Parliament advices Pres Muizzu that pay cuts not possible; opposition boycotts vote

The Parliament voted on Monday to counsel President Dr. Mohamed Muizzu that the decision he made to cut the salaries of top state officials cannot be implemented at this time.

The decision passed with a unanimous vote of 44 in the afternoon, as opposition parliamentarians chose to sit out of the vote.

President Muizzu announced the decision to cut the salaries of state officials including his own, as well as that of parliamentarians, political appointees, and employees of government companies back in October last year.

He decided to:

• Cut his own salary by 50 percent
• Cut the salaries of political appointees by 10 percent
• Cut the salaries of heads of independent institutions by 10 percent
• Cut the salaries of top judicial officials by 10 percent
• Cut the salaries of parliamentarians by 10 percent
• Cap the salaries of employees of state-owned enterprises at MVR 90,000

President Muizzu’s administration had asked the Parliament to approve its two-year fiscal reform agenda, which included the proposed pay cuts.

The Public Accounts Committee – which reviewed the proposed reforms - decided last week to counsel the administration that the changes cannot be implemented based on existing laws.

The decision to implement pay cuts had followed repeated urgings to the Maldives by international financial institutions to implement fiscal reforms. They continue to express concern over the delay in the rollout of promised fiscal reforms.