Source: Kataeb.org
Wednesday 7 May 2025 15:04:15
Lebanon’s Minister of Labor, Mohammad Haydar, on Wednesday chaired a meeting of the national Index Committee to continue discussions on adjusting salaries and wages in the private sector, amid persistent economic challenges and a cost-of-living crisis.
The meeting, held at the ministry's headquarters in Beirut, brought together prominent economic and labor stakeholders, including head of the Economic Committees, Mohammad Choukair, National Social Security Fund director Mohammad Karaki, Central Administration of Statistics director Maria Nabbout Yammine, General Labor Union chief Bechara Asmar and his deputy Hassan Faqih, Beirut Traders Association president Nicolas Chammas, Association of Lebanese Industrialists vice president Ziad Bekdache, and representatives from the Finance Ministry, Lebanese University, and the Labor Ministry.
Following the meeting, Haydar told reporters that discussions focused on setting a new private sector minimum wage and reviewing broader salary adjustments. Despite extensive talks, participants did not agree on final figures.
“The discussion was open, transparent, and responsible,” Haydar said. “There were some reservations, but I presented a phased plan consisting of specific, actionable steps.”
The first step, according to the minister, would raise the monthly minimum wage to 28 million Lebanese pounds, a hike of more than 50 percent. Haydar said the proposal will be submitted to the Council of Ministers for approval.
In addition to the base wage increase, the plan calls for doubling family allowance benefits and boosting educational support by two and a half times. Transportation allowances would remain unchanged for now.
Future adjustments under the plan would be tied to Lebanon’s economic performance, with the Index Committee set to meet every two months to review labor market trends and economic conditions. A comprehensive reassessment of wage corrections is scheduled for December, aligning with the government’s preparation of the 2026 state budget and a proposed salary scale for public sector employees.
However, not all parties endorsed the proposal. The General Labor Union pushed for cost-of-living adjustments to be included in the first phase—a demand Haydar said is not feasible at this stage given the country's fragile economic climate.
“I was faced with two options: postpone everything until December or move ahead with what’s possible today,” he said. “I chose to act now. Waiting would mean denying a large portion of the population some badly needed relief.”
Haydar emphasized that while the Index Committee offers recommendations, it is the Minister of Labor who formally submits them to the Cabinet. “The economic bodies signed off on phase one, but the labor union noted its objections,” he added.
The minister stressed the urgency of implementing the first stage to support the country’s lowest-paid workers. He also reiterated that subsequent measures would depend on broader economic recovery, the government’s fiscal capacity, and national stability.
Asked whether a $320 monthly minimum wage is enough to guarantee a dignified life, Haydar was frank: “No, it’s not. But aspirations are one thing—reality is another. We have to choose between standing still or working with what we have and building a plan to improve over time.”
“I’m a realist,” he continued. “I’m not here to offer slogans. I want solid, tangible results. We need to embrace the idea that decisions can be both stable and adaptive—implemented in stages, based on evolving conditions. No, this increase doesn’t fully meet basic needs, but a 50 percent rise in the minimum wage is a meaningful step forward.”