- 06 December, 2016:
The quantum of salary compensation for employees of both the Public and Private sector ranging from an increase of Rs 200 for those earning up to Rs 15 000 per month and Rs 125 for those drawing a basic salary of Rs 15 001 up to Rs 50 000, was announced by the Minister of Finance and Economic Development, Mr Pravind Jugnauth in Port Louis yesterday.
The tripartite committee comprising representatives of Government, Employers’ and Workers’ organisations chaired by the Finance Minister fixed the quantum for the monthly additional remuneration, taking into account three main factors. They are: the loss in the purchasing power, the rate of inflation which currently stands at 1% and job preservation with a particular attention for those at the lower rung of the social ladder.
The amount for the additional remuneration with effect from 1 January 2017 stands as follows:
Monthly Basic Wage/Salary
Additional Remuneration per month
Up to Rs 15 000 per month
Rs 15 001 up to Rs 50 000 per month
Above Rs 50 000 per month
Some 325 000 employees drawing up to Rs 15 000 monthly will thus benefit from a salary compensation of Rs 200 while 175 000 employees drawing a salary above Rs 15 000 up to Rs 50 000 will benefit from a remuneration of Rs 125 bringing the total to some 500 000 employees who will be eligible for salary compensation.
Furthermore, those who are drawing Basic Retirement Pension and other social aids will also benefit from a salary compensation of Rs 200 monthly.
This exercise as a whole will cost the economy an amount of approximately Rs 1.9 billion for both the Public and Private sector that is around Rs 880 million for the Public sector and approximately Rs 985 million for the Private sector.
In a press statement following the announcement of the salary compensation, Finance Minister Pravind Jugnauth, pointed out that Government has taken this decision following consultations with the tripartite constituents as well as with the Prime Minister with a particular concern for those at the lower rung of the social ladder. However, he appealed to employers who can afford to grant their employees additional remuneration above the mentioned quantum to go ahead and fulfill their responsibility which will in turn help protect the purchasing power of the population.
Government Information Service, Prime Minister’s Office, Level 6, New Government Centre, Port Louis, Mauritius. Email: firstname.lastname@example.org Website:http://gis.govmu.org