Pay raise and cost of living
SAMOA OBSERVER – Govt recently approved pay raise for the civil servants funded by ACC. Is the govt considering a similar incentive for those in the private sector given they too pay for ACC?
PM RESPONSE
The Government budget for the current fiscal year includes a cost-of-living adjustment (COLA) for all public and civil servants. The Government budget is financed by various revenue streams through budget support and is allocated accordingly to the priorities of Government.
The cost-of-living adjustment is not solely financed by an entity as suggested.
SAMOA OBSERVER – Are there any plans by the government to increase the minimum wage before the end of this parliamentary term?
People in general are feeling the pinch of the cost of living. Aside from the pay raise to public servants, what other ways is the government looking into to address the cost of living?
PM Response
The matter of the minimum wage is a policy consideration under the Ministry of Commerce, Industry and Labor (MCIL). Samoa’s minimum wage is $3.00 tala per hour effective since 1 January 2020. The minimum wage is a provision under the Labour and Employment Relations Amendment Act 2023 and under this legislation, there is an opportunity for a review.
In terms of the rise in the cost of living, this is a global occurrence as a result of events that transpired, in which Samoa has no control. The Government has several policies to enable assistance to the private sector by way of grants and support fund, stimulus funding for businesses affected by covid-19, duty concessions for eligible businesses and companies, reduction in utility costs and fees for public services, assistance in social services with an increase in pension and disability benefits, assistance to public health care services and facilities, overseas medical treatment scheme and the education grant and scholarship scheme. Further assistance is disseminated to communities and NGOs to support community-based initiatives.
The Pathway for the Development of Samoa sets out a wide range of policy initiatives to address global challenges that are here and forthcoming.
