Saipan – CNMI employers are bracing for a 50-cent minimum wage increase on Sept. 30, after getting a reprieve last year.
Saipan Chamber of Commerce president Alex Sablan told Saipan Tribune that the local economy is “improving” so businesses can sustain a minimum wage increase this year.
Last year, the Chamber asked for—and received—a reprieve from the 2013 50-cent minimum wage increase through Delegate Gregorio Kilili Sablan and Gov. Eloy Inos’ help.
The CNMI’s current minimum wage is $5.55 an hour. This will increase to $6.05 an hour on Sept. 30 this year and on Sept. 30, 2016, and every year thereafter until it reaches the federal wage floor of $7.25 an hour.
Meanwhile, employers of Philippine nationals working in the CNMI must start withholding and paying Social Security and Medicare taxes under the Federal Insurance Contribution Act or FICA starting Jan. 1, 2015.