Rightsizing Brazil’s Public-Sector Wage Bill

Rightsizing Brazil’s Public-Sector Wage Bill PDF

Author: Ms.Izabela Karpowicz

Publisher: International Monetary Fund

Published: 2018-10-08

Total Pages: 24

ISBN-13: 1484374924

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Brazil’s public-sector wage bill is comparatively high. It grows inertially and competes with other spending. Rightsizing the wage bill could stimulate administrative efficiency and bring more equity into a system where public employees earn more than private in comparable professions. Most importantly, however, a reform is necessary to comply with the Federal government expenditure ceiling and the subnational fiscal responsibility rules. A reform should thus encompass all government levels, and all careers, and should aim to achieve a real decrease in salaries and lower employment. In the medium term, a review of the compensation structure should rationalize the multitude if wage grids, merge allowances into the base wage, and align public sector compensation to private wages in low-skilled professions.

Rightsizing Brazil’s Public-Sector Wage Bill

Rightsizing Brazil’s Public-Sector Wage Bill PDF

Author: Ms.Izabela Karpowicz

Publisher: International Monetary Fund

Published: 2018-10-08

Total Pages: 24

ISBN-13: 1484380444

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Brazil’s public-sector wage bill is comparatively high. It grows inertially and competes with other spending. Rightsizing the wage bill could stimulate administrative efficiency and bring more equity into a system where public employees earn more than private in comparable professions. Most importantly, however, a reform is necessary to comply with the Federal government expenditure ceiling and the subnational fiscal responsibility rules. A reform should thus encompass all government levels, and all careers, and should aim to achieve a real decrease in salaries and lower employment. In the medium term, a review of the compensation structure should rationalize the multitude if wage grids, merge allowances into the base wage, and align public sector compensation to private wages in low-skilled professions.

Brazil

Brazil PDF

Author: Mr.Antonio Spilimbergo

Publisher: International Monetary Fund

Published: 2019-03-14

Total Pages: 382

ISBN-13: 1484339746

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Brazil is at crossroads, emerging slowly from a historic recession that was preceded by a huge economic boom. Reasons for the historic bust following a boom are manifold. Policy mistakes were an important contributory factor, and included the pursuit of countercyclical policies, introduced to deal with the effects of the global financial crisis, beyond the point where they were helpful. More fundamentally, it reflects longstanding structural weaknesses plaguing the economy, that also help explain Brazil’s uninspiring growth performance over the past four decades.

Brazil

Brazil PDF

Author: International Monetary Fund. Western Hemisphere Dept.

Publisher: International Monetary Fund

Published: 2023-07-31

Total Pages: 75

ISBN-13:

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Brazil: Selected Issues

Brazil

Brazil PDF

Author: International Monetary Fund. Western Hemisphere Dept.

Publisher: International Monetary Fund

Published: 2018-08-03

Total Pages: 73

ISBN-13: 148437245X

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This 2018 Article IV Consultation highlights that a mild recovery supported by accommodative monetary and fiscal policies is currently under way in Brazil. But the economy is underperforming relative to its potential, public debt is high and increasing, and, more importantly, medium-term growth prospects remain uninspiring, absent further reforms. Against the backdrop of tightening global financial conditions, placing Brazil on a path of strong, balanced and durable growth requires a committed pursuit of fiscal consolidation, ambitious structural reforms, and a strengthening of the financial sector architecture. Following the severe recession in 2015-16, real GDP grew by 1 percent in 2017. Growth is projected to be 1.8 and 2.5 percent in 2018 and 2019, respectively, driven by a recovery in domestic consumption and investment.

Brazil

Brazil PDF

Author: International Monetary Fund. Fiscal Affairs Dept.

Publisher: International Monetary Fund

Published: 2019-09-19

Total Pages: 56

ISBN-13: 1513514725

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This Technical Assistance report on Brazil highlights strengthening the framework for substantial borrowing. A significant change in the institutional framework is needed to impose hard budget constraints and promote stable and sustainable policies. The approach proposed in this report is based on demanding greater transparency and accountability by subnational governments, while also making the framework more flexible. If adopted, the framework is expected to introduce risk sharing among states, within an enhanced insolvency framework, and tighten fiscal rules. The proposed changes would also put more emphasis in market incentives. The changes in the framework will also need to be accompanied by progress in addressing fiscal pressures from rising budget rigidities (including pensions) and excessive tax incentives (the so-called tax wars). It is recommended to create an independent fiscal council that monitors fiscal performance and compliance of fiscal rules by subnational governments. One possibility is to add this mandate to the Independent Fiscal Institution, while strengthening its independence and provide enough resources.

Government Wage Bill Management and Civil Service Reform in the Eastern Caribbean Currency Union

Government Wage Bill Management and Civil Service Reform in the Eastern Caribbean Currency Union PDF

Author: Mr.A. E. Wayne Mitchell

Publisher: International Monetary Fund

Published: 2019-05-17

Total Pages: 33

ISBN-13: 1498316077

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In this study, we assess the size of the government wage bill and employment in the member countries of the Eastern Caribbean Currency Union and their implications for fiscal sustainability and the adequacy of public service delivery. Over the period 2005 to 2015 their wage bill (as a percentage of GDP, government revenues and expenditures) is higher than in other small states notwithstanding recent efforts by governments to make it more manageable. The composition and distribution of employment is sub-optimal and is reflected in skills mismatches contributing to inefficiencies in public service delivery. Using a dynamic fixed-effects panel, we find that wage bill growth reflects the expansion of government activities to speed up economic and social development and that wage bill spending is procyclical in good times but is rigid during downturns. Finally, we identify the main institutional and legal reforms needed to improve wage bill management and public service efficiency.

OECD Economic Surveys: Indonesia 2016

OECD Economic Surveys: Indonesia 2016 PDF

Author: OECD

Publisher: OECD Publishing

Published: 2016-10-24

Total Pages: 138

ISBN-13: 9264265066

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This 2016 OECD Economic Survey of Indonesia examines recent economic developments, policies and prospects. The special chapters cover: Regional Development and Public Spending.

Reinventing Leviathan

Reinventing Leviathan PDF

Author: Ben Ross Schneider

Publisher: University of Miami Iberian Studies Institute

Published: 2003

Total Pages: 336

ISBN-13:

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Scholars and development practitioners agree that developing countries urgently need cohesive administrative reforms to consolidate new market economies, promote sustainable development, and improve social welfare. Reinventing Leviathan provides extensive comparative research on the political processes that facilitate or block efforts designed to improve administrative performance. Studies of Argentina, Brazil, Chile, Hungary, Mexico, and Thailand highlight distinctive patterns of reform, tracing the process from the prereform position of the bureaucracy to the design of reform packages and the contentious politics of implementation. The authors use a common framework to assess the relative importance of political institutions, international influences, social groups, and reform strategies. They relate their core findings both to practical policy debates and to broader theoretical discussions in the social sciences.

Public Sector Compensation in Times of Austerity

Public Sector Compensation in Times of Austerity PDF

Author: OECD

Publisher: OECD Publishing

Published: 2012-11-15

Total Pages: 148

ISBN-13: 9264177752

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This report argues that any new approaches to public sector pay must help to: enhance external competitiveness of salaries; promote internal equity throughout the public sector; reflect the values of public organisations; and align compensation with government’s core strategic objectives.