'No advance' verdict for the bill 356, which contemplates the reduction of salaries of senior officials as a way to reduce public spending in the midst of the Covid-19 pandemic.
The proposal is at the last point on the legislative agenda, despite the fact that it was presented last month by the Vice President of the Republic and Minister of the Presidency, José Gabriel Carrizo, as a measure to benefit the Panama Solidario Plan for the care of the affected by the new
coronavirus.
The ruling party of the Democratic Revolutionary Party (PRD), which controls the Assembly, has not yet addressed the issue, according to legislative sources.
In addition, the sources said that several deputies would make changes to the Executive's initiative, which was approved two weeks ago in the first debate in the Health, Labor and Social Development Commission, led by PRD Víctor Castillo. It seeks to include in the salary cut judges and magistrates of the Supreme Court of Justice.
The Executive's proposal establishes cuts in salaries and representation expenses of 25% for ministers, vice ministers, directors of entities, among others.
Likewise, it proposes a 50% reduction for Carrizo and the President of the Republic, Laurentino Cortizo – a measure planned to last for six months.
For now, the Executive keeps the voluntary wage discount in force for public servants who earn more than a thousand dollars a month. As of June 15, 5,532 officials had accepted the discount, which added up to 1.4 million dollars donated.
The reduction in salaries for civil servants comes amid complaints of the high cost of the state payroll. In May 2020 salary spending was $375.2 million, $29 million more than the $346.2 million paid in May 2019.
Meanwhile, the plenary session yesterday approved Bill 208 in the third debate, which creates the Institute of Agricultural Innovation of Panama and dictates other provisions.
The deputies also endorsed project 176 in the second debate, which seeks that the State assume ownership of the easements that have not been transferred from the urbanizations, subdivisions or parcels.
Likewise, there was a meeting in the Government, Agricultural Affairs and Foreign Relations Committee.