Economic Reporters Workshop

Reforming the Wage System in Egypt's Government Sector

Date : 7/13/2008

Speakers : Laila El Baradei, Associate Professor of Public Administration, Cairo University; Doha Abdel Hamid, International Development Evaluation Association

This roundtable analyzed key features and problems of the civil service wage system; lessons learned from international experience in this regard; the current wage system from the perspective of civil servants; and strategic issues that need to be addressed to reform the system. After dissecting the structure and composition of the current pay system, reviewing other countries’ experiences with pay reform, and conducting structured interviews with a sample of government employees to solicit their views about the adequacy of pay, the authors identified a number of strategic issues and complementary strategies that are critical to resolving the problem. Foremost among the strategic issues were securing the needed extra funding for increased government employees’ pay, right-sizing the civil service, enhancing transparency, reducing wage discrepancies, reforming the minimum wage policy and establishing a better link between pay and performance.