Austerity plan follows 10 days of discontent

After 10 days of,  strikes, multiple road closures, and widespread discontent over the high cost of living, corruption and waste in the various state bodies and corruption, the government of President Laurentino Cortizo announced a series of measures to halt the country’s descent into chaos.

After a Cabinet Council session, in which the price caps for products in the basic basket were announced, among other measures including a 10-point “austerity plan”  which includes a 10% reduction in the state payroll (without specifying whether that percentage is in the number of officials or in salaries); a voluntary retirement program for public sector employees; the suspension of wage increases, except those established by law; the restriction of assignments of new cell phones; the prohibition of making trips to attend congresses, internships or invitations, except in the case of formal representation of the country or as a member of an international organization. The government promised that “only trips abroad for official missions will be authorized.”

The measures also contemplate that no minister, deputy minister, director, or deputy director of an Executive may travel abroad accompanied by protocol personnel or a press team unless the nature of the official mission requires it.

In addition, no type of travel expenses will be reimbursed in addition to those previously established and authorized by the Ministry of the Presidency. Likewise, no official car will be able to load fuel on Fridays, and officials who are members of boards of directors will not charge per diem.

Until last April, reports  La Prensa the government had over 249,000 civil servants, which represents an expense of $404.7 million per month. This is $15 million more than in 2021 when the government paid $389.6 million in salaries monthly.

A massive march took place on Tuesday afternoon,  in the capital the culmination of 10 days of protests in which educators’ unions, student groups, workers, and citizens took to the streets and avenues nationwide.

In the capital, the scene was the Plaza 5 de Mayo, near the National Assembly, where the demonstrators chanted proclamations against the high cost of living and government waste in times of serious economic crisis.

At 6:00 pm, a group knocked down several structures that protected the National Assembly. At that same time, a massive march took place in La Chorrera. Those present shouted phrases against the high cost of living, to the sound of murgas and drums. Some carried a stool, perhaps to remind Cortizo of the promise he made in July 2019, when he arrived at the presidential palace and made his promises to the people, sitting on a stool.