Times Times • 2 months ago

[PRB Report 2026] Salary Increase of Up to 15.3%, Structural Reforms and Gradual Implementation

Starting January 2026, civil servants will receive an average weighted salary increase of 15.3%, as per the recommendations of the Pay Research Bureau (PRB), which the government acknowledged during the Cabinet meeting on December 19, 2025. This increase, which incorporates a 5% interim allowance, will be implemented in two phases: 50% in January 2026 and the full amount in January 2027, due to current budget constraints.

The total cost of fully implementing the report is estimated at Rs 10.9 billion per year, a figure deemed unsustainable in the short term without phasing. The PRB emphasizes that the increases are primarily aimed at lower grades, who have been significantly affected by the rising cost of living. Consequently, the base salary of the General Worker will see a substantial increase, while the salary ratio between the General Worker and the Permanent Secretary will change from 1:6.2 in 2021 to about 1:5.4 in 2026.

In contrast, senior executives are experiencing a more pronounced loss of purchasing power during the 2021-2025 period, a direct result of the salary compression caused by the adjustment of the National Minimum Wage and targeted social protection measures.

The PRB Report 2026 comes in a context marked by:

  • High cumulative inflation between 2021 and 2025;
  • An average loss of 18% in purchasing power, exceeding 30% for high earners;
  • An increase in the National Minimum Wage to Rs 16,500, causing significant distortions in pay scales;
  • Growing recruitment and retention challenges in several key public service sectors.

In light of this situation, the PRB indicates that it had to balance the legitimate expectations of employees with the actual financial capacity of the state. The Bureau claims to have based its recommendations on structuring principles:

  • Respecting the National Minimum Wage as an anchor point;
  • Correcting salary distortions and restoring relativities;
  • Considering the overall compensation package, including pensions and non-monetary benefits;
  • Enhancing the attractiveness of public service;
  • Linking compensation to performance and accountability;
  • Modernizing organizational structures.

Over 15,000 representations and nearly 700 consultation meetings were held during this particularly complex exercise, as described by the PRB itself. The PRB Report 2026 thus represents a balancing act between social justice, structural reforms, and budgetary reality. While it provides anticipated financial relief for many civil servants, its gradual implementation highlights the current limits of public finances.

The government must now ensure a consistent and fair application of the report to avoid further distortions and maintain the credibility of the public sector salary review process.

Creation of New Grades and Restructuring

The PRB 2026 does not focus solely on salaries. It recommends a thorough overhaul of many frameworks, both in the civil service and in parastatal bodies, universities, and local authorities.

Universities and Academic Institutions

  • Additional progression for professors in the Master Salary Scale;
  • Harmonization of IT grades;
  • Creation of new administrative, technical, communication, and archive management positions.

Parastatal Bodies

  • Creation of grades in key institutions such as the Central Water Authority, FAREI, Construction Industry Authority, Agricultural Marketing Board, Academy of Design and Innovation, Mauritius Cane Industry Authority, among others;
  • Introduction of specialized positions (engineering, research, communication, procurement, environment).

Public Service and Local Authorities

  • New grades in health, engineering, environment, infrastructure, urban planning, and social development sectors;
  • Revision or reintroduction of certain obsolete grades;
  • Creation of trainee grades to facilitate recruitment.

Allowances, Bonuses, and Recognition of Constraints

The report introduces or extends several targeted allowances, including:

  • Allowances for work at heights, difficult roads, or exposure to hazardous conditions;
  • Bonuses for additional or more complex tasks;
  • Allowances related to research and continuing professional development (CPD);
  • Financial recognition for using personal vehicles for official purposes;
  • Professional bonuses for engineers, architects, urban planners, and other regulated professions.

Well-being, Performance, and Modernization

The PRB 2026 also emphasizes:

  • Mental and psychological well-being, with the introduction of “Mental Health First Aiders”;
  • Ongoing training and adaptation to emerging technologies, including AI;
  • Implementation of a results-oriented management system;
  • Improvement of working conditions for people with disabilities;
  • Strengthening a culture of healthy industrial relations.

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