Pesos for People

Chris

Gold
Oct 21, 2002
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www.caribbetech.com
We employ a few Dominican people. The next payday is rolling around. These folks and those that depend on them will not be able to make ends meet on their salaries.

What are other businesses doing about this. How are employers and business owners dealing with this problem in this inflationary climate?
 

Chris

Gold
Oct 21, 2002
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I don't think the ratios are equal yet, things are too volatile - although prices are increasing. For an ordinary 'stock-up' of grocery shopping for our household, usually around 3,500-4000 pesos for a large shop, the bill was above 5000 pesos today. This is at the Sosua Playero, which is sometimes pricy, nevertheless, it was an ordinary shopping trip, stocking up on washing powder and such mundane stuff. I also see a slow increase in requests for staff loans - for food, a day or so before the end of the payperiod. And a staff loan is very hard to get out of me. I rather do budget planning which is seen as a punishment, and the staff avoid this lecture like the plague.

A few restaurants on the Cabarete beach are beginning to quote prices in dollars.
 

Kiteman

New member
Aug 25, 2002
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Chris,

you need to be shopping in the new supermarket in the Coastal gas station between Sosua and Cabarete. It is much cheaper than Playero. They have an excellent meat dept and deli. Very sharp operation, check it out.
 

Peter & Alex

Bronze
May 3, 2003
700
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www.rainbowsenddr.com
Cabarete Prices

Keep on at those restaurant and bar owners! They may not always listen but we're making our point in telling them that we will not use them, as residents, if they insist on putting their prices in US$!!
At least Ohno's will give us residents a 10% discount!! He's listening! La Casita (Pappy) tells us he's sticking to pesos when he re-opens?
Gonna be fun when/if the $ ever goes the other way! Watch them all shift back into pesos!!
There are still Cabarete good guys who have stuck to the local currency, they get our business 100%.
Like the little bar between Ohno's & Bario Latino which still sells large Presidente @ RD$45 and small @ RD$30?? Good for them, good for us!!!
 

Escott

Gold
Jan 14, 2002
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www.escottinsosua.blogspot.com
Re: Chris,

Kiteman said:
you need to be shopping in the new supermarket in the Coastal gas station between Sosua and Cabarete. It is much cheaper than Playero. They have an excellent meat dept and deli. Very sharp operation, check it out.
Reasonably priced and clean and a nice guy that owns the joint!
 

nicelifealways

New member
Jan 12, 2003
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What should an employer do?

Our main business is all in USD and we work out of a free zone, we had adjusted compensation 6 months back but this exchange rates seem like difficult to manage the payrolls.

I do want the people to be comfortable but cannot change the peso salary every 2 weeks. Of course we are not comfortable in operating as US$ salary in DR (several reasons).

Any suggestions on how to go about it? Maybe a quarterly bonus which can help people cover themselves, several people seems like asking for loans now which according to our company policy is a No.

Any suggestions on how other businesses handle the depreciation is welcome. Chris what do you think?
 

Chris

Gold
Oct 21, 2002
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www.caribbetech.com
I'm in two minds about this whole issue in terms of running a business.
On the one hand, I don't want to take responsibility at all for the financial mess and have my employees think that I will bail them out. And on the other hand, I don't want people who work for me to suffer.
We're not a big company, so I was thinking of 'creating' two or three more part-time/temp jobs and offer those to other members of the families - maybe older kids. Just to increase the total amount that a family takes home. The secret would be to create these jobs as revenue producing jobs. Of course this is only possible because we are a small company.

What about the larger free zone companies out there?.