SEFOPE, Civil Society, and Ministerial Line Discuss Draft of National Minimum Wage

Dili, April 16, 2025 (Média Democracia) – The Secretariat of State for Professional Training and Employment (SEFOPE) organized a public consultation seminar to discuss the draft for Timor-Leste’s national minimum wage. The aim is to strengthen the existing draft while analyzing its impact on the labor market and related legislation. The seminar was held this Tuesday at Novo Turismo Hotel.

The Director General for Professional Training and Employment, Carlito do Rosário Cabral, stated that today’s activity was carried out following guidance from His Excellency the Secretary of State for Professional Training, instructing the National Directorate of Labor Relations to organize a public consultation program regarding the still pending minimum wage draft.

“This public consultation is intended to gather ideas and opinions on the minimum wage so that we can further strengthen the available information. In a short time, if directed by the Council of Ministers, we are prepared to resubmit the proposal,” said Director General Carlito Cabral to journalists at Novo Turismo Hotel on Tuesday.

He affirmed that before presenting the draft to the Council of Ministers, SEFOPE must gather relevant information about the minimum wage from workers so that it can receive proper consideration, especially if the Council of Ministers approves the wage proposal.

He explained that the Council of Ministers had directed SEFOPE to carry out a renewed consultation process to assess its potential impacts.

“His Excellency the Prime Minister directed SEFOPE to re-consult and evaluate the impact of the minimum wage on Timor-Leste’s economic life. That’s why today we are here to listen to input from relevant ministries, and afterward, if we receive further guidance, we will submit this draft back to the Council of Ministers,” he said.

The Director General also mentioned that for this activity, SEFOPE invited representatives from relevant ministries, civil society, the Chamber of Commerce and Industry of Timor-Leste (CCI-TL), the KSTL (Confederation of Trade Unions of Timor-Leste), the Ministry of Trade and Industry (MCI), the Ministry of Finance, National Statistics, as well as SEFOPE itself. Some ministries served as speakers, delivering presentations to share insights on the real situation, so that their input might be used as reference material for the Council of Ministers when making decisions on the draft.

Meanwhile, the President of the Timor-Leste Trade Union Confederation (KSTL), Almeiro Vila Nova, stated that Timor-Leste has surpassed 13 years without revising its national minimum wage, despite existing agreements that require periodic reviews.

“According to the agreement, the national minimum wage should be revised every two years. In reality, the last revision was in 2014. Unfortunately, this has not been addressed, and now the minimum wage discussion has become a political matter it’s a political decision. We can discuss it endlessly and make various efforts, but ultimately, it is up to the politicians to decide on the minimum wage amount,” said KSTL President Almeiro Vila Nova.

He added that SEFOPE’s public consultation is a continuation of the efforts made by the National Labor Council last year.

“We already presented a draft decree for the minimum wage of $150 to the Council of Ministers, but unfortunately, the Council rejected the proposal. Therefore, we must stress that the current minimum wage of $115 is no longer sufficient to be considered a form of social safety,” Almeiro Vila Nova explained.

He emphasized that the amount currently received is not enough for workers to live above the poverty line.

“The proposed amount of $150 is based on tripartite consensus in the National Labor Council, which includes SEFOPE, KSTL, and CCI-TL. This amount was agreed upon by the three parties and proposed to the Council of Ministers,” he added.

Although research results indicated an amount of $167, considering the payment capacity of companies, the National Labor Council decided to propose $150 to the Council of Ministers last year. It is hoped that through this public consultation, the proposal will receive broad public support for the minimum wage revision.

The purpose of the minimum wage is to provide income protection for vulnerable categories of workers.

“Workers who receive only $115 are at serious risk of falling into poverty because they often support entire families, meaning that their children and spouses depend on this low salary. That’s why it’s so important to resubmit the minimum wage draft decree proposing $150 to the Council of Ministers,” he stressed.

For workers and families to live a decent, happy, and free life, the draft minimum wage decree proposes to regulate three sectors: the private sector, cooperatives, and the social service sector.

Report : Estefania
Photo : Estefania

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