If you’re an employer or an employee in Mauritius, you’re probably wondering what the new year holds for your paycheck. With the cost of living constantly on our minds, the annual salary compensation announcement is a big deal.
Well, the wait is over. Following the conclusion of the Tripartite Committee meeting today, December 12, 2025, Prime Minister Dr. Navin Ramgoolam has addressed the nation on the finalized approach for the upcoming year’s salary adjustments. I’m here to break it all down for you in simple terms. Let’s dive into the numbers!
Effective from January 1, 2026, the salary compensation has been set at Rs 635 per month.
This decision follows the Tripartite Committee discussions involving the government, trade unions, and private sector representatives. While unions pushed for a higher amount (ranging between Rs 800 and Rs 1,700), the final decision was balanced against economic realities to protect the country’s credit rating and financial stability.
This compensation isn’t for everyone, so here is the checklist to see if you qualify:
Note for Pensioners: There is good news for you too! Beneficiaries of the Basic Retirement Pension and Income Support will also see a 3.7% increase starting January 2026.
You might be asking, ‘How did they come up with this specific number?’
Effective from January 1, 2026, the National Minimum Wage will effectively increase to Rs 17,745 per month.
Here is how this figure is calculated:
It is important to distinguish between the basic minimum wage and the guaranteed minimum income.
While the base salary paid by your employer (the National Minimum Wage) is rising to Rs 17,745, the government has previously set a Guaranteed Minimum Income of Rs 20,000.
To understand the trend, it helps to look at where we came from. In January 2025, the salary compensation was Rs 610. This means we are seeing a slight increase this year compared to the last.
For a detailed look at the salary history and how the minimum wage jumped to Rs 17,110 last year, you can check out this helpful article from our website: Minimum Salary Increase in Mauritius: Jan 2025. It’s a great resource to see the progression of wages over the last couple of years.
If you run a business, here is what you need to prepare for:
Salary compensation is calculated on “basic wage or salary” and is enforced through labour law and employer payroll obligations. Self-employed individuals, by definition, do not receive a wage from an employer but business or professional income, so the same legal mechanism cannot be applied.
Managing finances can be tricky, but staying informed is the first step. Whether you are budgeting for your household or managing a company payroll, we hope this guide clarifies exactly what to expect this coming January 2026.
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