MainMedia Center

President of “Draya” Forum: Implementing 6 social packages in less than two years

The strategic forum for public policies and Development Studies “Draya” issued a research paper on the social protection system under the economic reform program implemented by the state starting from 2016, and highlights the movement of the minimum wage during the 10 years from 2014 to 2024, and its allocations in the state budget, as well as the reality of the pension system within ten years, in light of the directives of the government’s continuous political leadership to take the necessary measures and actions to relieve the suffering of citizens and protect various social classes, especially the limited and middle income from the consequences of successive waves of inflation and high prices, and provide them with decent ways of life.

Dr. Salah Hashem, head of the “Draya” Forum, stated that the political leadership directed the implementation of 6 social protection packages in less than two years (approximately 20 months), from July 2022 until February 2024, stressing that the state seeks to expand the umbrella of social protection and implement effective policies targeting Supporting the most needy and most cared for groups, and alleviating the consequences of implementing the economic reform program on the lowest-income groups, and the negative effects resulting from the global economic crisis and the Israeli aggression on the Gaza Strip, as well as the political unrest in many neighboring countries.

Hashem pointed out that the latest package directed by President Abdel Fattah al-Sisi on February 8 came to alleviate the effects of the global wave of inflation and high prices on citizens, and provide them with a decent life, which is the largest social package in the history of the Egyptian state, including incentives and increases in wages and pensions, which is scheduled to be applied starting from March 2024 at a cost of 180 billion pounds.

Hashim explained that the fifth package directed by the political leadership in September 2023 cost about 60 billion pounds annually, while the fourth package was in April 2023, where the political leadership was directed to increase support allocations in the budget of the fiscal year 2023/2024 from 358.4 billion pounds to 529.7 billion pounds with an increase of 48.8%, adding that the third package was in March 2023 and benefited about 37 million citizens at a cost of 150 billion pounds annually, and the second was in October 2022 at a cost of 67 billion pounds per year, and the first was July 2022 at a cost of 11 billion pounds.

8 consecutive increases in the minimum wage for workers in 10 years

With regard to the wage file, the chairman of the “Draya” forum stressed that it receives great attention from the state as it strives to achieve a balance between wages and prices to ensure meeting the needs of citizens and improving their standard of living, explaining that the minimum wage of workers in the state witnessed 8 consecutive increases during ten years starting from 2014 until March 2024, which will witness the implementation of a new wage increase came within the last package directed by the political leadership in February, which is scheduled to benefit several segments of Egyptian society.

The head of “Draya ” explained that the minimum wage of employees in the state increased from 1200 pounds in 2014 to 6000 pounds in 2024 with an increase of 500%, and the tax exemption limit was raised from 12 thousand pounds in 2014 to 60 thousand pounds in 2024 with an increase of 500%, in order to reduce the tax burden on low-income people to achieve social justice in distributing the tax burden according to income levels, and in line with the state’s trend to increase the minimum wage to keep pace with economic and social changes.

Hashem pointed out that starting from next March, the wages of state employees and economic bodies will be increased by a minimum of 1,000 to 1,200 pounds depending on the job grade (1,000 pounds for grades six to four, 1,100 pounds for grades three to one, and 1,200 pounds for grades from director general to first undersecretary of the ministry), through the early disbursement of the periodic bonus for civil service law respondents at 10% of the job wage, and 15% of the basic a minimum of EGP 150 and a total cost of EGP 11 billion, and additional incentive disbursement, starting from EGP 500 for the sixth degree, and increasing by EGP 50 for each degree, up to EGP 900 for the degree At a total cost of about 65 billion pounds, which is reflected in raising the minimum wage by 50% to reach 6 thousand pounds.

He also explained that 15 billion pounds will be allocated for additional increases for doctors,nurses,teachers and faculty members at universities, including 8.1 billion pounds to approve an additional increase in the wages of teachers in pre-university education, ranging from 325 pounds to 475 pounds, and 1.6 billion pounds to approve an additional increase for faculty members and their assistants at universities, institutes and research centers, and 4.5 billion pounds to approve an additional increase for members of medical professions and nursing bodies ranging from 250 to 300 pounds in risk allowance for medical professions, and an increase up to up to 100% in the overnight and overnight allowance.

11 consecutive pension increases in 10 years

Regarding the pension system, the head of “Draya” confirmed that it witnessed great development during the last ten years, as the pension map was characterized by ramifications and diversity and included the insurance pension based on contributions, the social security pension, the irregular employment pension, exceptional pensions, and the private sector pension, in addition to a solidarity pension. Karama explained that, following the presidential directive for the recent increase, pensions have witnessed 11 consecutive increases from 2014 until March 2024, which reflects the unprecedented interest of the political leadership in improving the economic and social conditions of pensioners.

yearThe value of the monthly increaseThe value of the annual increase is in billions

Increasing the number of pension beneficiaries to 13 million

The research paper also showed that the number of pension beneficiaries witnessed a steady increase during the period from 2014 to 2024, as follows:

yearNumber of beneficiaries in millions
2013- 20148.693


Related Articles

Back to top button