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Iraq, KRI agree to implement Unified Pension Law for employee salary payments

Iraq, KRI agree to implement Unified Pension Law for employee salary payments
Iraq, KRI agree to implement Unified Pension Law for employee salary payments

2025-02-10 16:05:27 - From: Shafaq News


Shafaq News/ Iraq and the KurdistanRegion (KRI) have agreed to implement the Unified Pension Law No. (9) for 2014 concerningemployee entitlements, the Kurdish Ministry of Finance and Economy announced onMonday.

"The federal and KurdistanRegional (KRG) governments reached an agreement in a meeting held on Monday inBaghdad, outlining the mechanisms for implementing the law that regulatesemployee salary payments in Iraq, ensuring the rights of employees in the Region,”the ministry stated.

The KRG began enforcing the law inJuly 2024, applying it similarly to the federal government, “reflecting thecooperation in resolving this vital issue,” according to the ministry.

"This deal marks an importantstep toward improving employee conditions and ensuring stability in salarypayments," it added. "It is a positive move toward resolving one ofthe most prominent unresolved issues between both sides, paving the way forfurther cooperation and understanding on other economic and financial matters,thus contributing to financial and social stability in Iraq."

The issue of salary payments foremployees in the KRI has been one of the most significant unresolved problemsbetween the two governments, with challenges in enforcing the salarydistribution law, resulting in prolonged payment delays, protests, and hungerstrikes in the Region.

The dispute stems from ongoingpolitical tensions, centering on disagreements over oil revenue sharing. WhileBaghdad insists that the KRG must transfer all oil production to the StateOrganization for Marketing of Oil (SOMO), funneling revenues into the nationaltreasury to fund salaries and production costs, Erbil contends that it shoulddeduct production costs before remitting the remaining funds.