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What if Egypt’s civil service reform is applied?

The first scenario reduces the burden on the state budget while second one allows for favoritism and discrimination.
Scenario 1:

Government applies civil service new law:

- The new incentive for early retirement helps increase the number of citizens each civil employee serves (Currently at 13 citizens per civil servant).

- The government wage bill increases only by 5% saving up to LE 22 billion in FY2016 reducing the burden on the state budget.

- Controlling the distribution of appraisal grades, in the sense that the percentage of employees with “Excellent” does not exceed 10%, creates a competitive work environment.

- The efficiency of the public services delivery is raised which creates a business friendly environment; economic activity grows especially in the small business sector, and citizens’ trust in government is augmented.

Scenario 2:

Government postpones/suspends new civil service law:

- Each civil employee remains serving only 13 citizens, lower than international levels where a civil servant serves 54 citizens in Indonesia, 38 citizens in Morocco and 21 citizens in Malaysia.

- Government wage bill continues to increase by the same annual increase for the last 3 years of 16%, reaching LE 240 billion by FY2016.

- Uncontrollable evaluation systems allows for favoritism and discrimination.

- The modest quality of public services holds Egypt back in the global governance indicators, scoring only 19 in the government effectiveness indicator falling behind Singapore 100, UAE 83 and Malaysia 82, discouraging private investments.