The Government Increased Spending on Salaries While the Private Sector Laid Stagnant

In times of crisis the government seems to have created large salaries with overtime while the private company workers had to accept stagnant wages and unemployment. In the past four years in the middle of the crisis, the state spent a lot on salaries.

How much? Between 2007 and 2012, which was paid in wages grew by 130%.

In 2007 the Costa Rican government spent their taxes 1,870 million salaries. In 2012, Laura Chinchilla brought that figure to a record 4.311 million. The government claims that this growth was a response to the global crisis, precisely to avoid unemployment.

But the data are not coincident. For example, the Ministry of Public Education (MEP) increased the number of teachers in only 2. 800 and 2000 police officers, according to the respective ministries.

And the new positions were not 4,800, were 45,000.

But the problem is not only the increase in the number of employees was increased overtime.

Overtime grew in this period of ¢ 73 million to ¢ 126 million per year. Only the central government experienced a 26% increase in this area.

There is a third; it is called the parallel form.

The State has engineers, computer, scientists, lawyers and other professionals on its payroll, but pays out these services through the General Service calls consultancies.

In this way, institutions hire everything imaginable: from janitors to journalists.

In the “general services”, the Costa Rican Electricity Institute (ICE) pay ¢ 22,200 million, the National Insurance Institute (INS) ¢ 10,900 million, the Social Security Fund ¢ 10,500 million, the Bank of Costa Rica ¢ 6,300 to the National Bank ¢ 5,800. These five institutions spend over a billion colones a week in this type of consulting.

Management services and support, the National Bank spends ¢ 15,000 million, the Fund ¢ 14,500, the ICE ¢ 7,600. And so the list is endless.

But throughout this period, private sector salaries fell behind.

Differences in wages, pension differences, difference in severance pay and vacation. No doubt, we are unequal before the law and to those who exercise.

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