Skip to comments.Minimum Wage Bill Slammed In American Samoa
Posted on 06/04/2007 12:45:50 PM PDT by bw17
Starkist Samoa, Gov. Togiola T.A. Tulafono and some local businesses have voiced their disappointment with the passage of a federal bill, that includes provisions to increase minimum wages for American Samoa over a period of time.
StarKist Samoa had planned to launched next month the expansion of its tuna pouch production, after it was transferred early this year from Ecuador. The company planned to hire between 200-300 workers, but some employees say they were informed Wednesday that this project is on hold. - ADVERTISEMENT - Bank of Hawaii Small Business Resource
Provisions of the federal supplemental bill that provide millions of dollar for the Iraq war, signed last Friday by President Bush, mandates a 50 cents per hour hike for American Samoa beginning 60 days after the bills enactment. It also mandates an additional 50 cents increase every year thereafter until the future U.S. continental rate of $7.25 is reached.
The most affected under the minimum wage hike are the two canneries-StarKist Samoa, owned by San Francisco-based Del Monte Food Inc., and COS Samoa Packing, owned by San Diego-based Chicken of the Sea International- the largest private employers in the territory with a combined workforce of 5,000. Most of them, working on the factories' production lines, are minimum wage earners.
Del Monte spokesperson, Mary G. Sestric, says StarKist "is disappointed" with the passage of the minimum wage bill, adding that "the initial increase, combined with the further annual automatic increases has the potential to radically change the economics of tuna production and negatively impact American Samoa."
"We are committed to working closely with local leaders to identify a solution that is in the best interest of the people of American Samoa; while, at the same time, allowing StarKist to remain competitive in the global tuna marketplace," Sestric said via e-mail from San Francisco responding to questions.
"We are concerned that without a successful resolution, the economic realities will force StarKist to review ongoing tuna sourcing and operating plans as well as altering our current investment program to expand our Samoan operations, both of which will lead to lower levels of employment and we believe will not be in the best interest of all parties concerned," she said.
Sorry, forgot the source:
Wasn’t this one of Pelosi’s wet kisses to campaign contributors?
I recall reading here that the minimum wage increase was a moot point, because nobody works for the minimum wage.
I think it’s assinine to allow wages to be suppressed to just a couple dollars a day with millions of illegals flowing in to work under the table, and then parade around a minimum wage act that inherently can’t reach under the table.
But still... why pile insanity on top of insanity. If there’s going to be a minimum wage, it should apply to Samoa, where “Americans” get paid less than $1 a day.
A likely result will be that tuna processing will be moved to Thailand or even China leaving the Samoans without jobs at any wage.
Yup. That’s why I posted it.
Patrick McHenry called her out on the floor, and embarrassed her into dropping the American Samoa exclusion.
I’m glad they dropped it. Now the Democrats can see first hand and without dispute how their actions managed to destroy an entire economy.
“A likely result will be that tuna processing will be moved to Thailand or even China leaving the Samoans without jobs at any wage.”
Cool, I always wanted to try a melamine melt!
“Wasnt this one of Pelosis wet kisses to campaign contributors?”
Something sure smells like tuna around here .....
StarKisses, Nancy, I guess you didn’t get your way with that one.
Here in Pennsylvania, the state just passed a minimum wage increase bill because the federal minimum wage had become meaningless. Few businesses were actually paying wages that low. For one reason, state and local taxes are so damn high, businesses have to pay more and charge more just so their employees can break even. One of my daughters who is working in Idaho has about a 20% higher take-home than her sister who is working locally even though their hourly wage before taxes is almost identical.
This is why we were established as a Federal Republic, not a top-down managed People's Democracy-- so that states could deal with things as they best fit them.
I'm not familiar with America Samoa, but it is entirely possible that the cost of living is a lot less there and a one-size-fits-all federal minimum wage may not be appropriate.
Samoa is basically a loophole; it allows 3rd-world slaveholders to put “Proudly Made in the USA!” on the label, while paying a few dimes an hour.
The minimum wage law WILL cause unemployment to soar in Samoa, but, unlike most inner-city effects of minimum wages, it will nonetheless result in far more people being able to survive.
Their current minimum wage varies in the range of $2.68 ti $4.09 and hour depending on job type. Where did you come up with $1 a day?
If the people there want to set their own minimum wages, let them do so. The federal government should stay out of it because all they are going to do is destroy their economy.
I’m for abolishing the minimum wage, providing that the government also enforce laws against the importation of illegal aliens. If we get rid of excessive immigration, market forces will provide fair wages, without even the need for unionization.
I did make a mistake: I meant $1 an hour. When writing of international poverty, “$1 a day” is such a famous standard, it kind of rolls off my fingertips.
As for the $2.68 to $4.09, I’ll admit that I had presumed that the hourly wage hadn’t increased since the US minimum had. I’d be very interested in knowing where you got your information, not because I mistrust you, but because I’d like to have more details.
Maybe the Chinese will raise the tuna in untreated sewage like their other seafood.
What is the USA doing with Samoa? Cut them loose.
I took it from the article linked to in post 12.
I agree with you, and I think if we do another amnesty, we will continue to have two econmies, one with many benefits and guarantees and another with none.
America’s offshore slave colonies (Guam, Samoa, Puerto Rico, USVI) only like something when it involves no taxes or free handouts.
Samoa is just raising the offensive/defensive linemen the rest of America won't.
Alternative answer: https://www.cia.gov/library/publications/the-world-factbook/geos/aq.html
Primary reason is noted in the CIA webpage above: best deepwater natural port in the SW Pacific, was strategically important in WW2 and maintained afterwards for that same reason.