News / National
Mthuli Ncube cuts 5% of top civil servants' salary
22 Nov 2018 at 14:22hrs | Views
The Minister of Finance & Economic Development Professor Mthuli Ncube has announced that he will be cutting 5% of basic salary of all top civil servants. Ncube announced the development at the 2019 budget speech held at parliament building on Wednesday.
"Mr Speaker Sir, it is critical that we reduce public spending on employment costs. As a first step, Government has decided that effective 1 January 2019, a 5% cut on basic salary, be effected for all senior positions from Principal Directors, Permanent Secretaries and their equivalents up to Deputy Ministers, Ministers and the Presidium."Ncube announced.
Ncube announced that the salary cut extends to top chefs at parastatals.
"This is also extended to basic salaries of those in designated posts in State Owned Enterprises (CEOs, Executive Directors and equivalent grades), including Constitutional Commissions and grant aided institutions.
"A standardisation/alignment exercise in remuneration including benefits for Constitutional Commissions, will also be undertaken to remove inequity and disparities."
In 2016 the then Finance Minister Patrick Chinamasa announced that government ha finally succumbed to pressure to cut recurrent expenditure and an unsustainable wage bill, currently gobbling over 96% of the US$4 billion budget, by adopting a raft of measures, including slashing salaries of cabinet ministers and other employees, closing embassies, cutting foreign trips as well as implementing a massive retrenchment exercise.
The reforms were never implemented.
"Mr Speaker Sir, it is critical that we reduce public spending on employment costs. As a first step, Government has decided that effective 1 January 2019, a 5% cut on basic salary, be effected for all senior positions from Principal Directors, Permanent Secretaries and their equivalents up to Deputy Ministers, Ministers and the Presidium."Ncube announced.
Ncube announced that the salary cut extends to top chefs at parastatals.
"This is also extended to basic salaries of those in designated posts in State Owned Enterprises (CEOs, Executive Directors and equivalent grades), including Constitutional Commissions and grant aided institutions.
"A standardisation/alignment exercise in remuneration including benefits for Constitutional Commissions, will also be undertaken to remove inequity and disparities."
In 2016 the then Finance Minister Patrick Chinamasa announced that government ha finally succumbed to pressure to cut recurrent expenditure and an unsustainable wage bill, currently gobbling over 96% of the US$4 billion budget, by adopting a raft of measures, including slashing salaries of cabinet ministers and other employees, closing embassies, cutting foreign trips as well as implementing a massive retrenchment exercise.
The reforms were never implemented.
Source - Byo24News
