Egypt's Morsi raises public-sector bonuses, pension rates

Ahram Online , Sunday 1 Jul 2012

New president decrees 15-pct bonus increase, raises monthly pension rates from LE200 to LE300 as military council approves 2012/13 state budget

Newly-inaugurated Egyptian President Mohamed Morsi has issued a decision calling for 15 per cent bonuses on public-sector salaries and raising monthly social-insurance pension rates from LE200 to LE300. Neither the bonuses nor the pension increases will be taxed by the state.

Morsi spokesman Yasser Ali announced the decision on Sunday afternoon, saying that the increase in pension rates would benefit over one and a half million Egyptians.

On Sunday, Egypt's military council approved a draft 2012/13 state budget. According to Egypt's finance ministry, the new budget will come into effect on 8 July.

Egyptian economy expert Hamed Tolba told Al-Ahram's Arabic-language news website that Morsi's announced pay increases would be financed from the budget's reserve funds.

Morsi, the Muslim Brotherhood 's presidential candidate, was officially sworn into office on Saturday following a slim victory over ousted president Honsi Mubarak's last prime minister, Ahmed Shafiq.

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