Economy, Business And Markets

Workers Seeking Housing Allowance Raise

Workers Seeking Housing Allowance RaiseWorkers Seeking Housing Allowance Raise

Iranian workers are awaiting a decision by the government to increase housing allowance as part of their monthly salary.

“The proposal to raise the allowance has been sent to the Cabinet and workers are now waiting for the decision,” Hadi Abavi, spokesman of Iran’s Labor Unions Supreme Center, said on Saturday, as quoted by ISNA.

The minister of cooperatives, labor and social welfare has vowed support for the unrealized proposal, according to Abavi. “But if the government rejects our demand, we would go to the High Labor Council,” the top policymaking body dealing with labor affairs, he said.  

If Cabinet members approve the proposal, workers will gain 200,000 rials ($6) extra per month in housing allowance. They now gain 400,000 ($12).

The allowance was doubled from 200,000 rials last year to 400,000 rials, and the proposal is seeking another raise.

The minimum wage in Iran is 7.1 million rials ($216).

Critics say even if the housing allowance increases, the sum is meager when compared to the rising rents the workers need to pay each month in big cities. Workers living in Tehran spend at least half of their salary on rents.