Mauritius is undertaking a study for the introduction of a National Minimum Wage in the private sector with the assistance of the International Labour Organisation (ILO).

At a working session themed ‘Income Inequality in Mauritius: The Role of Wages Policy’, Mauritius Labour minister Shakeel Mohamed noted that this study was being undertaken in view of the government’s concern over the issue of wage inequality in society.

Further to the request made by the representative of workers at the meeting of the Tripartite Committee on Salary Compensation held on September 2012, the study already bears the approval of the cabinet.

Shakeel Mohamed noted that the conclusions would serve as reference point for the introduction of a National Minimum Wage in the private sector.

In his opening remarks, he raised issues on ways of addressing the gap between those who are highly remunerated and those in the low-income group through the help of collective bargaining and social dialogue.

The working session, organised at the initiative of the National Economic and Social Council (NESC), served as a platform to assess the extent to which the existing mechanism has until now contributed to income inequality and to make recommendations on new wage policies to address income inequality.

Developing a clear understanding of the wage setting mechanism in Mauritius among the various stakeholders and assessing its impact on the economy with particular emphasis on inflation and cost of living were the objectives behind this working session.

The NESC Chairperson Radhakrisna Sadien stressed the importance of the working session that aims to put an end to social exclusion on grounds of income inequality.

Radhakrisna Sadien stated that deliberations on consultations with different stakeholders on the current system for pay determination in Mauritius would be useful for the drafting a report on Income Inequality.

For 2014, the NESC is working on fields of study encompassing management of water resources, managing of public beaches, migration from Rodrigues to Mauritius, issues and challenges stemming from a study of the recent census report as well as green economy and energy policy.

Image (Government of Mauritius): Labour minister Shakeel Mohamed noted that this study was being undertaken in view of the government’s concern over the issue of wage inequality in society.

More business news on AfricaMoney