Postponement of minimum wage increase fails to rally support | Guam News
Senators continued the budget session late Saturday night – going through dozens of amendments – including an unsuccessful attempt to delay the 50-cent-per-hour wage hike for six months.
Senator James Moylan moved the amendment saying that there had been concerns from the business community. Many businesses have just reopened or have started to increase their hours of operation and an increase in the minimum wage could impact their ability to stay afloat.
Public Law 35-38 increased the minimum wage in increments – in 2020, it rose to $ 8.75 an hour. It was to be followed by an increase to $ 9.25 per hour effective March 1. This was, however, rejected by senators and enacted by the governor, to give businesses time to breathe.
Moylan said recent executive orders put companies back in the same position they were at the start of the year.
“We were hoping things would improve. But things have changed and we all know where they stand with the delta variant, ”he said, adding that he appreciated the governor’s efforts to protect the health of the community. However, restricting the number of social gatherings will have a huge impact on businesses.
After much discussion, Moylan’s amendment was changed within three months as a compromise. However, even a shortened deadline did not get enough votes to pass, meaning the island’s minimum wage will increase on September 1.
The budget must be submitted to the governor by August 31.