President Ibrahim Mohamed Solih has expressed the establishment of the minimum wage has brought positive changes to individuals working in all sectors. He made the statement while delivering the Presidential Address to the Parliament of the Maldives.
In his address, President Solih said the government has now responded to the lack of income growth and development of the working society. In this regard, the president noted the minimum wage has weighed heavily on employees in all sectors.
The president said the establishment of the minimum wage has a direct impact on 15,400 government employees and 5,100 private-sector employees.
He further said positive growth in salary and wages was seen for resort employees as well. He attributed the growth for tourism sector employees to the establishment of minimum wage and the mandating 10% service charge and mandating to distribute 99% of service charge to the employees.
In November last year, Minister of Economic Development Fayyaz Ismail announced the government has approved a USD291 as a monthly minimum wage. The government projected USD32 million will be spent this year for the implementation of the minimum wage and harmonising salaries.