Egypt Independent

National Wages Council warns of austerity measures affecting labor market



National Wages Council member Abdel Rahman Kheir said on Monday that the austerity measures currently being considered by the government in order to avoid foreign loans would adversely affect the labor market and the unemployment rate.

Kheir suggested the government should make better use of the country’s natural resources.

“Setting a maximum wage is difficult given the fierce competition in the market,” he said, pointing to government plans to set a maximum wage. “Most government advisers are not paid from the state budget anyway, but from foreign grants,” he explained.

“Austerity measures should better be applied to government officials' spending on luxurious cars or unnecessary festivals,” he said, adding that the government should import strategic commodities from international markets known for their cheap prices.

Council member Wagdy al-Kerdan, meanwhile, said the revolution had produced inexperienced ministers. “So we cannot dispense with the highly-paid consultants,” he said.

Translated from the Arabic Edition