Oxfam Macau calls for yearly review of minimum wage

The review of the local minimum wage level should be conducted every year to better match actual living situations, an international charity organization has said in a statement.

Pointing out that a biannual review of the minimum wage will actually result in the execution of updates in the third year, Oxfam’s Macau Office said that a yearly review is more appropriate.

For example, it said the current review will result in updates that will likely only be enacted Nov. 1 this year, which is three years after the enactment of the first minimum wage policy. Retaining the biannual review mode will pose greater risks to grassroots families, it was claimed.

It also suggested the government adopt the yearly minimum wage review timeframe for property management workers, so that workers can maintain their purchasing power. Additionally, the government should allow each update to be made at the Policy Address and enacted on Jan. 1 each year.

The organization also pointed out that the current minimum wage is far behind inflation, weakening protection for laborers. It stressed that the inflation rate for food and non-alcoholic drinks was 5.5% between Nov. 2020 and Jul. 2023.

Moreover, Oxfam pointed out that the minimum wage should not be lower than MOP38.4 to maintain acceptable standard of living for a household of two. On the assumption of daily work of eight hours for 26 days per month, monthly income will be approximately the level of the subsistence index for such a family.

Oxfam highlighted that it appreciates the government’s efforts in maintaining the standard of living for the public during the past three years. Nonetheless, minimum wage is key to constantly maintaining the standard for all. Therefore, it suggests the government take a brave step to safeguard the livelihood of households.