
Iraqi Cabinet Exempts Retirees from Controversial 1% Salary Deduction for Gaza and Lebanon
After cabinet vote
Iraqi cabinet exempts retirees from controversial 1% salary deduction scheme for Gaza and Lebanon aid
BAGHDAD – The Iraqi cabinet has voted to exempt retirees from the controversial 1% salary deduction intended to support humanitarian efforts in Gaza and Lebanon, with the exemption applied retroactively from Nov. 24, 2024, according to a statement from the Prime Minister’s Office.
The original decision, issued in November, allowed for a 1% deduction from the salaries, allowances, and pensions of state employees and retirees, described as a ‘voluntary’ contribution to aid Gaza and Lebanon. Employees and retirees who wished to opt out were required to submit formal requests.
The policy sparked widespread public opposition, with critics citing its lack of legal standing.
Iraqi lawmakers, including Parliamentary Integrity Committee member Hadi Al-Salami, have repeatedly called for the cancellation of the deductions. On Jan. 11, Salami submitted an official document to the speaker of parliament, signed by fellow lawmakers, demanding the annulment of Cabinet Decision No. 24888 of 2024. “These deductions lack a legal foundation, and the amounts already withheld should be reimbursed,” the document stated.
The government’s directive, initially projected to generate 70 billion dinars ($48 million) monthly, faced backlash from employees and pensioners. Economists, including Mohammed Al-Hassani, labeled the deductions as unjust and akin to corruption, urging parliament to act swiftly in removing it.