Private sector salary compensation ranges from Rs 300 to Rs 740
As many as 280,000 employees of the private sector were covered by salary compensation, ranging from a monthly increase of Rs 300 for those earning up to Rs 8,100 per month to a maximum of Rs 740 for those earning from Rs 8,100 up to Rs 20,000. (Source: business.mega.mu)
Bringing cheer to 280,000 employees of the private sector, salary compensation –ranging from a monthly increase of Rs 300 for those earning up to Rs 8,100 per month to a maximum of Rs 740 for those earning from Rs 8,100 up to Rs 20,000 – was announced yesterday in Port Louis. The Vice-Prime Minister and Minister of Finance and Economic Development, Xavier-Luc Duval chaired the tripartite committee comprising representatives of the government, employers’ and workers’ organisations.
The total cost to the government for the additional salary remuneration to the private sector is estimated at around Rs 2 billion. Public sector employees had already been compensated following the report of the Pay Research Bureau (PRB) in October 2012 and the Errors, Omissions and Anomalies Report 2013 released in May 2013.
The quantum of additional monthly remuneration was fixed after factoring in the following: loss of purchasing power, rate of inflation – currently at 3.7% – and job preservation. The exact quantum of monthly compensation for private sector employees earning between Rs 8,100 to Rs 20,000 is equivalent to 3.7% of salary, in line with the current inflation rate, rounded off to the nearest rupee.
Commenting on the salary compensation, Duval said that discussions with different stakeholders to fix the quantum were held in a fairly manner. While equal contribution from various representatives was solicited, however, particular attention was paid to those workers who are at the lower rungs of the social ladder.
Duval noted that in several major emerging economies, growth has slowed and looks unlikely to return to previous highs. Though the global economy is showing slow signs of recovering from the euro zone crisis, the economic situation remains fragile and difficult, he added. He appealed to the population to save wisely and spend judiciously.
Finally, the Vice Prime Minister announced that the next PRB report will be issued in October 2015.
Source: Government of Mauritius