Zanzibar President and Chairman of the Revolutionary Council, Hussein Ali Mwinyi, has announced an increase in the minimum wage from TZS 300,000 to TZS 500,000 per month, a move expected to bring relief to workers facing rising living costs.
Dr Mwinyi made the announcement on May 1, 2026, during the International Workers’ Day, widely known as International Workers' Day, celebrations held at the Kizimbani Agricultural Exhibition Grounds in the Urban West Region.
The new wage structure will come into effect in January 2027, giving the government time to prepare for implementation.
Dr Mwinyi said the decision was informed by the state of the economy, increasing household expenses, and the need to motivate workers to improve productivity.
The wage adjustment marks one of the most notable labour reforms under the Eighth Phase Government, which came into office in 2020.
Since then, the administration has taken steps to improve workers’ welfare, including reviewing salaries, allowances, and fringe benefits, while also strengthening social security systems.
Dr Mwinyi said the government has also introduced a health insurance scheme covering all public servants and their families, aiming to reduce the burden of medical expenses and improve access to healthcare services.
In a further boost to employment, the President announced that 7,500 new job opportunities have been allocated in the 2026/2027 financial year, reflecting ongoing efforts to expand job creation and support economic growth.
The minimum wage increase is expected to have a positive impact on workers’ livelihoods, particularly for low-income earners, while also stimulating economic activity as households gain more spending power.
