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Economic bodies reject cabinet decision on wage increase

12-10-2011 | 10:47

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Economic bodies reject cabinet decision on wage increase

President of Economic Bodies Adnan Kassar appealed to private sector institutions on Wednesday to disavow the cabinet decision to increase the minimum wage by 200,000 LBP and the daily transport allowance by 2000 LBP.

Kassar warned of a possible “death blow” on the Lebanese private sector which is already suffering from an economic slowdown and an increase in the cost of production.

The economic bodies said that “the cabinet decision on wage increases will entail severe repercussions since the increase does not match economic growth in the country.”

“The proposed minimum wage exceeds that adopted by many neighboring Arab countries and will certainly spark inflation, unemployment and layoffs.”

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