Additional remuneration to employees of the private sector effective from January 01
“Budget 2015 will focus on creating growth; equal distribution of national wealth to the population; and a particular attention to the needy segment of the society,” Minister of Finance and Economic Development, Seetanah Lutchmeenaraidoo, said. (Image: Bet)
Following the first cabinet discussion held yesterday December18, 2014,by the new Government,the Additional Remuneration (2015) Bill will be introduced in the National Assembly. Itprovides the payment of an additional remuneration to employees of the private sector with effect asfrom January 1st, 2015.
The payment will be Rs600 to full-time employees, irrespective of the basic monthly salary drawn; and6 per cent to part-time employees drawing basic salary up to Rs10,000 monthly, and Rs600 to those drawing above Rs10,000 monthly.
Further to this increase in salary, the Minister of Finance and Economic Development, Seetanah Lutchmeenaraidoo, has announced during a press conference in Port Louis, on Tuesday December16, 2014, an increase in the rates for old age and other basic pensions costing the Government around Rs 4.7 billion.
According to Lutchmeenaraidoo, as from Monday all beneficiaries of old age and other basic pensions will benefit from the increase.
Furthermore, he said that “as at December 27, 2014 all the 240,000 beneficiaries who are eligible for pensions will have been remunerated.”
The new rates for old age and other basic pensions will be as follows: Basic retirement pension for 60-89 years will increase by Rs 1,377 to Rs 5,000; 90-99 years will increase by Rs 4,211 to Rs 15,000 and; 100 years & above will increase by Rs 7,700 to Rs 20,000.
Basic widow’s pension will increase by Rs 1,733 to Rs5,000; Basic invalidity pension will increase by Rs 1,733 to Rs 5,000. Regarding basic orphan’s pension, those less than 15 years and not in full time education will receive Rs 2,500 after an increase of Rs 690. Whereas orphans between 3 and 20 years in full time education will receive Rs 4,000 after an increase of Rs 670.
Child’s Allowance for those under 10years will be of Rs 1,400 after an increase of Rs 341; whereas those aged 10 years and above will receive Rs 1,500 after an increase of Rs 367.
Under the other basic pensions heading, basic retirement pensioners drawing invalidity pension (severely handicapped) will increase by Rs 714 to Rs 3,000; guardian’s allowance will increase by Rs 202 to Rs 1,000; carer’s allowance will increase by Rs 522 to Rs 2,500 and finally inmate’s allowance will be Rs 700 after an increase of Rs 140.
Commenting on putting the economy on the right track, Lutchmeenaraidoo has called for more transparency in government institutions.
Regarding the 2015 budget, he stated that it will be presented during the first week of March with new budget consultations starting in January 2015.
He further highlighted that the forthcoming budget will be presented in a simple manner and that the Programme-Based Budgeting will be phased out.
“Budget 2015 will focus on creating growth; equal distribution of national wealth to the population; and with a particular attention to the needy segment of the society,” he said.
He further underlined that a fair share of the budget, that is an estimated amount of around Rs 10 billion, will be allocated to boost the small and medium enterprises which he said play an important role in the development of the economy.