Today marks the formal implementation of a major overhaul in the compensation system for state employees under the leadership of President Dr Mohamed Muizzu, as the newly framed “State Pay Framework” comes into force across the civil service. The reform seeks to ensure fairness, clarity, and affordability in the public-sector wage structure.
Key Reforms Announced
The cornerstone principle of the new framework is to categorise professions and assign corresponding compensation levels that reflect the nature and demands of each role. The framework aims to align salaries with professional expertise, responsibility, working conditions, and labour market demand, rather than relying solely on educational credentials.
Drivers, for example, will no longer receive identical pay regardless of vehicle type: heavy-load vehicle drivers will be recognised for their specialised skill set and higher risk burden and will consequently receive higher pay and benefits than car drivers. The framework also provides for equal pay among employees doing equivalent work across different offices, and explicitly factors in risk and responsibility when determining compensation.
Moreover, the reform caps overtime allowance at 10 per cent, signalling a shift away from a culture of extensive overtime work solely for extra income. The policy encourages institutions to adopt flexible working hours appropriate to job-roles – such as setting a maintenance staff member’s official shift from 2 pm to match when work can begin – thereby promoting better work-life balance and more efficient use of time.
An attendance benefit is now guaranteed for employees who report for duty on Fridays, Saturdays, official and government holidays. The framework further assures that all civil service basic salaries will exceed the national minimum wage, and any employee whose allowance-transformation results in a reduction will receive a migration allowance to offset the difference.
Fiscal and Institutional Context
The reform aligns with the legal basis set out in the National Pay Policy Act, which mandates standardisation of salaries and benefits for public servants under national budget provisions. The implementing authority, the National Pay Commission under the Ministry of Finance and Planning, has published updated job-matrices and pay structures to support this transition.
Observers note that past efforts to harmonise pay across government institutions encountered challenges, with some sectors still reporting pay disparity. By introducing this comprehensive framework and aligning pay reforms with the state’s fiscal constraints, the administration underscores its commitment to both fairness for employees and responsible financial management.
Implications for Employees and Public Services
For civil servants, the framework signals a more transparent and equitable system of remuneration – one that recognises the distinct nature of jobs, the environment in which they operate, and their career-development needs. The overtime cap and flexible scheduling provision are expected to enhance staff wellbeing and could lead to improved service delivery during standard working hours.
For citizens, the policy strengthens accountability: when state employees receive compensation aligned with their role and workload, the likelihood of efficient and professional service delivery by public institutions increases.
Looking Ahead
Implementation will require close monitoring to ensure that the migration allowances are disbursed as promised and that no employee is disadvantaged by the transition. The Pay Commission and other oversight bodies will need to validate that salary scales remain affordable for the state while achieving the objectives of fairness and service quality.
With today’s launch, President Muizzu’s administration advances a promise to modernise the public sector remuneration model, aiming to build a motivated workforce, improve institutional performance, and support the broader socio-economic development of the Maldives.
