Bonus system for all public officials to be unified
22 May, 2014
Bonus system for all public officials to be unified
The Georgian government is intent to work out a unified and transparent system of premium and add-ons for all government members and public officials. The issue became of high public interest lately and Georgian Prime Minister Irakli Gharibashvili ordered the Administration of Georgian government and the National Bureau of Public Service to work out a unified rule of defining premiums and salary add-ons to all state structures alike by the end of coming June. This system should be a flexible and fair system in line with European standards.
“Once and for all there should be a system created in our country that will streamline the issue of salaries and add-ons of public and high ranking officials,” the PM said on 19 May. “This should be a transparent system so that no Georgian citizen would have a single question without receiving an answer.”
The issue of the volunteer system of disbursing bonuses and premiums to public officials has been criticized by non-governmental watchdogs including Georgian Young Lawyers’ Association (GYLA) and \ Institute for Development of Freedom of Information (IDFI) throughout the 9-year long office-term of the ex-authorities, but to no avail. The issue used to pop on the screen now and then. The bonus rates were defined at personal discretion of the heads of administrations or departments and significantly exceeded the average volume of bonuses adopted in the developed world. The Georgian government did not strictly limit bonuses, they used to redistribute them per month while defining the amount based on the personal taste of top officials who frequently defined their own bonuses as well. The total amount of bonuses made up one-third or half of the wages, and sometimes even exceeded the monthly wage. No argumentation and explanation why this or that bonus was granted was attached to the financial papers in public service while the law requires the motivation of bonuses.
International practice shows that although the bonus calculation and distribution methodology is different in each country, everywhere [except in Georgia] it is regulated by law. The bonus benchmark and cap limits are strictly outlined by law and fluctuate within 10-20% of the wages. Besides, bonuses are redistributed only once a year after the year is completed and achievements summed up while in Georgia they are frequently redistributed in the beginning of the month.
The power shift in the fall of 2012 was expected to change this vicious
practice, but it was only slightly amended: the Prime Minister only revoked the flexible bonus rates for ministers in March of 2013 and replaced it by monthly add-ons fixed at GEL 4,335. Plus, monthly salaries of GEL 3,540 were set for the ministries. Commensurately, the fixed monthly income of Georgian ministers reached GEL 7,875. The old bonus practice for deputy-ministers and other high-ranking officials remained in force. The issues was raised again after MP Irma Nadirashvili of the minority fraction trumpeted the information that staggering high premiums fluctuating between GEL 18,222 to GEL 39,130 were redistributed in December of 2013 to high-ranking personnel of Penitentiary Department’s, a substructure of the Ministry of Corrections of Georgia.
“Georgia is the only country where premiums are handed to governmental officials every month as regularly as salaries, and where their rate exceeds the salary amount,” Levan Avalishvili, an analyst with the IDFI, said in an interview with Georgian Journal. Each ministry handles this issue independently and so the system of premium delivery is different in every ministry and thus non-transparent. Normally, information on how premiums were redistributed among personnel should be made public via the official web-pages for example, but most of the ministries do not make this public. Some even withhold the information, even after official requests from the public sector. According to the most recent IDFI research, presented on 16 May, the only ministry that discloses full information on salaries and add-ons on the website is the Ministry of Environment and Natural Resources Protection. The IDFI required similar information from all other ministries, but only a few provided full data, some sent incomplete data, and others did not respond at all. From the available information IDFI calculated that in 2013 the volume of bonuses to high ranking officials in 14 ministries made up for GEL 5,729,131 while the add-ons totaled GEL 3,135,038.
Print
Other Stories
Where past meets modernity: Historic amphitheater of The Biltmore Hotel Tbilisi
“Great buildings that move the spirit have always been rare. In every case they are unique, poetic, products of the heart,”
Multiple payment terms for those planning to purchase apartments in the Green Diamond complex
As spring has come, the real estate market has become active.
Wine 'Oscar' for Georgia - Imeretian Maranuli receives historic award
Otskhanuri Sapere wine by Maranuli company has been awarded with the platinum prize at the Decanter competition.
23-year-old Georgian student founds technological company in Boston
Archil Cheishvili, 23-year-old Georgian student, who lives in Boston, Massachusetts, has founded a technological company Palatine Analytics together with his friends.
International brands are coming to Georgia
Over 30 franchise brands will be presented at the First International Franchise Exhibition BUYBRAND Transcaucasia, which will take place on 2-3 June 2017 in Tbilisi, Georgia.
How climate change might affect Georgia’s wine regions in 2017
Researchers reveal how global warming will affect the wine regions in 2017.
Healthy veggie attracts Georgian consumers: How much asparagus costs on the market
Asparagus is becoming more and more popular in Georgia and the fact that one small bunch of this vegetable costs 7-8 GEL,
QATAR AIRWAYS LAUNCHES LATEST GLOBAL SALES CAMPAIGN
The easiest decision is choosing where to travel next with Qatar Airways incredible fares
The story of unique bread made with Georgian endemic wheat
‘The idea of Mzetamze arose when I traveled to Svaneti and asked an old and very intelligent person
Ukrainian traveler opens coffee shop in Svaneti
Ukrainian lady Tanya Merzlaya has opened a café in one of the villages in Georgia’s remote Svaneti region.
Georgian handmade women’s lingerie hits the market
From now on Georgian ladies can purchase and wear Georgian-produced lingerie with various beautiful patterns.
Simone Bodini´s Masterclass in Georgia: elit® Ultra Luxury VodkaBAYOU® Rum, KAH® Tequila, Stoli® Gluten Free Chat Conversation End
The Brand Ambassador of Stoli Group in Europe, Simone Bodini has held a masterclass for Georgian bartenders.
Promoting Georgia in the US - Hello Georgia
Georgia has become an increasingly touristic country that hosts more and more foreign visitors year by year.
Georgian frozen potatoes hit the market
Georgia has started producing its own frozen potatoes for French fries.
Air taxi service in Georgia: Flight from Tbilisi to Baku will cost you $6000
Commercial air taxi appeared in Georgia in December 2016. The private company offers planes of business standard for five persons at a time.
Coffee on bicycle - 19-year-old Georgian student's successful business
From now on Tbilisi citizens as well as tourists can enjoy a freshly brewed Turkish sand coffee straight from the bicycle.
Georgian kiwi enters Japanese market
Georgian kiwi has entered the Japanese market.
Starbucks to enter Georgia soon
Starbucks, the most popular and largest coffee shop chain is entering Georgian market.
Georgian architect turned farmer: Goat cheese made with French and Italian technology
In Kakheti region of Georgia, in the family of architects and artists, the cheese is made using French and Italian technology.
Georgian and Portuguese villages become twin towns
Georgia’s village of Shilda and Portugal’s village of Cuba have signed an agreement of cooperation.
Georgian man generates electricity with solar and wind energy from his house roof
Tornike Darjania has installed 2 500 watt solar panels and a 1 500 watt wind power plant on the roof of his own house and now he’s generating the electricity all by himself.
Top 10 biggest employer companies in Georgia
Georgia's economically active population, or labor force, is about 2 million people
Wine, chacha and brandy produced by basketball player Vladimir Boisa
In Telavi Municipality’s village of Shalauri, inside an old wine cellar, a famous Georgian basketball player Vladimir Boisa began to make wine
How much installing solar panels will cost you
Tornike Darjania has installed the 300W solar panels on the roof of his house all by himself.
Smoked sulguni cheese sold in New York soon to appear in LA and Canada
Smoked sulguni cheese has appeared on American market. Tsezar Kakhadze, the founder of Cezari dairy products company told Businesspressnews,
PHOTO OF THE DAY
Other Stories
It has been more than five years since the residents of Lilo village, near Tbilisi, cannot open their windows.
63 000 GEL was received by the Georgian Agro Export Group which is just a small part of the European Neighbourhood Programme for Agricultural and Rural development.
Georgian entrepreneur Guka Tavberidze, who runs his own business in the UK and does it quite well, has been invited by BBC
The grand opening of 7-star The Biltmore Hotel Tbilisi took place in Georgia’s capital on July 31.
DUSHETI, Georgia – The Georgian government and the World Bank will allocate USD 5.6 million (12 million GEL) to fund
A new Georgian clothing brand named Person has emerged in Georgian market.
Georgia is in the midst of an economic maelstrom, Euronews reports.
Situation at Georgia’s mineral water market is interesting: over the last year, the volume of export has grown by 56 percent. According to “GeoStat”, over $114 million worth of mineral water was sold
Some of Georgia’s commercial banks are already buying at 2 GEL per $1. Their webpages are publishing information regarding national currency’s exchange rate in real-time mode.
Georgia's central bank governor Giorgi Kadagidze says Ukraine is in the same bind as Georgia was in when Russia banned its neighbor’s exports in 2006
GEL Exchange
USD
1
USD
2.4217
EUR
1
EUR
2.7084
GBP
1
GBP
3.1446
RUB
100
RUB
4.2722