Government salaries to be paid on time, deductions reduced: Barzani

The Kurdistan Regional Government (KRG) on Wednesday announced it had decreased the salary saving level for its employees, stating it would abolish the austerity measures soon.

ERBIL, Kurdistan Region (Kurdistan 24) – The Kurdistan Regional Government (KRG) on Wednesday announced it had decreased the salary saving level for its employees, stating it would abolish the austerity measures soon.

The Kurdistan Region’s Council of Ministers led by Prime Minister Nechirvan Barzani met in Erbil to discuss changes to the austerity measures and salaries of the KRG’s civil servants, especially after the recent protests across the Region.

“For the first time in three years, a significant step has been taken toward abolishing the salary saving system in the Kurdistan Region,” Prime Minister Barzani said.

He mentioned that the KRG would try to completely abolish the salary saving system soon and pay employees their full payment. Barzani also noted that from now on, the KRG would pay employees on time by the end of each month.

In some cases, the current austerity measures affecting KRG employees’ salaries have seen a 70 percent cut. The change would be between a 10 percent deduction, and the maximum of 30 percent, Finance and Economy Minister Rebaz Hamlan told reporters during the press conference following Barzani’s statement.

Regarding the recent violence during the civil servants’ protests, the Kurdish Prime Minister said people are allowed to exercise their rights, but the KRG would not allow others to politicize and exploit the situation.

Barzani noted that the budget sent by Baghdad before Newroz was not sufficient to pay the salaries of all the KRG employees, but added it was a good step to resolve issues with the Federal Government of Iraq.

He rejected rumors of having a “secret” conversation and deal with Baghdad, stating all the talks and negotiations between Erbil and Baghdad are transparent.

The KRG failed to pay employee salaries for four months during 2015. Throughout 2016, it paid workers just under half their total salaries per month. In 2017, the KRG dispersed the wages of the first 11 months at reduced rates, with December and the first three months of 2018 still unpaid.

The Region’s extreme economic crisis is a result of 2014 federal budget cuts by Baghdad, a drop in international oil prices, the war against the Islamic State, and the sudden influx of 1.8 million refugees and internally displaced persons.

Editing by Karzan Sulaivany