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State budget allocates USD32 million to increase salaries

The proposed state budget for 2024 has allocated USD32 million to increase the salaries of state employees.

The proposed USD3.2 billion state budget has allocated USD772 million for the salaries and allowances of state employees, with USD32 million going to increase their salaries. Since last year, the government has been making efforts to reduce the pay gaps and harmonize pay to address the problems in the salary structure of state employees.

The government plans to implement pay harmonisation in phases so as not to burden the state budget at once. The salaries of education workers were increased last year while the salaries of health workers were increased in May this year.

The government has also decided to increase salaries in other sectors next year. The proposed state budget allocated USD32 million as a new policy initiative to harmonise pay in more sectors next year. The budget also includes additional expenditures in 2025 and 2026 to allow for pay harmonisation, and by 2026, the salaries of all state employees are expected to be harmonised.

The government is making efforts to make positive changes to the salaries of security services, judiciary, independent institutions, and civil service employees. The number of state employees has increased in recent years due to changes to the law as well as new programmes and projects. Notably, the completion of projects in the Public Service Investment Programme (PSIP) such as the development of the airports led to the employment of more state employees.