Several sources reported that the Tripartite Committee on Labor Affairs has decided to begin applying the increase in the minimum wage as of January 1, 2021. Following an agreement with employers' representatives on measures that will allow them to lighten their burdens, the minimum wage will increase from 220 to 260 dinars.
In this context, the spokesman of the General Society of Social Security said that the Society will allow certain sectors to suspend contributions to old age insurance for workers whose wages are less than 300 dinars for 6 months. In return, these companies will have to apply the new increase.
The spokesman stressed that the suspension of these contributions concerns workers in the sectors most affected by the pandemic and those working for undeclared companies. However, these employees will continue to benefit from the death-disability, sickness-maternity and unemployment insurance. Jordanian insured persons who are suspended from old-age insurance may contribute voluntarily during this period.
It should be noted that the former government decided to increase the minimum wage starting next year. Last February, the Tripartite Committee for Labor Affairs decided to increase the minimum wage for Jordanians to 260 dinars and 230 dinars for foreigners. Domestic workers, foreign transporters and textile and ready-to-wear workers (foreigners and Jordanians) are not affected by this increase.
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