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Managua, Nicaragua -  Tuesday 23 of January 2007

President Daniel Ortega, accompanied by his wife Rosario Murillo and the minister of Property, Alberto Guevara Obregón, announced reduction of wages in the Executive authority. (PRESS T. Stargardter)
Ortega reduces wages
 
 
 
President calculates that with the measurement the government would be saving C$11 annual million that would be destined to the social cost
They are prohibited the expenses of representation that are not sustained based on the position
Ricardo Guerrero Nicaragua
 
economia@laprensa.com.ni
Details of wage table

 

3.200 dollars will devengará the President of the Republic, after the discount of the Social Insurance and the Tax on the Rent (TO GO). 3.100 dollars will gain the Vice-president of the República.3, 000 dollars will be the wage of the secretaries of the Presidency and ministros.2, 800 dollars will gain viceministros.2, 600 dollars the Secretary Generals of ministerios.2, 400 dollars will be the wage of directors generales.2, 900 dollars will gain the presidents or executive directors of organs and decentralized organizations and companies of the Estado.2, 700 dollars will gain the vice-presidents or executive assistant directors of decentralized organizations and companies of the Estado.2, 500 dollars will before devengarán the Secretary Generals of the institutions mencionadas.2, 300 dollars the chiefs of a main directorate of decentralized organizations and companies of the Estado.13 ministries and 37 organs, decentralized organizations and companies of State, is under this wage regime.

 

The President of the Republic, Daniel Ortega Saavedra, by means of presidential decree settled down a wage ordering for all the high civil employees of the Executive authority.

Ortega also said that they are prohibited the estipendios or any other exemption that are not including in the wage, loans, donation of government properties and accumulation of debts in the institutions. “Zero credit cards for the President and anybody”, indicated the agent chief executive.

 

It prohibits diets

 

 

President Daniel Ortega said that it is prohibited the payment of diets to the members of the different boards of directors from institutions of the Government. To the people who are not officials government, one will not pay diets either to them.

The President of the Republic, Daniel Ortega Saavedra, ordered yesterday by means of presidential decree the reduction of the wages of a 50 percent of the high civil employees of the Executive authority. “The present decree intends to establish dispositions of general character with which a wage ordering takes place, as well as to stop the additional prohibitions and limitations that allow to initiate a process of wage ordering and to finish with the wage disorder within the public administration”, it said to the agent chief executive in press conference accompanied by his wife Rosario Murillo and the minister of Property, Alberto Guevara.

So from now on the President of the Republic will devengará a wage of 3.200 dollars monthly, 68 percents less than what ex- president Enrique received his predecessor Bolaños.

The wage that will devengará Ortega will be the maximum ceiling of the wages who will pay the government to his civil employees, according to the given decree to know yesterday (Monday) by Ortega in the first press conference since it assumed the first magistrature of the country.

In his first press conference like agent chief executive, Ortega denounced international organisms that force the government of Nicaragua to contract debts to pay wages of civil employees who are devengando amounts until near the 50 thousand dollars.

ORGANISMS FOMENT THE WAGE DISPARITY

The agent chief executive accused the international organisms, of which he did not mention names, to foment the wage disparity in the State.

“Reviewing with the minister of Property the wages (of the Executive), are wages that surprise, we will not enter details at this moment because we want to inquire better”, indicated Ortega.

It denounced that those that cause this type of wages, that are not donations, but debt that the State of Nicaragua assumes, are the international organisms.

“They are international organisms that force the Nicaraguan State to him to assume debts to pay wages of up to 45 or 47 thousand dollars”, it indicated Ortega.

“This it is the first step, because we are touching here the wages that are in the high positions, but of by means, in other intermediate positions, there are other wages that will be in favor still of months, but soon will be necessary to negotiate, because they have to do with commitments with the international organisms”, indicated the President.

 

It showed that it will not be to be surprised that a civil employee of an institution is winning more than the President and the ministers, due to these agreements that it denounced.

Reduction of the 50 percent

Altogether, about 50 positions of the Executive will be subject to this disposition with wages of between 3 thousand and 2 thousand dollars, among them the ministers, vice-ministers, the solicitor of Justice, chiefs of a main directorate and secretaries of the different institutions from the central government.

Ortega said that the wage reduction of the ministers and inferior positions will surpass the 50 percent of the amounts that had the high positions of the administration of their predecessor, Enrique Bolaños, who already had lowered in a ten percent the wages.

CIVIL EMPLOYEES OF BEINGS ALSO DECENTRALIZED

The President indicated that in the case of the civil employees of companies and beings decentralized with wages equivalent to 2.770 dollars monthly and which they do not comprise of the list of the state budget, the entrance in a 10 percent will be reduced to them. In addition, it is prohibited the allocation of cellular credit cards and.

The saving that derives from the wage normación that he will only be applicable to the Executive authority, will be, according to the agent chief executive, of 11 annual million of córdobas.

Other loads to the budget, like the rent of house, payment of services electricity public, water, telephone, reimbursements by medical expenses - these last ones established in the labor agreements that received the civil employees of the last administration also were not eliminated.

MARGINAL EFFECT

The independent economist Sergio Santamaría indicated that the effect of the reduction of wages described by president Ortega, will be marginal, since she implies less “very many” of the one percent of the total cost of the country, that calculates in little more than 24 billion of córdobas according to the General Budget of the Republic.

“A saving of eleven million of córdobas, originated by that reduction, seems that it will not have a greater impact, I believe that the correct thing would be a reduction of wages in all the State, to at least concentrate a saving of six million dollars to the year (equivalent to around 325 million of córdobas annually)”, indicated.

The life pension

Consulted on the life pension that until the moment received like ex- president and if it would have other privileges, Ortega indicated that she will not use credit cards and that she will donate his pension to the bottom destined for the Institute of Youth.

However, in his quality of President in exercise of his functions, Ortega could not receive the life pension, since the Law of Immunity, that regulates the subject of the life pensions, was reformed in one of its paragraphs through article 21 of the Annual Law of the Budget of the Republic of 2003, to proposal of ex- president Bolaños.

The reform approved by the National Assembly, adds a second paragraph to article 2 of the Law 83 (Law of Immunity), that it establishes that “the payment of the life pension is suspended to the ex- presidents who are exerting a public position”.

Bolaños, who in that opportunity devengaba a wage of 8.540 dollars monthly, also received its pension like ex- president, reason why under a rain of critics decided to send the reform that since then also left without life pension to Ortega, because it received his wage like deputy.

A source of the government assures that before that situation, Ortega exposes Bolaños to him who six months ago did not receive any wage because that remuneration received its substitute in the National Assembly, Agustín Jarquín.

The source assured that like answer, president Bolaños sent in a 2004 modification to the Law of the Budget, that in article 1, interjection 9,1 establishes that it will pay to life pension to the “ex- presidents and ex- vice-presidents who are not exerting a remunerated public position”.

Ortega said that in the past they (sandinista) they sent a first draft of law to Asamblea Nacional (AN), so that they lower the famous “megasalarios” in the State.

“The project was introduced and was approved, but soon the government (Bolaños) resorted of shelter before the Court and this one failed in favor of the government, and total, did not pass anything”, indicated Ortega.

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