04:31 p.m
Sunday 08 January 2023
Books – Youssef Afifi:
Shaaban Khalifa, head of the Private Sector Workers Union, announced the rejection of the National Wages Council’s decision to raise the minimum wage by 2,700 pounds, as of January 1, 2023.
Khalifa told “Masrawy” that the 2,700 pounds that were raised for workers in the private sector have become worthless following the difficult economic and social situation experienced by workers and their families in light of the low wages, which have become insufficient for the requirements of the worker and his family in terms of food commodities and services (water, electricity, gas), rent, and school fees.
Khalifa continued: The citizen “groans” from the exaggerated increase that has burdened the citizen, as the minimum wage for the worker is a matter of life or death, so without a minimum wage, political, economic and social stability cannot be achieved in any country in the world, and the decision of the National Wages Council becomes a violation of the constitution in Article (27) which stipulates adherence to a minimum wage and pension that guarantees a decent life.
He added: We reject the decision for several reasons, most notably: violating Labor Law No. 12 of 2003, and Article (34) stipulating that a national council for wages shall be established, headed by the Minister of Planning, to be concerned with setting the minimum wage at the national level, taking into account living expenses, and finding means and measures that ensure achieving a balance between Wages and prices.
Khalifa affirmed that derogating from the rights of workers by the decision of the periodic bonus is 3% instead of 7%, as stipulated in Article (Third), that the council is concerned with setting the minimum periodic annual bonuses of no less than (7%) of the basic wage on the basis of which social insurance contributions are calculated. And the decision came in violation of the directives of the President of the Republic, with a minimum wage of 3 thousand pounds and an exceptional bonus of 300 pounds as a minimum bonus.
On Thursday, December 29, 2022, the National Wages Council, headed by Dr. Hala Al-Saeed, Minister of Planning and Economic Development, approved an increase in the minimum wage in the private sector from 2,400 to 2,700 pounds, as of January 1, 2023.
In its last meeting, the Council decided that the minimum value of the periodic annual bonus for the private sector, effective from the new year 2023, according to the accounting fiscal year for each establishment, should be at least 3% of the insurance subscription wage stipulated in the Social Insurance and Pensions Law, with a minimum of 100 pounds.
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