Ecuador: since Correa took office, government salaries have nearly doubled

Posted on September 16, 2012 • Filed under: Economy, Ecuador, Politics reported……. However, the increase in the number of servers does not match the cost that the state has had to take on staff costs since 2007. According to the Fiscal Policy Observatory (MRO), technical agency citizen, during the first five years of the Correa administration salary payments increased by 96.7%, almost double……”To be a public servant today not only have to be honest and hard working, you need to stay in office, also say one is the movement of government, and one is not,” said Garcia.
Moncayo and Garcia agree on two things: that the bureaucracy can no longer grow and the need for a reversal of the trend before the economic aftershocks of a possible reduction in the cost of oil. reported that according to the Institute of Statistics and Census (INEC), in June 2007, year in which Rafael Correa took office, there were 405,190 public employees. Since then, growth has been variable. In June 2012 there were 472,380.
And put a case: the more than $ 7,264 million public sector wages in 2011 exceeds the sum of the revenue from the tax ($ 4,200 million) and income tax ($ 3,030 million) in the same year. This, he explains, means to pay the salaries of about 500,000 civil servants, about 3% of the total population of the country is having to invest all the efforts made by the Ecuadorian and businesses to pay their taxes. Central Bank data, according to the OPF, reveal that the payment of public sector salaries in 2006 represented 7.5% of gross domestic product (GDP, all domestic production), while in 2011, 10.8 %, further, that between 2006 and 2011 public spending in Ecuador grew 213%, when GDP barely made it in 61.7%. Read Article

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