Minimum wage increases should be terminated immediately in american samoa, he added. Washington yesterday, starkist tuna announced plans to layoff 600 to 800 employees at its cannery in american samoa. Oct 08, 2015 please bear in mind this federal minimum wage set for 2015 is nothing but a prescription for total economic ruin for the territory of american samoa, wrote governor lolo moliga in a letter. Usdol says it has historically applied a special salary level test to employees in american samoa because minimum wage rates there have remained lower than the federal minimum wage. American samoa s economy is dependent on the tuna cannery industry.
The story of how an illconceived minimum wage hike. Highest american samoa minimum wage, adjusted for inflation in american samoa and the united states, 19972016 79 figure 16. Dec 02, 2016 a study on a way forward for american samoas minimum wage conducted by the general accountability office has identified two basic approaches to raising american samoas minimum wages to keep up with the cost of living and reach the federal level. In american samoa, by 2009, after only three of the ten scheduled minimum wage increases, overall employment dropped 30 percent 58 percent in the critically important tunacanning industry.
How us minimum wage laws ruined american samoas economy. House democrats on monday supported a republican bill that would delay a scheduled increase in american samoa s minimum wage for more than a year. Min wage for exempt white collar employees in american. In 2007, the fair minimum wage act of 2007 was passed, increasing minimum wage in american samoa by 50. Minimum wage law backfires in american samoa acton institute. Economic statistics agriculture and fishing farms and land use land, farms by district and county tenure and characteristics of operations agricultural produce by type. The federal minimum wage and american samoa researchgate.
Jan 25, 2019 way back in 2016, i wrote a long post explaining how the fragile economy of american samoa had been crushed last decade by hikes in the us minimum wage. State minimum wages 2020 minimum wage by state ncsl. Local government and tuna canneries are the largest. The american experience of a too high minimum wage. Chicken of the sea gets samoans a wage hike bloomberg. The lowest wage is for garment workers and the highest is for those in the shipping industry. Sunkist also operates a tuna cannery in american samoa, but the plant has been temporarily out of operation for the past week because of a. Download citation the federal minimum wage and american samoa in 1938, when the fair labor. Minimum wages in american samoa relative to the federal minimum wage, 19572016 31598719705.
The federal minimum wage and american samoa unt digital library. Imposed minimum wage hikes hurt economies in american. So, did federal minimum wage laws kill american samoa. The wage rates are set for particular industries, not. Oct 27, 2016 the project is situated in the village of faleasao and is operated and maintained by the american samoa power authority. American samoa s minimum wage rates are set for particular industries, not for an employees particular occupation. American samoa, alternatives for raising minimum wages to.
Also, three new 275kw cummins diesel generators and a 480v switchgear. Dec 12, 2016 pago pago, american samoa the samoa news, dec. Samoas minimum wage is the lowest amount a worker can be legally paid for his work. Tri marine international cannery in american samoa, 20. The territorys minimum wage at the time was set by industry.
Salary information comes from 204 data points collected directly from employees, users, and past and present job advertisements on indeed in the past 36 months. Oct 01, 2018 and in 2016, we saw the end of tri marine internationals attempt to reinvigorate its samoa tuna processors plant, which is now closed. Before the minimum wage hikes destroyed most of the canning jobs, lots of canned tuna were shipped from american samoa to the u. The territorys economy is entirely dependent on the government and the tuna canneries for jobs. From 2016 through 2020, the minimum wage will increase annually on a set schedule and will be adjusted annually thereafter based on set formula. Doing business in american samoa department of commerce. The project description lists 1,410 kw of solar panels and 6,000 kwh of battery storage. Jan 01, 2020 find out all minimum wage information about you and your work minimum wage in usaterritorial minimum wage. Jan 14, 2018 american samoa real gdp in millions according to the us department of commerce, bureau of economic analysis, 2016. Min wage for exempt white collar employees in american samoa set.
American samoa and the federal minimum wage explained labor. Twentyone states and the district of columbia have established state minimum wages that are above the federal minimum wage and, in those states, the higher state wage applies. New minimum wages for american samoa go into effect. Minimum wages in american samoa vary by industry and are set by congress, with increases scheduled over several years to eventually match the federal minimum wage. Comparison of wage and tariff costs for tuna canneries using alternate business models 83. In the initial version of the bill, it was discovered by the republicans that american samoa had been exempted from the minimum wage increase.
Minimum wages in american samoa relative to the federal minimum wage, 19572016. American samoa real gdp in millions according to the us department of commerce, bureau of economic analysis, 2016. American samoa governor warns the local economy is in poor. The economic effects of the recently increased minimum wage. We cannot comment on the immediate effect this wage increase will have on our business, but minimum wage has historically had a negative impact on our overall operations. American samoa s gross domestic product gdp per capita is less than a quarter of the u. American samoas gross domestic product gdp per capita is less than a quarter of the u. Raising the minimum wage leads to job losses in american samoa.
Well, not exactly, but they did kick the shit out of her while she was down. The industrialization of commercial fishing, 19302016. Employees receive 1 hour of pay at minimum wage rate in addition to owed wages when spread of hours exceeds 10 hours, there is a split shift, or both. If you would like to apply for a business license, please print and fill out the online copy of the application and bring it to the doc office located on the 2nd floor of the a. Dec 19, 2016 pago pago, american samoa the samoa news, december 19, 2016 scheduled mandated minimum wage increases for american samoa will eventually affect wages of almost all tuna cannery workers in the territory, according to the us government accountability office report to the us congress. Gao study identifies how minimum wages can be raised talanei. The american experience of a too high minimum wage forbes. Minimum wage in american samoa us department of labor. In december 2016, the gao published the first triennial report gao1783 required of it by pub. Minimum wages in american samoa relative to the federal. The kiwi that soared at home with new zealand prime minister jacinda ardern 60 minutes australia duration. American samoa, valid on 2020 april you share, we compare. Layoffs in american samoa a result of congress minimum wage. Dec 02, 2016 minimum wages in american samoa relative to the federal minimum wage, 1957 2016.
Minimum wages in american samoa relative to the federal minimum wage, 19572016 american samoas gross domestic product gdp per capita is less than a quarter of the u. The fair minimum wage act of 2007 public law 11028, as amended, applies the minimum wage rates shown above to industries in american samoa. Find out all minimum wage information about you and your work minimum wage in usaterritorial minimum wage. Tuna cannery in american samoa to halt production honolulu. Most countries have a nationwide minimum wage that all workers must be paid. Real per capita gdp in american samoa fell nearly 10 percent from 2006 levels.
The boosters of that minimum wage think its an absolutely great idea of course. Minimum wage requirements for american samoa 77 figure 15. Apr 24, 2016 and we do need to note that there really is an american experience of a minimum wage that is too high. Then a new law put off the scheduled minimum wage increase in 2011 and mandated a new timetable for the increases. Whether you are looking to start a new business or would like to learn about investing in american samoa, the department of commerce has all the information you need to get started. In 2007, congress enacted legislation to increase the minimum wages incrementally in american samoa and the northern mariana islands until they matched the federal minimum wage. The only historical examples close to the california and new york minimum wage experiments are the unfortunate experiences of puerto rico, american samoa, and the northern mariana islands. The scheduled minimum wage increases are determined to stop when the minimum wage in american samoa reaches the federal minimum wage. Congress oks american samoa minimum wage freeze fox news. State and federal minimum wages national conference of. American samoa, alternatives for raising minimum wages to keep pace with the cost of living and reach the federal level. American samoa could be left substantially without a. It would not take much in these conservative assumptions for total employment losses in 20102011 to reach 10,00012,000 or roughly 50 to 60 percent declines in total employment in american samoa from 2008, tulafono said.
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