Today on DR1 news I see an article that is misleading. The article states that "Hotel and restaurant staff" are to get a 14% wage increase. What it should say is that the minimum wage of hotel and restaurant staff is going up by 14%. If the worker was previously getting paid minimum wage, then they would get 14% more per month retroactive to July 1. The way the title of the article is written, it could suggest that all hotel and restaurant staff are going to get a 14% wage increase, and trust me, everyone thinks they are entitled to 14% more when they see an article like this incorrectly describing the situation.
- Thread starter windeguy
- Start date
Misleading headline on 14% wage increase
First, most people with formal jobs earn more than the minimum wage in every single sector of the Dominican economy.
Second, there is a ripple effect every time the minimum wage is increased and it's eventually felt in the other income levels.
Third, inflation rises and wipes out the 'advantage' because the income increases are not done based on increases in productivity and there's no way to get around that.
Third, once people's purchasing power decreases to its real level, the cycle repeats because there will be calls for another increase of the minimum.
This is what has happened every time Dominican minimum wages are increased and there's not much reason to think this time it will be different.
Second, there is a ripple effect every time the minimum wage is increased and it's eventually felt in the other income levels.
Third, inflation rises and wipes out the 'advantage' because the income increases are not done based on increases in productivity and there's no way to get around that.
Third, once people's purchasing power decreases to its real level, the cycle repeats because there will be calls for another increase of the minimum.
This is what has happened every time Dominican minimum wages are increased and there's not much reason to think this time it will be different.