amkahal wroteTech Guru wroteAVOlio wroteI heard the it got approved guys,
Is it true?
(btw I don't remember the name of the topic being like this, so I'm just making sure).
President Aoun will sign next week and Thursday it will be issued in the official newspaper :). President Aoun have embedded some laws to be issued in parallel (which is preagreed on last week when he sat the big meeting with economic bodies / government officials / Central Bank governer) it will be easy. The Central Bank Governer opinion was positive indeed , due to the fact that the increases in the salaries will be offset by higher expenditures ( money cycle) that suggesting a GDP growth of about 2.4%.
What do you think concerning the private sector salaries Ihab, any idea ?
Well mate , most probably not. The minimum salary did not rise , still 675,000 LL (without transportation). I think the majority of the private sector in Lebanon have their tricks to reduce their operating expenses ( at least from my 8+ experience in the private before shifting to the public sector) , for example NSSF employees registration is done on the mimum salary not the actual one - as such the employee will be negatively affected with his end of service calculation that the NSSF pays him/her , aside of the double account booking to reduce net profits and pay less taxes.
The Only private sector will be included in the new salaries scale are private schools.
In my opinion the new salaries scale will cost 1320 Billion LBP ( ~ 880 million USD) as budget expenditures that will increase next year (since more people will reach their end of service in the public sector at the age of 64). To offset that they will issue some taxes hikes (Banks deposits tax (7%) banks profits (17%) , VAT from 10 to 11 % , travel classes etc.. As a result the overall living costs will increase (private schools , VAT products etc..). Therefore private sector representatives , along with the chamber of commerce must set meetings with the government to pass a new law that force the public sector to re-adjust their salaries. (Which Iam skeptical they will do since this will go against their interests in profits maximization and they can use a kind of coercive power against employees who show objections- easy firing is a well know coercive tool in the public sector in Lebanon)