Samia holds pay, orders labour and informal sector overhaul

Njombe. President Samia Suluhu Hassan has announced a freeze on salary increments for the 2026/27 financial year, citing prevailing economic constraints.

Speaking during May Day celebrations in Njombe, she said the government would not raise wages this year.

Instead, she pledged to prioritise improvements in non-salary benefits for public servants.

Relevant ministries have been instructed to clear outstanding arrears and fast-track promotions for eligible employees.

The President placed strong emphasis on the need to boost productivity across all sectors.

She maintained that any future salary adjustments must be underpinned by measurable gains in national performance.

She urged workers to eliminate corruption and indolence within the civil service.

She also cautioned that higher pay cannot be sustained without a corresponding increase in government revenue.

Her remarks underscored the importance of fiscal discipline in safeguarding economic stability.

Beyond wage policy, the Head of State ordered a comprehensive overhaul of strategies governing the informal sector.

She directed the Ministry of Labour to ensure that workers in small-scale enterprises are registered with social security schemes.

She also endorsed the establishment of a dedicated unit to protect Tanzanian migrant workers in the Middle East and other regions.

She stressed that such workers must be shielded from exploitation and abuse through stronger legal safeguards.

Furthermore, she instructed all employers to cease the practice of hiring workers without formal contracts.

She described the trend as a breach of fundamental rights and a risk to the sustainability of the pension system.

Labour inspectors have been tasked with conducting nationwide compliance audits in private firms.

She noted that the government is currently financing large-scale infrastructure projects that demand substantial capital investment.

She said these initiatives are designed to lay the groundwork for a more productive and prosperous workforce in the coming decade.