Cabinet increases minimum wage and benefits in the Caribbean Netherlands

The Cabinet is increasing the minimum wage and social benefits on Bonaire, St. Eustatius, and Saba. This was announced by Minister Carola Schouten (Poverty Policy) and State Secretary Alexandra van Huffelen (Kingdom Relations) at a press conference on Bonaire. This was in response to the recently published report of the Thodé Committee. It had found that one in three islanders cannot make ends meet, although a large proportion of them work.

The investigative committee recommended to the Cabinet that the monthly minimum wage on the islands be raised to an amount of 1,750 U.S. dollars (1,654 euros). The Tweede Kamer earlier this week already approved a plan to implement that recommendation, so the Cabinet is now following it. Schouten added that benefits will also be raised "significantly."

In addition, child benefits on the Dutch Caribbean islands will increase by $90 per child per month starting next January. This will bring the child benefit on St. Eustatius to $216 and on Bonaire and Saba to $225.

In addition, the minister announced a subsidy to reduce the cost of water, internet, as well as energy. An energy allowance for people with the lowest incomes will be maintained next year.

Van Huffelen spoke of a "very important step to ensure that life gets better for everyone here on the island." She also announced measures to promote public transport on the islands and to provide free school meals.

The minimum wage will be increased significantly with the announced measure. On Bonaire, the minimum wage is currently $1,236, on Saba, it is $1,443 and on St. Eustatius, it is $1,446.

On Budget Day, the Cabinet announced that an additional 30 million euros will go to the islands in 2024 and an amount of 32 million euros starting in 2025. This is to finance increases in social benefits and child benefits. In addition, the Tweede Kamer this week reserved 8.4 million euros in the budget of the Ministry of Social Affairs and Employment. Half of it will go to employers in the islands to compensate them for higher personnel costs.

The chairman of the aforementioned committee, Glenn Thodé, spoke of a "big step in the fight against poverty in the Caribbean Netherlands." He hopes for further measures to reduce the high costs on the islands.