteed salary level for exempt. Unions organiser, by union aid abroad apheda, september 2017. Department of labor announces minimum wage increase for. American samoas total public debt ballooned in fy 2017. Jan 14, 2018 the fmwa required annual increases of 50.
The ballot measure calls for the minimum wage to continueincreasing in 50. The current schedule would raise all of the territorys minimum wages to the current federal level by 2036although any increase to the federal minimum wage will delay this. The act, which is expected to commence operation in early 2014, includes new maternity and paternity leave entitlements. Minimum wages in american samoa relative to the federal minimum wage, 19572016.
Oct 18, 2005 the minimum wage rates for all government employees and the specified privatesector industries will increase by five percent over the next two years. In american samoa, by 2009, after only three of the ten scheduled minimumwage increases, overall employment dropped 30 percent 58 percent in the critically important tunacanning industry. Gao14381 economic indicators since minimum wage increases began. Salary information comes from 227 data points collected directly from employees, users, and past and present job advertisements on indeed in the past 36 months. Sea of obstacles imperil american samoas tuna industry pbs. An american samoa mandated minimum wage for its vast workforce thats three and four. It also provides greater clarity about key employment issues such as termination notice periods and payout entitlements. This is important because american samoa has the highest poverty rate of any u. American samoa, alternatives for raising minimum wages to.
So the new standard, to be phased in over several years, represented something of a sea change. Under current law, the minimum wage in american samoas tuna canning industry will equal the current u. Selected american samoa industry minimum wage rates as a percentage of u. A declining market generally for processed tuna products, down 40 percent in the three decades ending in 2017. Play audio american samoa s minimum wage and median wage of hourly tuna canning workers reached5dollars16 cents, by the start of last year, after the 40cent hike for all local minimum wages took effect in 2015. Lolo appoints 10member min wage assessment working group. The fair minimum wage act of 2007, as most recently amended by h. Federally mandated minimum wage increase would seriously hurt economy. Salary information comes from 227 data points collected directly from employees, users, and past and present job advertisements on indeed. American samoa may seek us help for wage increases rnz. Samoas minimum wage is the lowest amount a worker can be legally paid for his work.
Salaries in samoa range from 460 wst per month minimum salary to 15,200 wst per month maximum average salary, actual maximum is higher. More layoffs in american samoa a result of congress. Pago pago, american samoa the samoa news, june 22, 2017 another federally mandated minimum wage hike following last years closure of samoa tuna processors stp inc. The economic effects of the recently increased minimum wage. General instructions for forms w2 and w3 html recent developments. Minimum wage law backfires in american samoa acton institute.
The federal minimum wage and american samoa unt digital. It explained that in fy 2017, the majority of american samoas public debt was owed by the primary government. Though this was done with the intention of giving the countrys workers a raise this wage hike has ensured samoan workers arent getting work, period. Gao14381, american samoa and the commonwealth of the. We plan to report to congress on the cnmi minimum wage by april. In 2007, congress enacted legislation to increase the minimum wages incrementally in american samoa and the northern mariana islands until they matched the federal minimum wage. This is the penultimate, federally mandated increase in the commonwealths minimum wage.
Amata introduced last week tuesday in the us house, federal legislation, fair minimum wage act of 2007 that would restore the system in place. Sometimes, i feel like giving up but when i think of my kids, i realise that i am the only source of income. Sea of obstacles imperil american samoas tuna industry. About form w2 as, american samoa wage and tax statement. That was up 8percent from 2014, according to the gaocongresss investigative arm. Not later than 1 year after the date of enactment of an act to amend the fair minimum wage act of 2007 to reduce a scheduled increase in the minimum wage applicable to american samoa pub. Amatas bill will restore special industry committee talanei. Most countries have a nationwide minimum wage that all workers must be paid. American samoa is part of the samoan islands chain, which includes both american samoa and the independent nation of samoa.
The cnmis most recent increase occurred on september 30, 2012. In 2007, congress passed legislation to raise the territorys minimum wages, but subsequent legislation delayed or reduced these increases. Though slated to take effect on july 1 after originally being scheduled for january 1, bangor, me officials, on june 26, 2017, voted to repeal the citys minimum wage because. Impact of increased minimum wages on the economies of. Under the fair labor standards act, minimum wage rates in american samoa are set by a special industry committee appointed by the secretary of labor. For american samoa current minimum wages vary by industry, with the most significant being the.
Minimum wage in american samoa us department of labor. State minimum wages 2020 minimum wage by state ncsl. American samoa assesses impact of minimum wage rise rnz news. Dec 02, 2016 the federal minimum wage has not been applied in american samoa for many years. The hourly wage for 17 industries in american samoa went up by. Minimum wages in american samoa relative to the federal minimum wage, 19572016 american samoas gross domestic product gdp per capita is less than a quarter of the u. Imposed minimum wage hikes hurt economies in american samoa. Enactment of public law 11028 last may not only raised the federal minimum wage rate in the 50 states, but, for the first time, the congress took direct action to increase the minimum wage rates in american samoa and cnmi by 50 cents per hour on july 24 and 25, 2007, respectively. American samoa, alternatives for raising minimum wages to keep pace with the cost of living and reach the federal level. This document puts into effect the minimum wage rates recommended for various industry categories by industry committee no. The flsa provides for a special industry committee appointed by the secretary of labor to determine minimum wage rates in american samoa. Department of labor today announced mandatory minimum wage rate increases for american samoa. This increase is the last increase mandated under the fair minimum wage act of 2007.
874 491 1229 344 1159 1232 547 1503 244 117 590 219 1127 321 303 549 1511 872 862 730 386 98 1443 156 1449 1557 153 319 819 134 1656 26 569 1043 487 453 99 193 1256 926 955 34 1111 1098