5% & 10% increases for public servants; minimum wage, pensions increased

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Minister of Finance, Winston Jordan [iNews' Photo]

By Jomo Paul

Minister of Finance, Winston Jordan presents the 2015 budget in the National Assembly. [iNews' Photo]
Minister of Finance, Winston Jordan presents the 2015 budget in the National Assembly. [iNews’ Photo]
[www.inewsguyana.com] – Finance Minister Winston Jordan says effective July 1, the basic minimum wages will be increased from $39,540 to $50,000.

Jordan made the announcement during the presentation of the 2015 Fiscal budget where he outlined the government’s plans for public servants.

“I wish to announce an increase in the minimum basic salary of each public servant to $50,000, effective July 1, 2015. This translates to a 26.4 percent increase for those still earning the old minimum wage of $39,540 and 17.1 percent for over 4,000 public servants earning the current minimum wage of $42,703,” said Jordan.

Jordan also stated that effective July 1, 2015 all other public servants will receive a 5 percent salary increase plus an additional $5,000 monthly. He said that this will allow for a greater increase in the lower income brackets.

“A worker currently earning $50,000 will have a monthly increase of $7,500, or 15 percent; a person currently receiving a salary of $100,000 would get a 10 percent increase. Since the bulk of the public servants earn $100,000 and below, these are substantial increases, more than was promised to these categories of workers,.” Jordan explained.

The Finance Minister also indicated that these increases are payable to workers who were employed on or before January 1, 2015. Referring to Guyana’s existing pension plans, Jordan revealed that pensions will be increased from $13,125 to $17,000.

“Every pensioner, whether he resides in Morawhanna Village in the North or Waiwoi Village in the South, whether in Kawa Valley in the North Pakaraimas or right here in Hadfield Street, in Georgetown, or resident in the Palms Home for Elderly in Brickdam, each will receive $17,000 monthly to assist in meeting their basic needs,” said Jordan.

8 COMMENTS

  1. economics teaches us the higher our salaries become the more tax we will pay , givivng with one hand but yet taking with the other hand.

  2. Laudable. Increased production and productivity will have to ensure and sustain these commendable increases now and in the future. Obviously they are coupled with a reduction of waste in public and private enterprises.

  3. What a joke.. this is just a slam in the face of all that were misled into voting for change.. no real stimulus for the economy.. no real increase. And all what u hear is that they cut subsidy,now I’m no economist,incurring revenue lost and still wanting to pay an increase.. what kinda bull is that.. what experience he “Jordan” has in economics..

  4. Kudos to the APNU+AFC for, in this budget, reducing the traditional ever expanding gap between the rich and poor. While the percentage increase (15%) is largest for citizens who earn smaller salaries, the real cash difference still exists by virtue of the across the board 5% increase. Now consider what that difference would have otherwise been had the increase been 15% been across the board. Now let’s all put our shoulders to the wheel and move this economy… so that we can get greater increases next year; using a similar formula that continues to reduce the gap between the rich and poor.

    Very pleased Citizen.

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