Minimum salary
set at LL18 million

More than doubled but still less than half pre-crisis level

The Price Index Committee (PIC) has proposed increasing the minimum monthly salary in the private sector to LL18 million ($200 at an exchange rate of LL90,000) from LL9 million ($84 at the exchange rate prevalent in March 2023).

The annual school allowance per child for students enrolled in public schools for the 2024-2025 academic year has been increased from LL3 million to LL4 million with a maximum coverage of four children. The school allowance per child for private schools was raised to LL12 million from LL6 million with a maximum coverage of three children.

In terms of dollars, the new minimum wage is worth 2.4 times the previous one which was approved a year ago but it is still less than half the pre-crisis minimum salary of nearly $450.

Caretaker Minister of Labor Mustafa Bayram said the ministry will submit the minimum wage draft decree to the State Council and to the Council of Ministers which will discuss it in its next session.

Bechara Asmar, Chairman of the General Confederation of Workers (CGTL) said that doubling the minimum wage from LL9 million to LL18 million is a compromise in light of the current circumstances and that the minimum salary originally proposed by CGTL was LL50 million while that recommended by employers was LL15 million. He said that the new salary decision has no retroactive effect and will be applied starting from April. Asmar said that after securing this pay rise, CGTL will continue to demand further salary adjustments.

PIC, formed of the Minister of Labor and representatives of workers and employers, is the body authorized to propose adjustments of private sector salaries and wages to the Council of Ministers which takes the final decision in this regard.