The minimum wage in Cook Islands will remain at $8 per hour until 2021. The Review panel has recommended an increase to the minimum wage. Employers and employees will need to consider the cost and implications of such a move. In this article, we look at some of the key points that should be taken into account. A higher minimum wage will have a profound impact on both the economy and the lives of individuals. It is important to note that this increase will not come without a cost – both to the employer and to the employee.
Minimum Wage in Cook Islands to Increase to $7.60 Per Hour
The minimum wage in Cook Islands was last year set at $7.25 per hour, but a Review Panel has recommended an increase to $7.60 per hour by 2020. The new minimum wage will come into effect on 1 July. The review panel’s recommendations were backed by the Ministry of Internal Affairs, which instructed the government to implement the new policy and overhaul the minimum wage review process.
The minimum wage in the Cook Islands will rise to $7.60 per hour as of July 1. The Order in Executive Council outlines the reasoning behind this recommendation. To arrive at its recommendation, the Review panel considered five key areas. These factors included the economic circumstances of the Cook Islands, the income distribution of the community, the needs of low-income earners, and public submissions. The findings of the review panel were based on the results of the survey and a wide range of factors.
The Cook Islands government has set a minimum wage that cannot be lower than $7.60 per hour. The minimum wage in the Cook Islands is calculated on the basis of the number of hours worked in a week. A month’s wage is calculated as 4.33 times the standard hours per week. If a worker works 40 hours a week, they are paid NZ$7.60.
Costs of increase to employers
In Cook Islands, a hike in the minimum wage is expected to have a significant impact on the business environment. While some economists say that a higher minimum wage will not have a negative impact, others argue that it could push businesses to be more productive. Ultimately, an increase in the minimum wage can benefit employers, as the new rate will be more affordable for public sector employees and public servants.
The government recently announced that the minimum wage in Cook Islands will rise from US$4.55 to US$4.75. The minister for internal affairs, Albert Nicholas, said that he was positive about the move but that he would have preferred a larger increase. While he was happy to announce the increase, he also estimated that the costs for employers will be US$76,000 annually. However, the increase will not come without a price tag: it will cost the government as much as US$76,000 in the first year.
Impact on employees
The Cook Islands has adopted a tripartite system for reviewing the minimum wage. This process has been guided by the Employment Relations Act 2012, which includes representatives from the Government, the Cook Islands Chamber of Commerce, and the Cook Islands Workers Association. The latest minimum wage review involved representatives from the government, the Cook Islands Chamber of Commerce, and the Cook Islands Workers Association. The minimum wage is set by the Cook Islands Government, and the Council of Trade Unions.
The Chamber of Commerce has conducted an online survey of employers, following previous surveys. This survey received responses from 80+ companies. Of these, 20 percent of companies surveyed were from Pa Enua. In Aitutaki, the Chamber surveyed employers who paid their employees more than the minimum wage, with most paying their employees between $6.50 and $7.00 an hour. The results indicate that employers are largely in favor of the proposed increase.
The minimum wage in the Cook Islands is only one of many factors contributing to the country’s economic growth. In the Pacific, people in other countries often earn less than the minimum wage in Cook Islands. But Cook Islands citizens have rights and freedoms similar to those in the rest of the world. A large percentage of Cook Islanders live in Australia or New Zealand. The Cook Islands government has been actively involved in international and regional meetings to support initiatives for children and the youth.