ALTHOUGH the Government is struggling hard to overcome the fallout of the global economic downturn, Prime Minister Ahmed Nazif has been ordered by the Administrative Justice Court to increase the basic monthly salary of civil servants to LE1,200 (about $215). Sources inside the Cabinet confirm that the ministers were aghast, when they were informed of the unprecedented ruling. In its ruling, the court, upholding the grievances of millions of governmental employees, argued that the average Egyptian family needs to earn at least LE1,200 a month to lead a dignified life. It said that the Government must boost its employees' purchasing power because the prices of commodities have soared alarmingly. Denying that the Government will be able to carry out the ruling, economists say that Nazif is now in a very tight spot. The economists say that the implementation of the ruling will be very expensive and the Government simply cannot cope with any more financial burdens. Asenior member of the opposition Al- Wafd Party, Ahmed Ouda, warns that the Government will cynically manoeuvre suspend the implementation of the ruling. According to the Constitution, governmental officials, irrespective of their rank or power, can be sentenced to between one and three years in prison for contempt of court, if they refuse to respect a ruling. The lawyers for the employees, who are calling for higher wages, have given the Premier a deadline of late this month to implement this historic ruling; if not, they will appeal to the Misdemeanour Court, which could send the Premier to prison. The average salary of a newly appointed government employee is about LE180. After 10 years in office, this normally rises to around LE480. Over the past two years, hundreds of thousands of employees and other workers have taken to the streets in protest, calling for the Government to increase their wages. Recently, they have been holding sit-ins on the pavement outside the People's Assembly in the downtown area. They refuse to go home, until the Premier, whose office is just yards away, accedes to their demands. In 2003, the trade unions and labour organisations managed to have Law 34 passed, which led to the establishment of the National Council of Wages (NCW), chaired by the Minister of Planning. The Council's main task is to review employees' salaries, in the light of the price hikes, at least once every five years. It is also assigned to suggest their basic salary. According to the World Bank, the average annual basic salary in Egypt is $425, compared with $875 in Algeria, $1,675 in Morocco and $1,775 in Tunisia. In the meantime, a report issued by the Egyptian Organisation for Human Rights indicated that the cost of local commodities has increased by 200 per cent in the past four years, without any corresponding increase in employees' wages. Prompted by the World Bank's study and recommendations from the trade unions, the NCW two years ago suggested increasing the minimum salary in Egypt from LE35 to LE300 per month, with the minimum salary for school leavers being LE25 per month less than that of graduates. There are around 5.5 million civil servants in Egypt, as well as another half-amillion employees in the public enterprise companies.
