Minister of Finance, Ibrahim Ameer has revealed the government’s decision to slash the salaries of senior government employees by more than 20%.
Joining the routinely press briefing at the National Emergency Operations Center (NEOC) on Thursday afternoon to provide the latest updates regarding the Covid-19 impacts, the minister noted that the decision was reached as no changes have been observed to the state finances so far and because the government predicts things to get worse in the coming days.
According to the protocol that was followed earlier, the government reduced salaries for those in posts above the deputy ministerial level.
Wages will not be cut for state employees who receive under MVR 20,000 and they are to be as follows:
- Those who receive a basic salary between MVR 20,000 – 25,000 will have their wages cut by 20%
- Those who receive a basic salary between MVR 25,000 – 60,000 will have their wages cut by 30% and
- Those who receive a basic salary over MVR 60,000 will have their wages cut by 35%.
Senior-ranking officials at commissions, contract staff at ministries as well as consultants will be subject to these amendments. The ministry has also decided to cap the total amount in salaries for all state employees.
The ministry will be publicizing a circular detailing the cost-cutting measures, soon.
