Ministry of Economic Development has submitted the minimum wage report to the Parliament of Maldives.
Speaking at today’s sitting, Parliament Speaker Mohamed Nasheed announced the report compiled by the Economic Ministry based upon meetings held with stakeholders have been submitted to the parliament, along with reports compiled by the Salary and Wage Advisory Board and International Labour Organisation (ILO). The speaker stated the report has been shared with the Parliamentary Committee on Economic Affairs for review.
The minimum wage bill was submitted to the parliament on February 10. While the bill does not specify an amount to be set as the minimum wage, the authority to set the amount has been granted to the Economic Minister. Minister of Economic Development Fayyaz Ismail has stated the amount will be set within this month.
Under the proposed amendments to the Employment Act, an 11-member minimum wage advisory board must be formed within 30 days after the bill is passed. The board is tasked with advising the economic minister with the minimum wage amounts to be set across different sectors of the country, such as fisheries, agriculture, construction, tourism, transport, healthcare, education as well as small and medium enterprises. The bill also states the minimum wage must be revised every two years.
The recommendations given by the advisory board will be based on information collected through various employers. The bill states any employer who refuses an order to provide information to the advisory board can be fined up to USD 323.
The final recommendations provided by the board must be implemented within 30 days through an order by the minister. The order must state the amount set as the minimum wage including the hourly rates and overtime rates. The order must be issued separately for different sectors and must state the deadline set for employers to implement minimum wage.