Unions pressure government: salary increase of at least 700 DH
25 April 2011
Read by 1529 persons
The Democratic Federation of Labor, the General Union of Workers of Morocco, and the National Union of Workers of Morocco are demanding 700 DH for salary scales 5 to 9 and 800 DH beyond. A compromise could be found around a 550 to 600 DH increase.
In mid-April, unions submitted memos to the Prime Minister outlining their responses to the government's proposals for improving purchasing power within the framework of social dialogue. Three unions submitted a joint memo: the Democratic Federation of Labor (FDT), the General Union of Workers of Morocco (UGTM), and the National Union of Labor in Morocco (UNTM). The Moroccan Union of Labor (UMT) and the Democratic Confederation of Labor (CDT) each presented their views on the government's offer and their demands. Prime Minister Abbas El Fassi's response was expected by Friday, April 22.
What did these unions say in their memos to the government? Basically – and unsurprisingly – that the government's proposals were "insufficient." As a reminder, these proposals included a net 500 DH increase in public sector salaries, a 10% increase in the minimum wage (SMIG), and an increase in the minimum retirement threshold from 600 DH to 1000 DH in the public sector and from 600 DH to 800 DH in the private sector.
In their joint response, the FDT, UGTM, and UNTM requested a salary increase of 800 DH for scales 5 to 9 and 700 DH beyond. This increase, specifies Abdelouahed Benchrifa, a member of the FDT central office, "must apply to the central public service, local authorities, and public companies and institutions." The FDT unionist adds that these increases should be retroactive to January 1, 2011, and paid during that year.
For the private sector, a 10% SMIG increase and nothing else!
The three unions' other demands include raising the SMIG to 3,000 DH, unifying the SMIG and SMAG (minimum wage in agriculture), a minimum retirement threshold of 1,000 DH in both the private and public sectors, and a 2-point reduction in income tax, with the tax-exempt threshold raised from the current 30,000 DH to 36,000 DH/year.
In addition to these material demands, the unions requested, as they have been doing for some time, the ratification of international conventions, particularly Convention 87 on freedom of association, the repeal of Article 288 of the penal code, and the implementation of the project to create unemployment benefits.
Noubir Amaoui's union, the CDT, requested a general salary increase (in the public and private sectors) of 700 DH net, the establishment of a sliding salary scale, exceptional promotion in the civil service effective in 2003, and a reduction in income tax. Like the other unions, the CDT, specifies its number two, Abdelkader Zaïr, also made demands concerning areas such as trade union freedoms.
As you can see, even if they all set the bar too high – fair enough, one might say – the unions differ somewhat in their demands concerning improvements in the purchasing power of employees. However, the initial demand for a 20% salary increase is no longer present. Now, the demand for all unions is for an increase between 700 DH and 800 DH. This is not far from the Prime Minister's proposal of 500 DH. It can be considered that an agreement is now possible; each party is called upon to move towards the other. As a senior official involved in social dialogue suggests, this could result in a public sector salary increase of around 550 DH to 600 DH.
Regarding the other demands, such as the reduction in income tax, it is clear that the government cannot do anything about it. At best, if it agrees, it could promise to reconsider it in the next Finance Act.
What about the private sector? There, the employers' federation is firm: "No SMIG at 3,000 DH, nor a general salary increase, as some are requesting," an internal source at the CGEM (General Confederation of Moroccan Enterprises) tells us. And this was the position that the employers' federation was to reaffirm on Wednesday, April 20, during its meeting with the Prime Minister's office. On this issue, moreover, some unions do not insist too much: "Salary increases in the private sector are a matter of collective agreements, for the conclusion and generalization of which we have been campaigning for a long time," Abdelouahed Benchrifa, member of the FDT central office, declares to La Vie éco (see box).
For the private sector, therefore, only the 10% increase in the SMIG is accepted; and even this acceptance is subject to a condition of flexibility (staggered implementation) for sectors in difficulty, such as tourism at present.
Published April 25, 2011
Posted online April 25, 2011
Lavieeco.com
In mid-April, unions submitted memos to the Prime Minister outlining their responses to the government's proposals for improving purchasing power within the framework of social dialogue. Three unions submitted a joint memo: the Democratic Federation of Labor (FDT), the General Union of Workers of Morocco (UGTM), and the National Union of Labor in Morocco (UNTM). The Moroccan Union of Labor (UMT) and the Democratic Confederation of Labor (CDT) each presented their views on the government's offer and their demands. Prime Minister Abbas El Fassi's response was expected by Friday, April 22.
What did these unions say in their memos to the government? Basically – and unsurprisingly – that the government's proposals were "insufficient." As a reminder, these proposals included a net 500 DH increase in public sector salaries, a 10% increase in the minimum wage (SMIG), and an increase in the minimum retirement threshold from 600 DH to 1000 DH in the public sector and from 600 DH to 800 DH in the private sector.
In their joint response, the FDT, UGTM, and UNTM requested a salary increase of 800 DH for scales 5 to 9 and 700 DH beyond. This increase, specifies Abdelouahed Benchrifa, a member of the FDT central office, "must apply to the central public service, local authorities, and public companies and institutions." The FDT unionist adds that these increases should be retroactive to January 1, 2011, and paid during that year.
For the private sector, a 10% SMIG increase and nothing else!
The three unions' other demands include raising the SMIG to 3,000 DH, unifying the SMIG and SMAG (minimum wage in agriculture), a minimum retirement threshold of 1,000 DH in both the private and public sectors, and a 2-point reduction in income tax, with the tax-exempt threshold raised from the current 30,000 DH to 36,000 DH/year.
In addition to these material demands, the unions requested, as they have been doing for some time, the ratification of international conventions, particularly Convention 87 on freedom of association, the repeal of Article 288 of the penal code, and the implementation of the project to create unemployment benefits.
Noubir Amaoui's union, the CDT, requested a general salary increase (in the public and private sectors) of 700 DH net, the establishment of a sliding salary scale, exceptional promotion in the civil service effective in 2003, and a reduction in income tax. Like the other unions, the CDT, specifies its number two, Abdelkader Zaïr, also made demands concerning areas such as trade union freedoms.
As you can see, even if they all set the bar too high – fair enough, one might say – the unions differ somewhat in their demands concerning improvements in the purchasing power of employees. However, the initial demand for a 20% salary increase is no longer present. Now, the demand for all unions is for an increase between 700 DH and 800 DH. This is not far from the Prime Minister's proposal of 500 DH. It can be considered that an agreement is now possible; each party is called upon to move towards the other. As a senior official involved in social dialogue suggests, this could result in a public sector salary increase of around 550 DH to 600 DH.
Regarding the other demands, such as the reduction in income tax, it is clear that the government cannot do anything about it. At best, if it agrees, it could promise to reconsider it in the next Finance Act.
What about the private sector? There, the employers' federation is firm: "No SMIG at 3,000 DH, nor a general salary increase, as some are requesting," an internal source at the CGEM (General Confederation of Moroccan Enterprises) tells us. And this was the position that the employers' federation was to reaffirm on Wednesday, April 20, during its meeting with the Prime Minister's office. On this issue, moreover, some unions do not insist too much: "Salary increases in the private sector are a matter of collective agreements, for the conclusion and generalization of which we have been campaigning for a long time," Abdelouahed Benchrifa, member of the FDT central office, declares to La Vie éco (see box).
For the private sector, therefore, only the 10% increase in the SMIG is accepted; and even this acceptance is subject to a condition of flexibility (staggered implementation) for sectors in difficulty, such as tourism at present.
Published April 25, 2011
Posted online April 25, 2011
Lavieeco.com
