LUSA 10/02/2025

Lusa - Business News - Mozambique: Minimum wages rise by up to 9% backdated to 1 July

Maputo, Oct. 1, 2025 (Lusa) - The increase in minimum wages in Mozambique, from 2.9% to 9% depending on the sector, will take effect retroactively from 1 July, according to ministerial diplomas to which Lusa had access on Wednesday.

According to the diplomas with the wage updates, dated 22 September, these readjustments involve eight different sectors of the Mozambican economy, with the last increase in minimum wages taking effect on 1 April 2024 and the previous one in April 2023.

The wage readjustment was the result of proposals discussed since August in the Labour Consultative Commission with social partners, such as employers and trade unions, and the government.

Specifically, the minimum wage for workers in the agriculture, livestock, hunting and forestry sector rises by 5.5% to 6,688 meticais (€89.30), while in maritime, industrial and semi-industrial fishing it rises by 2.9% to 6,726.88 meticais (€89.70).

In the mineral extraction industry, minimum wages rise by 7% to 15,176.66 meticais (€202.50) for workers in large companies; by 4% to 8,008 meticais (€106.80) for workers in quarries and sand pits and medium-sized companies; and by 3.2% to 6,538.44 meticais (€87.30) for workers in salt pans and micro and small companies.

In the manufacturing industry, the minimum wage will be 10,147.50 meticais (€135.40), up 6.8%, with the exception of bakery workers, who will see an increase of 5.9%, to 7,200 meticais (€96.10), and the cashew sector, which will see an increase of 6 %, to 6,653.21 meticais (€88.50).

In the electricity, gas and water production and distribution sector, the minimum wage rises by 5.9 % to 12,275 meticais (€163.8) for workers in large companies, and by 5.6% to 9,960.62 meticais (€133) for the rest. In comparison, in the construction sector it rises by 5% to 8,400 meticais (€112.10).

In the non-financial services sector, the minimum wage is now 10,310 meticais (€137.60), an increase of 7.8%, except for the hotel industry, tourism and similar, which is up 9% to 9,700 meticais. In comparison, in private security activities it is now 8,465 meticais (€113), an increase of 3.4%. For workers in fuel retail companies, it rose by 5.8% to 9,739 meticais (€130).

Finally, in the financial services sector, workers in banks and insurance companies now have a minimum wage of 19,043.61 meticais (€254.20), and those working in microfinance and micro-insurance companies now receive 16,764 meticais (€223.70), representing an increase of 6.5% in both cases.

On 1 September, at the last meeting of the Labour Consultative Commission in Maputo, the Confederation of Economic Associations (CTA), Mozambique's largest business association, said that ‘possible results’ had been achieved in the ‘calm and flexible’ negotiations on wage increase proposals.

"Given the need to maintain jobs, we have achieved what is possible, perhaps not desirable, but possible, recognising the difficulties that exist for each of us. Naturally, life is difficult, not only for the ordinary citizen, but also for the employer," said CTA representative Victor Miguel.

At the time, no specific figures were released. However, the National Confederation of Free Trade Unions of Mozambique (Consilmo) considered the proposals unsatisfactory, but called for them to be fulfilled.

"The results achieved in the negotiated minimum wages are not satisfactory, but they were the best possible. Our joy as a union is not in achieving the results, it's in the fulfilment of what was achieved," said Boaventura Simbide, a representative of Consilmo.

PVJ/ADB // ADB.

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