Around one million public sector employees saw their July paychecks rise by 500 dirhams ($50) as the government implemented the second phase of its general wage increase, fulfilling commitments from the April 2024 social dialogue agreements.
The raise completes a 1,000-dirham net monthly increase for employees who had not previously benefited from other raises, with the first installment paid in July 2024.
Combined with the income tax (IR) reductions of up to 400 dirhams for middle-income earners, the measures raised the average net public sector salary from 8,237 dirhams to 10,100 dirhams ($1,010). The minimum public service wage rose from 3,000 to 4,500 dirhams, marking a 50% increase.
Prime Minister Aziz Akhannouch’s government has framed the move as a key fulfillment of its social dialogue commitments to unions and business partners. The April 2024 round of negotiations also included broader tax cuts to boost employee take-home pay.
In the private sector, minimum wages were also increased. The legal minimum wage (SMIG) for non-agricultural sectors rose by 15%, from 2,638 dirhams to 3,046 dirhams ($305) per month, an increase of 408 dirhams. For agricultural workers (SMAG), the minimum wage jumped 20%, from 1,859 dirhams to 2,255 dirhams ($225) per month, a gain of 395 dirhams.
The government said the pay hikes are part of a broader plan to ease the cost-of-living burden, strengthen purchasing power, and honor commitments made during last year’s landmark social dialogue.
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