In a joint statement between the Ministry of Labor and Social Development and the Labor Fund (Tamkeen) .. No change in the minimum wage

27-01-2021

The Ministry of Labour and Social Development and the Labour Fund "Tamkeen" have denied recent media reports claiming an increase in the Kingdom's minimum‑wage levels, confirming that the approved salary thresholds for employment remain unchanged. The Ministry's benchmarks are still set at 450 dinars for university graduates, 380 dinars for diploma holders, and 300 dinars for secondary-school graduates and below. The joint clarification explained the distinction between the established minimum wage and the wage-support ceiling applied to business owners under National Employment Programme 2.0 benefits. Employers retain full discretion to offer salaries above the stated thresholds if they deem it appropriate for their establishments and employees. Under National Employment Programme 2.0 incentives, wage support has been raised to 70 per cent of an employee's salary, capped at 70 per cent of a 600‑dinar wage. For example, a university graduate earning 450 dinars will attract 70 per cent support in the first year, amounting to 315 dinars. Where a graduate's salary is 600 dinars, the support provided reaches 420 dinars. If the salary exceeds 600 dinars, the support remains fixed at 420 dinars, reflecting 70 per cent of the 600‑dinar ceiling. The same calculation applies to other qualification bands. Diploma holders benefit from 70 per cent of their wages up to the support ceiling of 480 dinars, while secondary‑school graduates and below receive 70 per cent support up to the ceiling of 350 dinars. These wage‑support ceilings are entirely separate from the Kingdom's unchanged minimum‑wage benchmarks.