Prime Minister Gaston Browne has warned hotel operators to improve wages for workers while signaling potential forensic audits for businesses suspected of underreporting profits.

Browne said the government is moving beyond the concept of a minimum wage toward what he described as a “livable wage,” arguing that workers in the country’s largest industry should be able to meet basic living costs.

“I cannot see a situation persisting in which hotel workers… are struggling to fund a basic mortgage,” he said.

He indicated that the administration will engage hotel operators to determine an appropriate wage level, but made clear that the expectation is for higher pay across the sector.

“We will meet with the hoteliers and come to a consensus,” Browne said, adding that the government would not impose unrealistic increases but expects a better balance between profits and employee welfare.

The Prime Minister suggested that some properties have the capacity to absorb higher labour costs, particularly higher-end resorts, while others may need to adjust pricing.

“If they have to increase the rate… even by $20 or $30 per head,” he said, “that is one way to address the issue.”

Browne also raised concerns about labour dynamics within the tourism sector, noting that low wages have led some Antiguans and Barbudans to leave hotel jobs in favour of public sector employment.

“What is happening… is that the hotels are now employing new immigrants,” he said, warning that the trend could create longer-term employment challenges if local workers continue to exit the industry.

In addition to wage concerns, Browne issued a direct warning to hotel operators over tax compliance, stating that the government will take action against those who attempt to reduce their tax liabilities improperly.

“We’re going to go real hard after any hotelier who seeks to manipulate their profits and undermine the taxes that are paid to the country,” he said.

He specifically referenced Sandals, alleging that the company has a “propensity to manipulate taxes,” while indicating that such practices would not be tolerated going forward.

“I’m saying to them, those days are over. A new dispensation,” Browne said.

The comments come as the government continues to promote a shift toward higher-end tourism, which Browne said would support better wages and improved working conditions.

At the same time, he maintained that the administration’s approach would balance economic growth with fairness for workers.

“We’re governing in the best interest of the people of Antigua and Barbuda,” he said.