20 Percent Increase in Minimum Wage/Construction Sector: Dejavu All Over Again

pinonuevo

Active member
Dec 7, 2020
202
63
28
Roman
This is an unfunded mandate; it creates a black market and the private sector reacts sending 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……..
 

pinonuevo

Active member
Dec 7, 2020
202
63
28
Roman

keepcoming

Moderator - Living & General Stuff
May 25, 2011
4,906
2,693
113
So, the above is from October of 2022? It started back in 2022?
 

Manuel01

Well-known member
Apr 1, 2009
858
896
93
This is an unfunded mandate; it creates a black market and the private sector reacts sending 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……..
It does not really matter at all. You want find a decent Haitian Bricklayer for below 1,500 RD$ and no good electrician or plumber below 2,000 RD$ per Day already.
So, who cares if min. wage went up from 500 to 600 RD$ / Day. Just another Vote fishing gimmick.
 

NALs

Economist by Profession
Jan 20, 2003
13,625
3,275
113
So, this is just mainly for construction workers. What is the current minimum wage?
Legal construction workers… Their labor is going to get more expensive than the illegal pay-under-the-table kind. Plus, employers aren’t just responsible for paying the wages to legal workers, but also the additional costs which often doubles the cost of each legsl employee despite the employee only see around half of that. With illegals you don’t have to pay the minimum wage and the added cost is eliminated.

Increases in the minimum wage will simply affect adversily the Dominican construction workers, many of whom will be replaced by Haitians. The only way an increase of the minimum wage in construction will have less of an adverse effect for Dominican construction workers is if they are tougher combating illegal immigration. The alternative is if the Dominican workers themselves want to work under the table.