Economic Minister Fayyaz Ismail has announced that setting the minimum wage will result in an increase of MVR 3.8 billion to the budget.
Economic Minister stated this in a public discussion conducted to get the public opinion on setting a minimum wage. He further stated that this will also result in MVR 1.5 billion increase in the salary paid to the civil servants.
He has also highlighted that setting a minimum wage has both a positive and negative impact on the economy. And setting the minimum wage may result in loss of certain job opportunities and in order to cut costs employers might layoff employees.
He has also stated that setting minimum wage has been delayed as they will require an opinion from the People’s Majilis before making a decision.