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Federal minimum wage determination in Puerto Rico

The Fair Labor Standards Act of 1938 was originally applicable to Puerto Rico but, because minimum wage rates discouraged hiring on the island, the law was changed in 1940 to permit setting of lower wage standards, determined by industry wage committees. The benefits and shortcomings of these tripartite committees are described. The system was substantially …

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Tripartite wage determination in Puerto Rico

A review of industry committees established to recommend minimum wages under the Fair Labor Standards Act (FLSA). The review includes a discussion of time constraints; barriers to participation by affected employers; the value of plant visits; the impact of non-labor costs on profitability vis-?-vis mainland competitors; changes in the relative share of net income from …

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