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BiggerApproved 20% salary hike for Construction sector workers
Santo Domingo.- The Ministry of Labor announced the approval of seven resolutions by the National Wage Committee, instituting a 20% salary increase for the construction sector. These resolutions are currently being prepared for publication.
The salary increases will take effect retroactively from May 1, with a 12% increment, followed by the remaining 8% from January 1, 2025, upon publication in the upcoming days.
The wage adjustments will apply to construction workers and related professions, as well as piece-rate or adjustment workers such as painters, plumbers, bricklayers, electricians, and carpenters.
Under President Luis Abinader’s administration, the government is prioritizing job quality improvement, aiming to elevate the non-sectorized minimum wage to historic levels, ensuring better coverage of the basic needs and enhancing workers’ purchasing power. This initiative aims to establish the non-sectorized minimum wage as the highest in the country’s history.
This is an unfunded mandate; it creates a black market and the private sector reacts sendinig the workers home 20% at the same rate as the increase of the minimun wage…..automating the labour force or the process. The private sector is not stupid…..on top of that it will increase prices to makeup in advance for future increases.
The bureaucrats do not get…….There is not such thing as a free launch!!!! Someone will have to pay it: usually the consumer…..
Mandato sin Fondo: Eso crea un mercado negro y el sector privado reacciona despidiendo el 20% de los empleados…….mecanizando los procesos…….El sector privado no es estupido……. y encima de eso aumenta los precios……..
What will happen in the RD will be similar to what happened with the US California fast food wage increases. The results were reduced staff, less working hours, less employee benefits, increased prices, increased labor for remaining $20/hr staff, and less customers. The RD construction sector will have to resort to AlphaBoston’s “black market” to survive. Only the rich will be able to afford the construction costs.
As usual when salary hike are introduced , consumer pays that increase ,they never lose …!