Civil servants salary hike excites CSTU

Written by  Our reporter.

News that Malawi government has approved a salary increment for lowest paid civil servants has brought smiles on the face of Civil Society Trade Union (CSTU).

More money to the civil servants More money to the civil servants
06
July

On Friday government through the Secretary for Human Resource Management and Development Blessings Chilabade issued circular indicating that only lower grade civil servants have been considered.

The increments which are ranging from five percent to 22 percent effective July 1 2015, means that the salary for lowest paid civil servant, Grade R, will move from K41 000 to K50 000 after tax and some other deductions.

“I am pleased to inform you that government has approved the revision of salaries for employees in the civil service in Grades J and below with effect from 1st July 2015. The salaries for Grades I and above have not changed.” reads the circular.

According to CSTU general secretary Madalitso Njolomole the union is happy that lower grade civil servants have received consideration as per their request.

“Our agreement still stands that whatever civil servants’ salary revision comes, the lower cadres should get higher in terms of percentages so we are happy.” said Njolomole.

Earlier the union asked government to revise the perks considering the current cost of living which is said to be high in the country.

This means salaries of civil servants in Grades A to I, which received an average 44 percent increment in the 2014/15 financial year, will get nothing this time around.

In the teaching service, Grade J, a senior supervisor position has moved to K1 366 308 from the annual salary of K1 301 244 representing five percent while Grade R which is industrial class sees the highest increment from K493 296 to K600 000 annually, representing 22 percent.

According to the appendices attached to the circular, Grades K and L which are supervisor and senior clerical positions will get 10 percent increment while Grade M, a clerical or tradesmen position, will get an increment of 15 percent.

Minister of Finance, Economic Planning and Development Goodall Gondwe has said the ratio of the wage bill will rise to 6.7 percent of the gross domestic product (GDP) and remains below 25 percent of the budget.

Gondwe’s explanation came in the wake of warnings by economic commentators that government risked going bankrupt if it granted civil servants a salary increase as the country’s public sector salaries already consumed about 25 percent of the national budget.

Internationally, the standard cut-off point for public service salaries and wages is eight percent of GDP. Prior to the passing of the 2015/16 National Budget in June, Malawi’s ratio of salaries to GDP stood at 6.9 percent, just 1.1 percentage points below, according to information from Treasury

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