Caribbean employers ready to tackle minimum wage discussions

Setting a minimum wage is a delicate balancing act. Workers deserve a living wage, while businesses must remain competitive. Recognizing this, the ILO conducted a four-week online training course on minimum and living wage issues.  From March to April 2024, employer participants from Antigua and Barbuda, Aruba, Barbados, Belize, The Bahamas, Dominica, St. Lucia and Trinidad and Tobago were equipped with the knowledge and tools to navigate these complex issues and contribute meaningfully to minimum wage discussions.

The need for training

Employers are concerned that wage-setting without careful consideration and deliberation can cause unintended and unexpected problems. Additionally, disparities in living costs across different regions and industries complicate the wage-setting process, particularly in Caribbean nations where data on wages and productivity may be scarce.

Recognizing the importance of being part of the solution, employers sought training that would empower them to participate actively in minimum wage negotiations. This training provided them with essential tools to base their discussions on evidence, understand global trends, and articulate their perspectives effectively.

Practical learning experience

Over the four-week period, employers engaged deeply with critical wage-related issues through a hands-on learning approach. The training covered fundamental concepts of minimum wages, their purpose, and the mechanisms by which they are typically established. Participants examined existing wage systems in the Caribbean and other regions while exploring the implications of the minimum wage versus living wage debate.

Employers also acquired practical skills for calculating and adjusting wages, ensuring that compensation reflects economic realities. They practiced gathering evidence and utilizing data to confidently engage in negotiations with government and workers.

Importance of the training

Wages represent a significant cost for employers, who aim to support their workforce while maintaining business viability. This training equipped them with the tools to approach wage-setting as an opportunity for mutual benefit—ensuring fair pay for workers while promoting business growth. Previously, many employers felt sidelined in discussions about wages, fearing decisions were made without considering regional economic conditions or business capabilities. Now, they are prepared to present informed proposals that reflect a comprehensive understanding of these issues.

A stronger voice moving forward

As conversations about minimum wage policies heat up across the Caribbean, this training has positioned employers to engage constructively with governments and workers alike. They are now ready to propose practical solutions that balance fair wages with economic health.

The training does not conclude here; ongoing research into productivity and wage systems will provide employers with additional data to support their arguments. This commitment to informed decision-making aims to reduce uncertainty and conflict in future negotiations.

At the end of the day, it’s about building better systems. Systems that work for workers. Systems that work for businesses. Systems that help the Caribbean grow stronger, together. Systems for building common resilience in the Caribbean.