تجريبي

Al-aalem Al-jadeed
May 21

Raising gasoline prices on Labor Day sparks controversy

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The working class in Iraq suffers from deprivation, lack of guaranteed rights, and absence of employment opportunities, amidst numerous difficulties and challenges, including the influx of foreign workers, minimum wage, work environment, and arbitrary exclusion.

As their international day approaches tomorrow, Wednesday, the law to raise gasoline prices for both regular and premium fuels goes into effect, adding another burden to their already heavy load. Activists on social media criticized the decision to implement the law on International Labor Day, asking, “Where does the poor go?'”

The officially registered number of workers in Iraq within the Social Security database does not exceed 650,000, according to an official statistic.

A statement from the oil product distribution company, received by “Al-Alam Al-Jadeed” (The New World), stated, “We hereby attach to you the letter from the General Secretariat of the Council of Ministers in its thirteenth regular session dated 26/3/2024, regarding Cabinet Resolution No. (24213) for the year 2024, paragraph six, which includes the increase in the price of regular gasoline to (850) dinars per liter and premium gasoline to (1250 dinars) per liter, effective from 5/1/2024.”

It added, “The increased amounts are to be sent to the Ministry of Finance, and a review of the mentioned increase will be conducted after three months.”

Meanwhile, political researcher Saif Thamer said in a post on the “Ax” platform, “Day after day, the Iraqi people fight against rising prices. Has the government studied the situation of raising gasoline prices or are they just laws without benefit?”

He added, “The increase in gasoline prices means an increase in transportation costs,” explaining that “there is no longer premium gasoline today, only regular despite its disadvantages.”

For his part, blogger Nofel Nashi affirmed in a post, “Raising gasoline prices in an oil-rich country is a serious mistake,” asking, “Where does the poor person go?”

The world celebrates International Workers’ Day on May 1st each year, which is a public holiday in most countries. However, workers in Iraq continue their work without being granted leave or respite on this occasion.

The working class in Iraq is one of the most vulnerable groups to injustice, often facing sudden termination of service, especially since the private sector still lacks regulations and frameworks, unlike other countries where the private sector is subject to specific laws, including minimum wages and social security, in addition to the most important aspect, which is signing a contract with the worker.

The parliament approved the Retirement and Social Security Law for Workers in May 2023, which is set to take effect tomorrow, the first of May, according to the Parliamentary Committee on Labor and Social Affairs.

The law focuses on workers employed in companies and factories, as well as self-employed individuals. It allows workers to register and officially enter the database, providing optional insurance and the opportunity to register with the Social Security Department. The government supports this law by contributing to the social fund, in addition to providing basic retirement benefits for all workers.

For many years, the phenomenon of foreign labor has emerged in Iraq, encompassing all sectors, especially as most of the labor force was from Bangladesh. Recently, however, there has been an influx from Syria and Lebanon due to economic crises in those countries. This labor force is concentrated in restaurants, hotels, and nightclubs as well.

According to the Ministry of Labor and Social Affairs, there are one million foreign workers in Iraq, of which only 71,000 are officially registered. Official figures show that registered foreign workers transfer $600 million out of Iraq annually. However, according to the Parliamentary Labor Committee, the actual figures, obtained through monitoring financial transfers to foreign workers, exceed $350 million monthly, equivalent to $4.2 billion annually.

Unofficial estimates suggest that the outflow of funds from Iraq as financial transfers to foreign workers exceeds $8 billion annually, in addition to the high salaries received by most foreign workers in oil companies and other companies operating in Iraq, which are deemed unjustified according to official statements.

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