Liberian Government Introduces Salary Adjustments to Promote Fiscal Stability

Liberian Government Introduces Salary Adjustments to Promote Fiscal Stability

By: Alphanso G. Kalama;

The Liberian government has announced a series of salary adjustments as part of a broader effort to streamline public spending while ensuring fair compensation across the civil service. The newly introduced salary structure aims to maintain financial stability while protecting lower-income employees from drastic cuts.

Salary Adjustments and Payroll Management

Under the new framework, salary reductions will range from 3% to 10% for government employees earning above $1,000 USD per month. The policy ensures that cuts are progressive, meaning higher earners will bear a larger percentage of the reduction, while lower-tier civil servants remain less affected. This move is intended to balance government expenditure while maintaining employee morale.

Additionally, state-owned enterprises (SOEs) will no longer pay sitting fees to board members, and Cabinet Ministers will not receive compensation for holding board positions. These adjustments are expected to curb excessive payroll costs while maintaining operational efficiency in public institutions.

Fuel and Communication Allowances Recalibrated

As part of broader fiscal reforms, government fuel allocations have been standardized:

  • Office of the Head of Entity: Maximum 150 gallons per month
  • Deputy Head of Entity: Maximum 125 gallons per month
  • Principal Assistants and other units: Maximum 100 gallons per month

Similarly, scratch card allowances for official communication have been revised:

  • $200 per month for heads of entities
  • $175 for deputy heads
  • $150 for principal assistants
  • $125 for other units

These adjustments aim to reduce wasteful spending while ensuring that essential services continue without disruption.

Stronger Oversight on Consultancy Services

To improve efficiency in government spending, consultancy contracts will now be subject to stricter regulations. These include:

  • Capping consultancy pay at the salary level of a principal deputy within the institution
  • Limiting contracts to task-based assignments with knowledge transfer requirements
  • Restricting consultancy agreements to a maximum of 12 months

By prioritizing internal workforce development, the government seeks to reduce reliance on external consultants and promote capacity building among civil servants.

Government’s Commitment to Fair Reforms

The administration has emphasized that these measures are designed to maintain fiscal responsibility while ensuring equitable salary distribution. By prioritizing cost-saving initiatives without drastically impacting lower-income government employees, the government aims to foster long-term financial stability while improving accountability in public service operations.

As these reforms take effect, officials have assured the public that regular assessments will be conducted to monitor their impact, with necessary adjustments made to safeguard both government efficiency and employee well-being.

administrator

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *