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Salary Shake-Up: Employment Sector Waiting for the News



Salary Shake-Up: Employment Sector Waiting for the News

In both the public and private sectors, the question on everyone’s mind is whether the government will finally adjust salaries for all, following the recent review of the minimum wage.

The announcement has been eagerly awaited since March 2024, but it seems to be stuck in limbo.

According to feedback, some companies are waiting for an official communication before they can award salary increases to their employees.

“We cannot make adjustments at our level until the actual report is published. It wouldn’t be fair to employers at that point, as we need to rely on the accurate figures in the report to make any changes.” a company explained.

The president of the National Trade Union Confederation, Narendranath Gopee, believes that salary adjustments could be included in the budget measures.

“It’s been over two months since employees have been waiting. We were promised that it would be done by end-March, and the report would be out, but then there were complications at some level,” he said.

Gopee added that sources from the government had indicated that the announcement would be made during the May 1 meeting, but once again, nothing came of it.

“It’s their last budget for this term, and they need to make a big impact. We’ve already made proposals and discussions have been ongoing.

All that remains is to implement them pending the 2025 Pay Research Bureau (PRB) report.”

The salary adjustment is expected not only by government employees but also by those in the Para public sector and private sector.

“And for the private sector, there’s the Minimum Wage Consultative Council that was looking into the matter. We need to know where it stands now,” said Reaz Chuttoo, president of the Confederation of Workers in the Private Sector.

Chuttoo agreed that salary adjustments could be a part of the government’s budget measures, both in terms of necessity and social aspects.

“For example, there are administrative cadres – female employees – who still earn the minimum wage despite having higher qualifications like the Higher School Certificate or a degree. And we’re talking about rich companies,” he said.

According to Chuttoo, the report on salary adjustments is ready since December 2023.

“But Business Mauritius requested consultations. That’s what would have delayed everything,” he said.

For recall, the National Wage Consultative Council (NWCC) report on salary adjustments was due to be published at the end of March but was delayed due to amendments requested by the Ministry of Labour.

The report aiming to correct anomalies arising from the increase in minimum wage, which was raised to Rs 16,500 in January.

However, the guaranteed minimum wage is Rs 18,500, with an additional Rs 2,000 provided by the general social contribution fund (CSG).

This has resulted in disgruntlement among those who have spent several years or even decades in service and are still paid the same as a new employee.

The report is also aiming to address salary disparities within the private sector for similar jobs. For example, a driver’s salary varies from one company to another.

With this report, all drivers will receive the same salary, dependent on their service period. Notably, there are over 30 Remuneration Orders in place within the private sector.

Source: l’Express

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