Despite the worsening economic and living crisis in Lebanon and the rapid devaluation of the Lebanese lira against the US dollar, the Ministry of Labor has issued a controversial decision that has sparked widespread anger among workers and the general public. The ministry opted to fix the minimum wage at $320, without adjusting salaries above that threshold. At a time when the state should be distributing burdens fairly between employers and workers, this move has exposed the government's alignment with business interests at the expense of an already-exhausted working class.

From $450 to $200... then $320

Before the Lebanese pound collapsed, the minimum wage was equivalent to about $450—an amount that, while insufficient to cover basic living expenses, was still considered a minimally acceptable standard. After the onset of the financial crisis in 2019, wages lost the bulk of their purchasing power, leaving most workers earning incomes that can no longer meet even the most essential needs.

Last year, the government set the minimum wage at the equivalent of $200, even as most prices were already being calculated in dollars. This allowed employers to rake in high profits, while the real value of the wages they paid plummeted to less than 44% of what it was pre-crisis.

Unequal Negotiations, Pre-Determined Outcomes

Upon forming the new government, Labor Minister Mohammad Haidar opened discussions with the General Confederation of Lebanese Workers and Lebanon’s economic associations. Multiple studies have shown that the minimum income needed to support a small family in a Lebanese city exceeds $800 per month, putting pressure on the government to revisit salary scales. But economic bodies responded with two rigid conditions:

- Raise only the minimum wage, without adjusting other salary brackets.

- Limit the increase to no more than 50%.

Even the modest proposal put forward by the General Confederation—to raise the minimum wage to $550—was flatly rejected. Worse still, the labor minister appeared to fully embrace the employers' narrative, labeling any fair wage adjustment “unrealistic” under current conditions. He even adopted verbatim the figure proposed by the economic bodies: 27 million Lebanese pounds, or roughly $320.

Weak Arguments and a Return to Past Mistakes

In an attempt to justify the rejection of workers’ demands, the labor minister revived an old argument: that the salary scale increases introduced before the crisis triggered the collapse. Yet no independent study has ever confirmed this claim. In reality, Lebanon’s financial downfall is rooted in decades of corruption, waste, and unsustainable debt—not public sector wage increases.

This narrative appears aimed at scaring the public away from demanding better wages and at legitimizing the interests of large corporations seeking to reduce their social security contributions and labor costs, even if it means undermining workers’ health and financial security.

Workers in the Eye of the Storm

Speaking to Safa News, several private-sector employees expressed their deep sense of abandonment by the state. “I work all day under the sun, and by the end of the month, my salary doesn’t even cover my rent,” said a construction worker. A retail store employee added, “I haven’t had a raise in two years, and prices are going up every day. I need to eat, I need to buy medicine, and all they tell me is to be patient!”

The Struggle Continues

Fixing the minimum wage without adjusting broader salary structures signals a dangerous retreat by the state from its duty to protect the most vulnerable. Today, workers are bearing the brunt of the crisis, while economic bodies continue to protect their profits without making any fair contribution to recovery.

As living conditions deteriorate, the wage battle appears far from over. It may just be beginning—on the streets, in unions, and across media platforms.

In a country grappling with one of the worst financial crises in its history, no solution can be considered just unless it includes meaningful wage reform that reflects the real cost of living and upholds workers’ dignity.