Opposition to the proposed $8.00 living hourly wage has grown. The Nadi Chamber of Commerce and Industry has joined the Fiji Commerce and Employers Federation in rejecting the proposal.
They warn it could place further pressure on businesses and the wider economy. The Fiji Trades Union Congress raised the proposal at its 51st Biennial Delegates Conference over the weekend. The NCCI says the call does not reflect current economic conditions facing employers.
Nadi Chamber of Commerce President Lawrence Kumar states that pushing for a new wage system at a time when businesses and government are struggling is not acting in good faith. He said the Chamber supports the evidence-based position taken by the Fiji Commerce and Employers Federation. He also urged stakeholders to consider the wider economic impact.
According to the Nadi Chamber of Commerce, Fiji’s minimum wage has risen sharply in recent years. It has increased by 115 per cent since 2015, from $2.32 to $5.00 per hour. In the past three years alone, it has grown by 86.6 per cent. The Chamber says this places Fiji among the fastest wage growth rates globally.
It also notes Fiji’s current minimum wage is more than 60 percent higher than Papua New Guinea. This is despite PNG having a much larger economy. The NCCI says further increases must be carefully assessed.
The Chamber also raised concerns about low productivity and skills shortages. It pointed to high youth unemployment and rising costs of freight and production inputs.
It warned these challenges are already affecting business sustainability. The World Bank has cautioned that Fiji’s growth could fall below 3 per cent. It says this may happen if reforms are not strengthened and productivity does not improve.
The NCCI also referred to international standards. It cited guidance from the International Labour Organization and the Universal Declaration of Human Rights. It said living wage discussions must consider national conditions and business viability.
It also noted that in countries like New Zealand, living wage systems are not mandatory. The Chamber is calling for structured and transparent consultation on any wage review.

Mollyn Nakabea