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Home Economy

Minister, MKs to take 10% pay cut

Government tasks Finance Ministry with exploring similar cut across the board in the public sector.

by  Eran Bar-Tal and Ariel Kahana
Published on  09-22-2020 11:56
Last modified: 09-22-2020 11:56
Israel's biggest political bombshells of the decadeOren Ben Hakoon

The Knesset plenum | File photo: Oren Ben Hakoon

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The government on Monday approved a 10% cut in the salaries of all ministers and Knesset members, citing that parliament must lead by example as Israel faces a recession triggered by the coronavirus pandemic gripping the country.

The government has also instructed the Finance Ministry to explore a similar wage cut across the public sector, including in the salaries of President Reuven Rivlin, judges and mayors nationwide.

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Lawmakers have also suspended their routine pay raise, slated to take effect in early 2021.

The move saves state coffers 8 million shekels ($2.3 million) immediately, with the amount expected to more than double should a wide wage cut be instated.

Several ministers who backed the move cited the need to set a personal example as the private sector, which is still reeling from the financial implications of the two-month lockdown imposed in March and April, now has to deal with a second lockdown, imposed over the surging coronavirus outbreak.

Opposition leader Yair Lapid welcomed the move, saying, "I support the cuts in MKs and ministers' – how nice that they finally remembered to do so and stop this outrage. Yesh Atid has been waging the war against raising MKs' salaries since 2015."

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