A Blow to Productivity and Stability

By Fr Kevin J. Barr 

Chairman, Wages Council but expressing his personal views

1.   Productivity

In a previous article published in the Fiji Sun a few weeks ago I discussed the issue of productivity and showed that it involved a number of inter-related components – not just worker productivity. Worker productivity is only one element in the wider issue of the productivity of a company or business.



Employers and government are constantly speaking about the need for greater productivity in Fiji.  For employers this almost always means greater worker productivity. BUT how can they expect greater worker productivity when they oppose wage increases for their workers who are already earning wages well below the Basic Needs Poverty Line?  This constant opposition and delays to wage increases are making workers angry, frustrated and dis-satisfied.  It is a recipe for disaster in terms of worker productivity.  Who wants to work hard and co-operate with employers who show such little concern for the needs and welfare of their workers?  I know I wouldn’t.  

Consequently, as we are informed, stealing often goes on in some workplaces. Also a large percentage of those in our prisons is made up of those who are unemployed, under-employed and those who are poorly paid.  I remember interviewing a man during a socio-economic survey and asking him how he fed his family on the very low wage he received.  He admitted very simply: “Well I have to steal from time to time”.  It came as a shock to me but, for him, it was the natural thing to do in the circumstances.

Some employers have told me that they used to be very upset with the stealing that went on among their workers but that, once they increased wages (even above the required amount) the stealing stopped and their workers were much more co-operative.  Other employers have told me that, if they pay their workers well they can retain their good workers and build up a cadre of well trained and experienced people who help their business prosper.

I have been told by some frustrated workers: “We know how much our employer makes.  We see the cars they drive and they go on overseas trips two or three times a year.  They even go off to church.  But they say they can’t afford to increase our low wages.  We work hard for them but sometimes you feel like giving up.  They are using us – not respecting us. We are angry, frustrated and disappointed.”

The anger and frustration can also mean that good workers migrate overseas if they can and so

A satisfied worker who is able to meet the basic needs of himself and his family and can save for the future knows that he/she is respected and appreciated.  Consequently they will cooperate and work with greater commitment for their employers.  They feel part of a team.  A happy, satisfied workforce will be far more productive and committed.


2.   Stability

The ILO has pointed out on a number of occasions that decent, just wages make for greater stability in the family and in the nation. 

So many domestic arguments arise over the lack of sufficient finances to meet the needs of the family. This sometimes leads to domestic violence and the breakup of families.

Moreover if governments do not see that the workers of the nation are properly paid, they give rise to resentment and anger among the workforce. Workers lose confidence in government and live lives of frustration. In some places this will spill over into violence as the issue of delayed pensions did in France recently.  As explained in the theory of the “spiral of violence”, the violent demonstrations on the streets was “violence no.2”.  It was simply a reaction or response to “violence no.1” which was the structural violence associated with a policy which affected people’s pensions.