Cabinet approves by-law to set cap on top-echelon salaries

AMMAN — The Cabinet on Monday approved the mandating reasons for a draft by-law on controlling the salaries of public employees and referred it to its Legal Committee for endorsement.

Finance Minister Omar Malhas recommended the new regulations to Prime Minister Hani Mulki following the state budget discussions with MPs, where the premier pledged to set a maximum limit for high salaries at ministries and public departments, the Jordan News Agency, Petra, reported.

Earlier this month, the Cabinet decided to deduct 10 per cent of any sum above JD2,000 in monthly salaries of civil servants, and set a cap of JD3,500 on public sector salaries.

The funds collected from these regualtions, which also apply to the prime minister and ministers, among other top-ranking officials as of February 1, will go to support the Treasury as part of a broader plan to rationalise public spending.

The Council of Ministers also approved completing the GPS tracking project of public vehicles, under a special tender that allows expanding the scheme to include 20,000 vehicles.

Under the first phase of the project, 5,000 tracking devices have been installed on public vehicles, which are monitored by a control room at the Transport Ministry to identify the location and trip purpose of state-owned cars, according to Petra.

The project is also part of the government's efforts to control the expenses of public vehicles and rationalise their use.

Meanwhile, the Cabinet decided to cancel the exclusiveness of government purchases from the King Abdullah II Design and Development Bureau (KADDB) and affiliated companies, in order to ensure equality for all Jordanian companies that produce similar products.

KADDB is an independent government entity within the Jordan Armed Forces-Arab Army that manufactures and develops defence and security products through KADDB Investment Group, which has been established to act as the commercial and investment arm for the bureau and its affiliates, according to its website. 

The group aims at establishing “new and growing businesses in the defence and security industries along with various services that would complement these industries.

The Cabinet decision is aimed at supporting local industries, providing fair competitive criteria and stimulating the Jordanian economy, under prevailing economic challenges and the decline of export volume to traditional markets due to border closures, Petra added.