Last updated on October 26, 2025
No, employers in Bermuda are not allowed to pay less than \$16.40 per hour. As of September 2025, the legal minimum wage has increased to \$17.13 per hour.
A Wage Floor That’s Rising
In Bermuda, the cost of living is no small matter. From groceries to rent, island life comes with a price tag that’s higher than most. That’s why the government has taken a firm stance on fair compensation, introducing and steadily increasing the statutory minimum hourly wage. If you’re an employer thinking of offering less than \$16.40 per hour, you’re already behind the curve—and breaking the law.
The minimum wage isn’t just a number. It’s a reflection of Bermuda’s commitment to economic fairness, worker dignity, and social stability. And it’s backed by legislation that leaves little room for interpretation.
The Legal Framework
The foundation of Bermuda’s wage policy lies in the Employment (Wage Commission) Act 2019, which established the Wage Commission to recommend fair wage standards. This led to the Employment (Minimum Hourly Wage) Order 2023, which set the initial minimum wage at $16.40 per hour. But the story didn’t stop there.
In July 2025, the government issued the Employment (Minimum Hourly Wage) Amendment Order 2025, officially raising the minimum wage to $17.13 per hour. This change took effect on 1 September 2025, and it applies to all employees, including those who receive gratuities, service charges, or commissions. Employers are legally required to ensure that the total compensation meets or exceeds the new threshold.
Inflation-Proofing the Paycheck
The increase wasn’t arbitrary. It followed a structured approach outlined in a government position paper that proposed adjusting the minimum wage every two years based on the Consumer Price Index (CPI), capped at 2.5% annually. This method ensures that workers’ purchasing power keeps pace with inflation, helping them maintain a reasonable standard of living.
The Ministry of Economy and Labour emphasized that the minimum wage is more than a policy—it’s a tool for reducing income inequality and promoting economic resilience. By anchoring wage growth to inflation, Bermuda aims to protect its workforce from the eroding effects of rising costs.
Enforcement and Compliance
Employers who fail to comply with the minimum wage laws face serious consequences. The Employment (Minimum Hourly Wage Entitlement) Act 2022 outlines enforcement mechanisms, including inspections, penalties, and tribunal hearings. Inspectors have the authority to issue enforcement notices, and employees can lodge complaints if they believe they’re being underpaid.
The law also requires employers to maintain detailed wage records and provide employees with access to those records. Transparency is key, and non-compliance can lead to civil penalties or public censure.
Why It Matters
Bermuda’s minimum wage policy reflects a broader vision of fairness and sustainability. It’s not just about numbers—it’s about ensuring that every worker earns enough to live with dignity. In a high-cost economy like Bermuda’s, that principle carries real weight.
So, if you’re hiring in Bermuda, make sure your offer starts at $17.13 per hour. Anything less isn’t just unfair—it’s illegal.
See more on Bermuda
Sources
Employment (Minimum Hourly Wage) Amendment Order 2025
https://bermudalaws.bm/Document/d0ec53a1-290c-4a1a-8251-4cb3ecceb7d8
Publication date: 17 July 2025
Minister Jason Hayward – 2024 Throne Speech Remarks
https://www.gov.bm/articles/minister-jason-hayward-2024-throne-speech-remarks
Publication date: 13 November 2024