Morocco’s Minimum Wage Hike Sparks Business Concerns Amid Economic Downturn

The second 5% increase came into effect on July 1st. We’ll have to see if this increase will be real on the pay slips this month. In reality, this increase in the minimum wage does not please everyone. It is meaningless insofar as it is out of step with the situation related to the end of confinement, the drastic drop in orders addressed to Morocco and the decline in consumption. A meeting between business leaders and the government is required in this particular context, observes L’Économiste.

The secretary general of the Moroccan Labor Union (UMT), Miloudi Al Mokhareq on the subject, assures that the union opposes a generalized postponement of the increase in the minimum hourly wage. On the employer side, they recommend the rapid postponement of the increase in the minimum wage, for companies in difficulty and sectors heavily impacted such as real estate. The FNPI does not oppose this increase in the minimum wage but its implementation during this period. Companies must not have difficulty maintaining jobs, assures the FNPI, reports the same source.