REDUCE POLITICIANS’ PAY BY 35% - ECONOMIST

MBABANE – The Royal Commission has to reduce the pay of politicians by not more than 35 per cent, an economist has opined.

The economist, who gave the interview on condition of anonymity, said being in politics should not be a ‘scoop’ in terms of employment. He said being in office should be about serving the people and consider their basic well-being.

“Look at our economy, there is a shortage of a number of things and government is actually contributing to high unemployment by failing to pay its suppliers. So, let the Royal Commission reduce their remuneration by 25 to 35 per cent,” he said.

The economist said politicians had to consider the size of the economy before demanding exorbitant packages while the taxpayer suffers. He noted that given the provisions articulated in Finance Circular No. 2 of 2013, there should be a guideline for the Royal Commission when reviewing the salaries of the politicians. “A reduction of salaries is essential and justified.”

He said it was ridiculous that the previous Cabinet ministers were paid higher than Lesotho’s prime minister; yet the two countries had the lowest GDP in SADC. Lesotho’s GDP stands at 2.639 billion USD (2017) which is equivalent to E38.194 trillion.

burden

He said the economy could grow much faster if the burden of government was reduced through pay cuts for politicians. He said this followed that most salary increments for politicians had reflected a negative economic impact. “Look at the chaos in government institutions, it shows the disparity of the economy brought by the high wage bill which was inflated by the politicians’ high pay.”

He punched holes in the criterion used to set the exorbitant exit packages and opined that such should not be repeated. Another economist, from a reputable banking institution, said a decision to implement a pay cut by the Royal Commission would be welcome.

majority

He also noted that such would minimise the obscene wages in comparison to regular citizens. While a majority of the population lives on less than E20 per day, the ex-legislators earned over E46 000 monthly.  In the absence of a circular detailing the remuneration for the 11th Parliament, the same could be received by the incoming politicians at the end of this month.

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