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Articles 3 and 4, paragraph 1, of the Convention. Periodic adjustment of the minimum wage. The Committee notes that the Government has recently decided to raise the minimum monthly wage by 8.6 per cent from 350 reals (approximately US$167) to 380 reals (approximately US$182). However, according to the Government’s indications, even after the latest adjustments, the minimum wage is about half of its real level at the time it was first introduced in 1984. Moreover, even though the purchasing power of the minimum wage has been on the rise for the last ten years, an estimated 58 per cent of the minimum wage is still needed to buy a basket of basic necessity goods (cesta básica). Recalling that the fundamental objective of a minimum wage system is to provide workers and their families with a decent standard of living, the Committee requests the Government to keep it informed of any new measures or initiatives aiming at progressively raising the wage floor so as to match the workers’ real needs. In this connection, the Committee understands that some consideration is currently given to the automatic indexation of the minimum wage to the inflation rate. It accordingly asks the Government to provide additional explanations in this respect.

Article 4, paragraph 2. Consultation and participation of workers’ and employers’ organizations. The Committee notes with interest the establishment in April 2005 of the Quadripartite Commission on the review of the minimum wage. According to the Government’s report, the task of the Quadripartite Commission, which began its work in August 2005, is to formulate a medium- and long-term policy on the minimum wage. The Commission and its four technical subcommittees are composed of representatives of the federal Government, the state governments, workers and employers. The Committee requests the Government to provide a copy of the legal instrument setting up the Quadripartite Commission and also to specify how it is ensured in law and practice the equal representation of workers’ and employers’ organizations concerned.

Moreover, the Committee notes that the work of the Quadripartite Commission and its subcommittees has been suspended since March 2006 due to the difficulty in reaching a common federal government proposal on minimum wage policy. The Committee recalls the Government’s primary responsibility for ensuring the unobstructed functioning of this consultative body, and hopes that all necessary steps will be taken to permit the Quadripartite Commission to resume its activities very shortly. The Committee asks the Government to keep it informed of any developments in this regard.

Article 5 and Part V of the report form. The Committee notes the detailed statistics provided by the Government, especially those on the evolution of the minimum wage compared to the GDP, and the number of workers who are remunerated at, under and above the minimum wage rate. It would be grateful if the Government would continue to provide up to date information on the practical application of the Convention including, for instance, reports of the labour inspection services showing the number of inspection visits carried out, the violations of the minimum wage legislation reported and the penalties imposed, copies of official documents on the formulation of a minimum wage policy such as surveys conducted by the technical subcommittees of the Quadripartite Commission, etc.