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Tripartite Committee suggests to null 29th resolution for public service pay raise www.zgm.mn

National Tripartite Committee of Labour and Social Consensus has announced that they suggested to null three articles of the Parliament’s 29th resolution, which prevents public servants’ salary increase within the frames of the Extended Fund Facility program (EFF) of the International Monetary Fund (IMF). In April 2017, the Parliament issued the 29th resolution that would suspend pay raise of public servants in 2017-2019. Although the EFF has forbid the Government from increasing public sector salaries, the IMF, in its third review, stated “The fiscal over-performance has provided some room for adapting program policies including a rise in civil service salaries in 2019 after several years of restraint.” Plus, the Minister of Labour and Social Protection Chinzorig Sodnom addressed the pay raise to IMF staff team during their visit earlier this month.

The results of the discussion remain unknown. Amgalanbaatar Khayankhyarvaa, President of the Confederation of Mongolian Trade Union, noted “According to the 2018 budget, salaries of 182 public servants accounted for 18 percent of total expenditure with MNT 1.7 trillion. This equals 24.1 percent of the current expenditure. About 50 percent wage raise would equal around MNT 900 billion.” Mr.Chinzorig also highlighted that tax revenue grew by about 30 percent in the first seven months of 2018, and as a result, the budget revenue has been reportedly overperformed by over 40 percent. “The Cabinet previously announced that pay raise will be re-discussed in the fourth quarter if budget situation improves. However, the temporary Committee on Increasing Teachers’ Salaries demanded 50 percent salary raise before the third quarter and announced to go on a strike if the Government fails to fulfil their demand.”



Published Date:2018-08-22