A proposed unified salary scale in Libya has sparked debate among economic experts. The scale, published by the Ministry of Finance in the outgoing government of national unity, aims to address disparities in public sector salaries. However, Dr. Ali Sharif, an economics professor at the University of Benghazi, argues that the proposed scale does not reflect the actual economic and living conditions in Libya.
Dr. Sharif stated that the proposed salary scale fails to account for changes in the exchange rate and rising living costs. He emphasized that the purchasing power of salaries has significantly decreased, and any serious reform should focus on addressing this issue to achieve fairness among different sectors. The proposed scale sets the starting salary for the first grade at 1,000 dinars and the maximum at 1,200 dinars.
The Ministry of Finance defends the proposed scale, stating that it aims to address the sharp disparities in public sector salaries through a unified table and the abolition of special tables. The ministry also clarified that the proposed scale would apply to all public sector employees, with the goal of implementing it in January 2027. The ministry emphasized that it would be challenging to determine the final financial cost due to incomplete employee data.
According to the proposed scale, the 16th grade would start at 4,312 dinars and reach up to 4,912 dinars. Additionally, the scale includes a distinction allowance ranging from 15% to 25%, depending on the nature of the job, and links it to performance evaluation. The ministry also plans to regulate the salaries of sovereign and political positions.
The Ministry of Finance also announced that it would require public entities to pay salaries through the "Ratkek Hazi" system to reduce duplication. However, the ministry noted that it would be difficult to determine the final financial cost due to incomplete employee data, which requires a comprehensive census to ensure the application of a fair law that maintains the state's financial sustainability.
The proposed unified salary scale has sparked mixed reactions among Libyan economic experts, with some calling for a more comprehensive approach to address the country's economic challenges. The scale is set to be discussed in the Libyan parliament before the end of the year. The economic experts stress that any reform should prioritize improving the living standards of Libyan citizens.
The debate surrounding the proposed salary scale highlights the complexities of addressing Libya's economic challenges. The country's economic situation has been affected by various factors, including the fluctuation of the exchange rate and rising living costs. As the Libyan government moves forward with its plans to implement the proposed scale, it remains to be seen how it will address the concerns of economic experts and Libyan citizens.
Key points
- Dr. Ali Sharif criticizes the proposed salary scale for not reflecting Libya's economic reality.
- The proposed scale aims to address disparities in public sector salaries through a unified table.
- The Ministry of Finance plans to implement the proposed scale in January 2027.