Bryan criticized Legislature’s unfunded government pay mandate after passage of Bill No. 36-0053

Gov. Albert Bryan Jr. said on June 12, 2025, that the Legislature’s passage of Bill No. 36-0053, which would set a $35,000 minimum salary for all government employees, was unfunded and would strain the Virgin Islands budget.

Government House said the bill was scheduled to take effect on Oct. 1, 2025. Bryan said the measure was passed without a funding plan and warned it could lead to cuts in government services and infrastructure spending.

According to the Office of Management and Budget, first-year implementation would cost more than $37.9 million. Government House said that estimate included about $5.2 million for raises for roughly 1,300 employees, $12 million for salary adjustments affecting 3,000 additional employees, $7.9 million in fringe benefits, and $13 million from a 3% increase in employer contributions to the Government Employees Retirement System.

Bryan also said the measure could worsen the financial position of the territory’s hospitals, the Water and Power Authority and the Waste Management Authority.

In the statement, Bryan criticized the Legislature for advancing the measure during active union negotiations and said it bypassed the collective bargaining process. He said his administration supported higher wages for public employees but only with a defined funding source and a phased approach.

Official source: https://www.vi.gov/governor-bryan-calls-legislatures-unfunded-pay-mandate-irresponsible-and-catastrophic-to-government-budget/