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Private Sector Wage Increases Approved: Impact on Minimum Wage and Pension Concerns
News Bulletin Reports
2024-03-19 | 12:57
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Private Sector Wage Increases Approved: Impact on Minimum Wage and Pension Concerns
A report by Lea Fayad, English adaptation by Nadine Sassine
Finally, the private sector pay increases have been approved by the Indicator Committee at the Ministry of Labor.
The minimum wage will double from 9 million Lebanese pounds to 18 million Lebanese pounds.
Educational grants will also increase from 6 million to 12 million for children in private schools and from 2 million to 4 million for students in public schools.
However, if you already receive 18 million Lebanese pounds, which is now the minimum wage, or if you earn more, what happens to your pension?
The Indicator Committee has decided to leave it up to agreement between the employer and the employee, considering that not all institutions can afford higher costs in this situation. So, whatever amount each company can afford beyond 18 million, they will pay.
But when will these increases take effect? The new salaries are supposed to be declared by the employers to the National Social Security Fund and will be included in end-of-service compensations.
Will they adhere to this?
In any case, the Indicator Committee has promised to correct wages after the end of the war in Gaza and the resumption of the economic cycle.
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