Guam’s minimum wage hasn’t kept up with the growing cost of basic living expenses. Now lawmakers are considering a system that would change that it’s also sparking debate over economic fairness, business viability, and how Guam defines a “livable wage.”

As prices on Guam continue to rise – from basic goods and services, housing, healthcare, and gas – a central question is coming to the forefront once again: what is a livable wage on Guam and is our workforce earning it? In the year 2025, Guam’s minimum wage currently sits at $9.25 an hour - approximately $19,240 before taxes – an amount many workers say does not match today’s cost of living.

And for Senator Joe San Agustin, that’s the driving force behind his Bill 4, a measure he introduced at the start of this legislative term. He says its about fairness — ensuring people can support themselves and their families without falling behind every time prices go up.

Bill 4 would tie future minimum-wage increases to changes in Guam’s Consumer Price Index, adjusting automatically for inflation. San Agustin argues this would preserve purchasing power and give workers stability, saying, “Every hardworking man and woman deserves the opportunity to earn a wage that reflects their effort and the rising cost of living.”

But as lawmakers weigh how to make wages more livable, the Guam Chamber of Commerce argues that this current draft sets a unique and unprecedented framework for Guam. While the organization supports fair wages, it cautions against automatic mandates that don’t account for slower economic periods.

In a statement, the Chamber called its position “Rooted in free-market principles,” warning that Bill 4 contains no safeguards or pause mechanisms, and could lead to annual increases even when businesses are struggling.

Then there’s the debate over timing.

San Agustin says that since he referred the bill to committee in January, “no further action has been taken.” But committee chair Senator Telo Taitague says that’s not accurate, telling KUAM News she attempted twice – once in April and once more in May – to schedule a public hearing but that San Agustin’s office declined the available dates.

Taitague says she plans to schedule a hearing as soon as new dates are released in January.

And while the Guam Legislature and the business community continue working through the bill as it stands, both sides recognize the same reality: Guam’s economy is changing, the cost of living is climbing rapidly, and the question of what constitutes a livable wage — and how to get there — is more urgent than ever.