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Prime Minister Aziz Akhannouch announced, Monday, a general salary increase of 1,000 Dhs net for civil servants in the public sector. Additionally, the guaranteed minimum wage (SMIG) in the private sector will rise by 10%.
These measures follow social dialogue agreements that include consultations with the most representative trade unions and the General Confederation of Moroccan Enterprises (CGEM) to improve incomes across government departments, local authorities, public establishments, and the private sector.
The Prime Minister's office clarified that the general public sector increase applies to civil servants who haven't received a recent salary review through sectoral dialogues (like education and health). The increase will be paid in two installments: July 2024 and July 1, 2025.
In the private sector, the minimum wage (SMIG) will see a 10% increase in two stages: 5% from January 1, 2025, and 5% from January 1, 2026. The minimum wage for agricultural activities (SMAG) will also increase by 10% in two tranches: 5% from April 1, 2025, and 5% from April 1, 2026.
Starting January 2025, income tax will be lowered for both public and private sector employees through measures designed to «improve middle-class incomes». This includes a full tax exemption for salaries below 6,000 Dhs. Additionally, the top income tax bracket will see a 1% reduction, with the marginal rate dropping from 38% to 37%. Taxable salaries between 6,000 Dhs and 10,000 Dhs will benefit from a 50% reduction in the current tax rate.
