May 3, 2024

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Morocco is awaiting the announced increase of 10% of the minimum wage

Morocco is awaiting the announced increase of 10% of the minimum wage

The Moroccan Governing Council must ratify on Thursday 1 September The expected measure of the 10% increase in the minimum wage in the North African country.

Guaranteed minimum professional salary (SMIG) will rise by 10% in the Alawite kingdom once CEO finalizes SMIG reassessment decree on Thursday Following the steps of the social contract agreed on April 30 between the government headed by Prime Minister Aziz Akhannouch, the majority of unions and the General Confederation of Moroccan Enterprises (CGEM).

The agreement signed between the two parties stipulates an increase in the minimum wage in the industrial, commercial and service sectors by 10% within two years. (5% in September 2022 and another 5% in September 2023), in addition to the gradual unification of the legal minimum wage between the sectors of industry, commerce, agriculture and those related to liberal professions. Speaking in euros, the Moroccan minimum wage will rise from 320 to 333 euros in the next two years.

Photograph: Youssef Boudelal/Reuters. The phosphate mine in the Boukraa factory of the Moroccan National Phosphate Company (OCP), located in the southern provinces, 100 km southwest of the city of El-Ayoun.

This increase in SMIG assumes the growth of the minimum wage in the public sector to 3,500 dirhams net And the abolition of the scale 7 for civil servants belonging to the categories of administrative assistants and technical assistants in order to reevaluate the promotion in rank from 33 to 36%, which represents a professional improvement for the participants.

Younes Skouri, the Moroccan Minister of Economic Inclusion, Small Business, Employment and Skills, said during Labor Day that “The increase in SMIG for the public sector to reach a net amount of 3,500 dirhams aims to improve the financial situation of officials classified in the lower grades”, As collected by medias24 broker. Skouri has already specified that September 1 is the time when this long-awaited measure by the Moroccan government will come into effect.

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The annual cost of this decree is estimated at 18 million dirhams, with more than 3,800 beneficiaries From this metric, they will see how their salary increases by 10%. As indicated, this measure will be effective on the first of next September; In the meantime, the increase in the promotional quota for promotion in the schedule of civil servants will come into effect next January and will be at an annual cost of 231 million dirhams.

Increase - Minimum Wage - Moroccan Workers - Social Contract - Government
Agence France-Presse / Fadel Sina – The laboratory of the Information Technology Training Center “1337” in the center of the city of Morocco in Khouribga

Within the framework of the social agreement signed between the government and the social agents, it should also be noted that the cash allowance will grow for large families. The allowance for the fourth, fifth and sixth children will grow up to 100 dirhams per month for families who fall into these categories. The economic cost will mean 25 million dirhams annually to the country’s treasury, with a total of more than 32,000 children benefiting.

These actions, among other things, were planned by the Moroccan government It aims to partially mitigate the effects of the current global economic crisis, which has been exacerbated by the existing hyperinflation Because of the rise in prices in general and because of the dangerous situation of energy supply exacerbated by the war in Ukraine, which caused a problem in the supply of energy sources such as gas or oil, given the importance of Russia in this sector and the sanctions imposed on the Russian state for its invasion of Ukrainian lands.

Increase - Minimum Wage - Moroccan Workers - Social Contract - Government
Photograph: Youssef Boudelal/Reuters. A vegetable market on the outskirts of Casablanca

Morocco has recently suffered record inflation with the consumer price index rising as much as 5% this year, Something we haven’t seen in the past two decades in the Alawite kingdom. The Moroccan government continues to work deeply to mitigate the effects of this economic blow.

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