[Breaking News] PRB Report: Salary Increase of 50% in January 2026, then 100% in 2027

[Breaking News] PRB Report: Salary Increase of 50% in January 2026, then 100% in 2027

On Friday, December 19, 2025, the Council of Ministers acknowledged the recommendations made by the Pay Research Bureau (PRB) in its 2026 report regarding salary structures, classifications, and service conditions within the public sector, including the civil service, parastatal bodies, statutory authorities, local authorities, the Rodrigues Regional Assembly, and private secondary schools.

According to the report, the salary ratio between a General Worker and a Permanent Secretary, which was 1:6.2 in the 2021 PRB report, is now approximately 1:5.4 in the 2026 report. Additionally, the ratio between a General Worker and a Senior Chief Executive is now set at 1:6.7.

The average weighted salary increase, calculated based on the gross salary of December 2025, is estimated at 15.3%, compared to 7.95% in the 2021 report.

The recommendations in the report, including the salary revision applicable from January 1, 2026, as well as a 5% interim allowance integrated into salaries, are expected to incur an annual cost of approximately Rs 10.9 billion for the government.

Given the current particularly tight economic and budgetary context, the Council of Ministers decided that the implementation of the report will occur in two phases:

• 50% starting January 2026;

• 100% starting January 2027.

The PRB states that it conducted extensive consultations with all stakeholders during the preparation of this report. In its recommendations, it claims to have remained attentive to the national financial capacity while taking into account the need to ensure fair and reasonable compensation for public sector employees.

The PRB also considered, among other factors:

• The necessity to ensure that the starting salary for the lowest-paid employees is not below the national minimum wage, while correcting, if necessary, salary relativity distortions;

• The monetary value of non-financial benefits included in the overall compensation package for public sector employees;

• The challenges related to recruiting and retaining qualified and motivated personnel capable of providing quality public services;

• The fundamental principles of remuneration, including fairness, transparency, competitiveness, and employee performance;

• The loss of purchasing power.