Dominican wages / salaries

[Gutter Meat]

So there has has been a minimum wage increase of 14%. According to Sosua news, employees of large companies will have a minimum wage of 11,292 pesos a month. So if we do the math (11,292 / 40 x 12). $282 American a month or $3,387 a year American.
Now I know salaries are really low in DR, but is it really this low a year. Maybe some of the companies pay over the minimum wage? Is the overtime at the companies?

Medium companies new minimum wage is 7,763 a month or U.S. $194 a month. That's = to $2,328 a year. Is this true??? Is it really that low ?

[whynotme]

when Thailand tried to raise there minimum wage from 200 hath to 300 baht(6 dollars a day to 9 dollars a day a lot less than the dr ) companies went out of business/ boycotts/civil unrest politicians threatened etc so it will be interesting to see what the fall out will be here................ again in 3rd world countries your either really really rich or really really poor no middle class

[obelix]

Minimum wage is for Dominican's who have a formal employment contract. Most don't! Wages on the beach are somewhere between 4000 and 5000 per month plus whatever tips they get. CMP pays their waitresses the same.....
Someone living in Montellano might pay 1500 - 2500 pesos for rent.... 2000 pesos for transport back and forth to sosua (they work 7 days a week) leaving hmmmmm almost nothing for food.
That's the reality......

[jose1234]

So there has has been a minimum wage increase of 14%. According to Sosua news, employees of large companies will have a minimum wage of 11,292 pesos a month. So if we do the math (11,292 / 40 x 12). $282 American a month or $3,387 a year American.
Now I know salaries are really low in DR, but is it really this low a year. Maybe some of the companies pay over the minimum wage? Is the overtime at the companies?

Medium companies new minimum wage is 7,763 a month or U.S. $194 a month. That's = to $2,328 a year. Is this true??? Is it really that low ?

Yes it is that low and that is for the lucky few that can find a job.

Exchange rate right now is 41.80 pesos per $1 USD

[donquixote]

consider on top of the wages are the benefits one must pay,,,,and they are crazy....about 14 paid holidays a year,,,,2 weeks vacation,,,and the two weeks is more like 3 weeks because you have to give 14 days pay,,,,so if one works five days a week and gets 14 days wages,,,figure....on top of that is payments to their health plan,,,almost impossible to fire someone for any reason,,,theft, damage, no shows,,,etc...to let someone go you have to pay severance of 28 days, plus plus plus plus,,,,if the government did not have such horrific benefits one can pay more for those who deserve,,,but for now figure an exta 35% minimum in costs on top of wages

[jose1234]

consider on top of the wages are the benefits one must pay,,,,and they are crazy....about 14 paid holidays a year,,,,2 weeks vacation,,,and the two weeks is more like 3 weeks because you have to give 14 days pay,,,,so if one works five days a week and gets 14 days wages,,,figure....on top of that is payments to their health plan,,,almost impossible to fire someone for any reason,,,theft, damage, no shows,,,etc...to let someone go you have to pay severance of 28 days, plus plus plus plus,,,,if the government did not have such horrific benefits one can pay more for those who deserve,,,but for now figure an exta 35% minimum in costs on top of wages

That's all true, with all those vacation and sick days off, an extra month of pay in December, severance and health care insurance costs add about 35%.

[hioctane]

You can't compare the wages to the USA or first world countries. Rent is cheaper, food is cheaper... overall cost of living is cheaper!

[jose1234]

You can't compare the wages to the USA or first world countries. Rent is cheaper, food is cheaper... overall cost of living is cheaper!

Ok, come to the DR and live like people here do. Food is cheaper? Really? Eat only rice and beans with a few extras now and then and live in a roach infested house with a leaky roof and without most utilities and etc. The healthcare for the poor would kill you...

[voltage69]

You can't compare the wages to the USA or first world countries. Rent is cheaper, food is cheaper... overall cost of living is cheaper!

The food isnt that much cheaper at all.. take a walk into playero and check out the prices for a pack of chicken breast. its more expensive than here. a 2 liter bottle of soda is the same price as here if not more. you can buy a crate of eggs fairly cheaply but half those eggs are bad. when you crack them they have some gray moldy thing growing inside. or you can buy a dozen in a pack just like we buy for about the same price that we buy em and those eggs are usually good.

i remember going to la sirena in puerto plata and barely having the bottom of my cart filled with food and it was 7000 pesos. over here for that same 200 bucks (35:1 exchange at the time) i would have a cart loaded with meat, vegetables and everything in between filled to the top. i guess if people want to eat rice and bananas and platanos every meal every day they can get it in their town from the vendors that come by fairly cheaply, but if you want anything else. it's not cheap. i actually wonder how they live sometimes. alot of people in thee town go to the colmados every day and buy a couple of handfuls of rice and 30 pesos worth of meat, and a few slices of cheese. the colmado owners cut it off and weigh each piece that the people are buying. its amazing.. big chunk of meat sittingon the counter with flies and ants all over it and the knife and they just cut it off weigh it and give it to the people. the kids buy little sealed bags of water. not even a bottle. its like a clear plastic capri sun bag but with water and no straw. they just tear it to drink the water. those are like 2 or 3 pesos. if you ever stay in the one of the towns where the people really live, you'll see some shit. sosua is like 20 steps up from the way the people really live.

[MrHappy]

consider on top of the wages are the benefits one must pay,,,,and they are crazy....about 14 paid holidays a year,,,,2 weeks vacation,,,and the two weeks is more like 3 weeks because you have to give 14 days pay,,,,so if one works five days a week and gets 14 days wages,,,figure....on top of that is payments to their health plan,,,almost impossible to fire someone for any reason,,,theft, damage, no shows,,,etc...to let someone go you have to pay severance of 28 days, plus plus plus plus,,,,if the government did not have such horrific benefits one can pay more for those who deserve,,,but for now figure an exta 35% minimum in costs on top of wages

That's all true, with all those vacation and sick days off, an extra month of pay in December, severance and health care insurance costs add about 35%.

I got news for you guys. The correct number is 65%..

If you're not using 65%, somewhere down the line, you're going to be losing money. The bare minimum is 55%.

Food is expensive. Hang out at a colmado some day and watch how people buy things. A spoon of tomato paste, a 1/4 lb of rice, a half a plastic cup of oil..... I could go on and on.

The pesos you guys don't pay attention to here, are meticulously counted here.

Remember that for a Dominican, a peso is the same thing as a dollar is to you. So, imagine going to your corner store and paying 100 dollars for a beer. That's the world they live in.

On the other side of the coin, imagine having a factory with 1500-2000 employees. You're struggling to break even. Now you got to give those employees a 14% increase.
It's a lot easier said than done.

[ezsmile]

And then imagine the little beggar boy I saw that took the two 1-peso coins that my taxi driver tried to give him and threw them in the bushes, saying he did not want them. Then when I walked by, he held his hand out for some money.

Not sure why I am bringing that up, it just pissed me off knowing that a lof of people go to the colmado like other posters have said and can only buy an egg or a couple slices of ham.

[donquixote]

I got news for you guys. The correct number is 65%..

If you're not using 65%, somewhere down the line, you're going to be losing money. The bare minimum is 55%.

Food is expensive. Hang out at a colmado some day and watch how people buy things. A spoon of tomato paste, a 1/4 lb of rice, a half a plastic cup of oil..... I could go on and on.

The pesos you guys don't pay attention to here, are meticulously counted here.

Remember that for a Dominican, a peso is the same thing as a dollar is to you. So, imagine going to your corner store and paying 100 dollars for a beer. That's the world they live in.

On the other side of the coin, imagine having a factory with 1500-2000 employees. You're struggling to break even. Now you got to give those employees a 14% increase.
It's a lot easier said than done.

hi mr happy; im really curious as to how you figure 55-65%....I have always estimated an extra 35% cost on top of wages for the benefits etc,,,but maybe I am missing something....so anything you can add is of interest

[donquixote]

And then imagine the little beggar boy I saw that took the two 1-peso coins that my taxi driver tried to give him and threw them in the bushes, saying he did not want them. Then when I walked by, he held his hand out for some money.

Not sure why I am bringing that up, it just pissed me off knowing that a lof of people go to the colmado like other posters have said and can only buy an egg or a couple slices of ham.

you may be correct but if the beggar boy saved the two 1 peso coins and added to it, he would have enough for needs..... we often wonder how people live but there are differences in cultures....in dr and other third world countries,,,,families look after each other,,,they share ..when one has and others don't,,,,they help...not only families but often others as well...if one has food and is cooking, often they share with neighbours that may not have anything....in our countries, we often do not help our relatives in need as we know there are the welfare agencies that will look after them, our old folks and parents we put in old age homes so someone else looks after them....makes one wonder if we are above or below what life really is when we only think the finances between our two worlds

[MrHappy]

hi mr happy; im really curious as to how you figure 55-65%....I have always estimated an extra 35% cost on top of wages for the benefits etc,,,but maybe I am missing something....so anything you can add is of interest

Give me a chance to dig up the source again.

I use the 65% markup for billing employee hours here, and I've read that number in the news on more than one occasion, so I'm thinking that's a set rate used here.

I'm gonna have my finance folks investigate and let you know.

[Mr. Smooth]

It's a subject like this that makes me feel glad, and blessed, to have been born an American. Period!

[MrHappy]

hi mr happy; im really curious as to how you figure 55-65%....I have always estimated an extra 35% cost on top of wages for the benefits etc,,,but maybe I am missing something....so anything you can add is of interest

I think you're right. I've been reviewing a few of my ex employee records, and almost every one of them received roughly 30% as liquidation pay of their total combined salary for the total time worked.

Even if you include what's paid to TSS, health insurance, life insurance, etc, etc.. it wouldn't be much more.

I haven't got an answer back from my finance folks, but the math is pretty straightforward. I stuck my foot in my mouth there.

[rahsta]

And then imagine the little beggar boy I saw that took the two 1-peso coins that my taxi driver tried to give him and threw them in the bushes, saying he did not want them. Then when I walked by, he held his hand out for some money.

Not sure why I am bringing that up, it just pissed me off knowing that a lof of people go to the colmado like other posters have said and can only buy an egg or a couple slices of ham.

Thats no different from what some chicas do when you paid them the agreed amount. I had a few chicas throw the money i just gave them and say that is no money. 2000 pesos is no money for an hour or two. Thats just how some of those fools think.

[MrHappy]

Thats no different from what some chicas do when you paid them the agreed amount. I had a few chicas throw the money i just gave them and say that is no money. 2000 pesos is no money for an hour or two. That's just how some of those fools think.

That simply shows you how irrational they can be when they are upset.

I don't know how many times I've heard a person here say "I don't understand, the Devil was in me" after assaulting or killing somebody. Some kid raped his mother a couple of days ago, and that was the first thing out of his mouth.

[Gutter Meat]

Minimum wage is for Dominican's who have a formal employment contract. Most don't! Wages on the beach are somewhere between 4000 and 5000 per month plus whatever tips they get. CMP pays their waitresses the same.....
Someone living in Montellano might pay 1500 - 2500 pesos for rent.... 2000 pesos for transport back and forth to sosua (they work 7 days a week) leaving hmmmmm almost nothing for food.
That's the reality......

I wonder what the average worker on beach (someone that rents you a chair, brings you food / drinks ) would make in tips on a good day (say Sunday)?

[WSJ3]

That simply shows you how irrational they can be when they are upset.

I don't know how many times I've heard a person here say "I don't understand, the Devil was in me" after assaulting or killing somebody. Some kid raped his mother a couple of days ago, and that was the first thing out of his mouth.

Are you serious or this is some crazy made up example. Who would rape their mother?!?!?