Work and Wages
Minimum Wage
The national guaranteed minimum wage for agricultural (SMIG) and non-agricultural workers (SMAG) is determined by the Ministry of Labour. A decree is issued by the Ministry after consulting the National Labour and Social Security Council. Minimum wages higher than SMIG and SMAG are determined by joint committees covered by a collective agreement. These rates may be extended further and become applicable to all the workers in the concerned sector. These rates tend to establish the actual minimum rates applicable in practice. In the absence of collective bargaining agreements, orders of the Minister for Labour set minimum wage rates for different occupational categories.
Poverty line must be considered while determining the minimum wage. Other factors that are taken into consideration to set minimum wage include the needs of workers and their families, and general economic conditions.
Minimum wage rates are determined separately for both agricultural and non-agricultural sectors. Through collective bargaining, wage rates are determined for other sectors as well. The minimum wage was last updated in 1996 through Decree No. 96-154, and it has not been revised thereafter. Under Decree No. 2023-1710, the Guaranteed Minimum Interprofessional Wage (SMIG) for workers in professions subject to a legal weekly working time of 40 hours was revised.
In 2023, a joint committee set new salary scales for job categories, to increase salary categories in various branches of activity in the private sector, an increase of 10% for categories 1-4, 8% for categories 5 through AM2 and equivalent, and 5% for AM3 and higher categories. This committee also corrected discrepancies and inconsistencies found in sector-based scales.
Under the Minister's Order, 2025, a minimum wage for household staff and domestic workers is set by categories, with higher categories receiving a higher minimum wage.
Source: §80-86 & 109 of the Labour Code of 1997, last amended in 2022; Decree No. 96-154 1996; §1 of the Decree No. 2023-1710 on setting the Guaranteed Minimum Interprofessional Wage (SMIG) and the Guaranteed Minimum Agricultural Wage (SMAG); Order setting the categorical minimum wages of domestic workers and house staff, 2025
Regular Pay
The Labour Code regulates the payment of wages to all classes of workers. It requires an employer to make timely payment of remuneration to the employees. If a worker is hired for a day on a short assignment, he is to be paid wages at the end of that day. Similarly, if he is hired for a week, he should be paid wages at the end of that week. The wages should be paid, however, in legal tender. Wages must be paid during working hours. For a worker hired on an hourly or daily basis, wages must be paid on a fortnightly basis. Similarly, if a worker is hired on a monthly basis, he has to be paid at the end of every month. Monthly wages must be paid within 8 days after the end of the work. Weekly or fortnightly wages must be paid within 2 days or 4 days, respectively, at the end of work, giving entitlement to wages.
Salaries are paid in legal tender at the workplace. A payment slip is also provided. Generally, an employer is not allowed to deduct wages except in cases provided by the law. Collective agreements authorising any wage deductions other than those provided by the law are invalid. Payment of salary in the form of alcohol or alcoholic beverages is strictly prohibited.
There is no mandatory provision in law for a 13th or 14th month pay or a compulsory bonus. However, an employer may voluntarily provide a bonus based on employment contracts, collective bargaining agreements (CBAs), company policies or discretionary awards.
Source: §114-115 & 129-131 of the Labour Code of 1997, last amended in 2022
