The minimum wage hike could increase some companies’ costs by almost 3 percent
Macao’s minimum wage is going up to 34 patacas per hour next year. That extra money has to come from somewhere.
Companies impacted by the minimum wage hike that kicks in from January in Macao will likely face an increase in overall costs of up to 2.8 percent, Jornal Tribuna de Macau reports.
The claim was based on findings from the Statistics and Census Service (known by its Portuguese initials DSEC).
Estimates suggest around 21,800 workers currently earn minimum wage in Macao, with almost 82 percent of them non-residents. From 1 January, their earnings will increase by 6.25 percent – whether they’re paid by the hour, day, week, or month.
[See more: Another minimum wage review will take place next November]
Half of these workers are employed by companies as security guards, cleaners and doormen (a category more broadly known as “services to real estate”).
Seventeen percent of minimum wage earners work in restaurants as cooks, waiters, and general staff, while 12 percent work in the wholesale and retail sector.
Macao’s new earnings legislation will boost minimum wages to 7,072 patacas a month, or 1,536 patacas a week. Employees on day rates will earn 272 patacas per day, while those working for an hourly rate will get 34 patacas.
