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View Full Version : Government payroll up tenfold in 15 years



NewsWhore
03-05-2012, 04:50 PM
A report published in today's El Caribe examines the sharp increase in government jobs, in contradiction to a more efficient state. For many years, the Fernandez administration has touted its computerized government, but the increasing number of jobs raises doubts about the efficacy of this so-called modernization process.

In 1996 after the 10 consecutive years of the Joaquin Balaguer government, there were 293,058 government employees. 15 years later, the number has practically doubled to 580,445 public servants. El Caribe makes the point this number does not include the so-called "nominillas" or little payrolls where thousands of Dominicans get paid, most without working.

El Caribe reports that in 1996, the government paid RD$6.45 billion in public workers' wages. In 2011, the government spent RD$79.46, or 1,131% more, 10 times more.

El Caribe reports there has been an increase in government departments that did not exist in 1996, including the ministries of Environment, Youth, Women, Public Administration and the Metropolitan Transport Authority (AMET) and the Metropolitan Bus Services (Omsa). But it makes the point that even entities that were closed during privatization continue to operate, like those under the defunct State Companies Corporation (Corde) and the State Sugar Council (CEA). The CEA no longer manages sugar mills, but keeps thousands on its payroll.

80% of the formal government payroll is in centralized departments, and 20% in the municipalities. As of 2011, the Central Government had 464,358 employees, and the decentralized public sector had the remainder, or 116,087 employees, for a total 580,445.

Interestingly, the Central Bank statistics show that of 1.6 million employed in the formal sector, only 192,109 are employed in government, that is well below the actual total.

El Caribe makes the point that in his 27 February address, President Leonel Fernandez hailed as an achievement the fact that the GDP in 2004 was US$22 billion, and today, eight years later it is US$55 billion. "And then, to show that it is not true that his government spends much money on the government payroll, he said that the annual average of his government in wages was equal to 3.7% of GDP, while during the previous four years of the PRD government the annual spending on payroll was 4.9% of GDP." El Caribe disputes the President's statement.

"A mathematical exercise when taking as reference the years 2004 and 2008 with their respective GDP and assigning the percentages in wages mentioned by the statesman, it is evident that the government spent RD$89.46 billion last year alone, while the PRD government spent RD$42 billion, meaning the government payroll has almost doubled, in a proportion much greater than the number of employees.

El Caribe points out that in December 2004, there were 314,190 public employees, and at the end of 2011 there are 464,358 public employees registered in the Central Government alone, without counting the additional 116,087 registered for the decentralized sector.

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