45% Inflation; Iran’s Government Employees’ Minimum Salary Only Increases by 29%
Based on predictions made in the 1401 fiscal year budget proposal, the minimum salary for government employees next year will increase from 3.5 million tomans to 4.5 million tomans.
An “informed source” in the Budget and Planning Organization told IRNA on Sunday, December 5, that the minimum salary for government employees for next year will increase to 4.5 million tomans.
Accordingly, while the annual inflation rate in the country stands at around 45% and inflation in food items remains above 60%, the minimum salary for government employees will increase by less than 29%.
The gap between minimum income and the poverty line in Iran has grown significantly in recent years, and according to official statistics, 30% of Iran’s population lives below the absolute poverty line and 60% live below the poverty line.
This “informed source,” whom IRNA did not name, stated: “Minimum wage earners will have a 29% salary increase, and the higher the salary goes, the salary increase coefficient decreases proportionally.”
He also said that tax exemption on salaries for next year is also estimated at five million tomans.
Regarding workers, the economic and wage situation is much worse. While the poverty line in Iran is officially set at 70 million tomans for a household (averaging 3.3 people) in one year, the minimum annual wage for workers is 26.5 million tomans.
Source: Radio Farda
