The Fiji Commerce and Employers Federation (FCEF) has come to the defense of the country’s wage levels, asserting that employers in Fiji offer some of the most competitive wages in the Pacific, even amidst ongoing economic challenges. Chief Executive Edward Bernard recently stated that Fiji’s minimum wage exceeds that of Papua New Guinea by over 60%, despite the fact that PNG’s Gross Domestic Product is four times larger than Fiji’s.
In response to criticism from Fiji Trades Union Congress General Secretary Felix Anthony, who referred to current wages in Fiji as “poverty wages,” Bernard highlighted a significant increase in the minimum wage—up to $5.00 per hour, growing 115% since 2015 and 86.6% in the last three years. This position underscores the substantial progress made in improving wage standards while noting the pressing challenges that employers face.
Bernard cautioned that the increase in wages, combined with a rise in corporate tax rates, escalating freight costs, and shortages of skilled labor, has heightened the strain on micro, small, and medium enterprises. He also pointed to high absenteeism among workers as a critical challenge impacting productivity and encouraged the FTUC to engage with these issues.
Moreover, while acknowledging Anthony’s call for increased investment in worker training, Bernard suggested that access to the necessary resources for such training is limited under the Fiji National Productivity Master Plan. He criticized the FTUC’s campaign for a minimum wage of $6.00 as unrealistic, arguing that such a leap could jeopardize employment levels and overall business operations.
The FCEF emphasized the necessity for collaboration among the government, employers, and unions to foster sustainable wage growth in Fiji. This collaboration is vital not only for the economy but also for ensuring that wage policies are equitable and beneficial across different sectors.
In previous discussions, the FCEF has also expressed concern about informal sector workers not reaping the benefits of the minimum wage increase, stressing the need for a broader evaluation of wage increases in the socio-economic context of Fiji. The ongoing dialogue about fair wages and living conditions reflects a collective recognition of the challenges faced by many workers in Fiji as the country strives for economic equity and sustainable growth.
There remains hope that continued dialogue and cooperation among all stakeholders will lead to meaningful improvements for both workers and the business community, ultimately fostering a healthier economic environment in Fiji.
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