Morocco’s Public Wage Bill Set to Surge in 2020 as Social Security Costs Included

Certain increase in the wage bill as of 2020. Personnel expenses will include salaries, wages and allowances, as well as the state’s contributions to social security and pensions, in accordance with the Organic Law on Finance Laws (LOF), reports L’économiste.

The same source indicates that personnel costs represent the 1st item of budgetary expenditure with 112.15 billion DH this year.

From this perspective, this amount is far from reflecting the real weight of personnel costs due to social security contributions, transfers made to non-commercial public institutions in operating credits and even certain special Treasury accounts.

These in fact support, for part of their expenses, salaries, emoluments and bonuses paid to certain categories of state personnel.

As a result, this measure affected the readability of the actual expenditure relating to this category normally charged to the General Budget.

Thus, the application of Article 15 of the Organic Law on Finance Laws will establish more readability and transparency and, above all, provide a precise idea of the real weight of personnel expenses.

Other measures of the Organic Finance Law, in particular, the introduction of cost accounting or the accompaniment of the draft Finance Law by the annual performance report and the performance audit report will be taken into account, details the same source.