Many analysts insist on a reduction in public spending, which has been announced by several ministers in recent years, and which has not resulted in a large reduction in the workforce.

Politicians and pressure group interests have created a highly protected scheme of privilege that is an intolerable burden that is difficult to destroy.

The current budget of $33,296.8 million is heavier than the one codified for 2023 and foresees more taxes and more funding

For example, few people wonder what the average salary is in the public sector. Well, it turns out to be much higher than in the private sector. How interesting it would be to have a detailed analysis of the valuation of the current salary scale. It will be shown that out of 10 billion salaries from the budget, as much as 30% falls on salaries that are above what the economy pays in all production sectors.

Would it then be possible to tax salaries in the public sector separately? This is where the guarantee arguments of the constitution come in: It is not possible, it is discrimination. And that’s despite the fact that the Law on Promotion, Tenure and Promotion automatically causes wages to rise by several hundred million dollars a year.

(…) I firmly believe in a state that has not threatened, but I understand that… they have protected an almost untouchable bureaucracy.

And can waivers be bought? Ten years ago, an institution bought resignations. The “absenteeists” presented their case to the Constitutional Court, which declared the process unconstitutional. The prosecutors must be reinstated. Case in point: The individual must be reinstated with back pay of $4,205.72 and back pay for the years he did not work, which with interest amounts to about $600,000 (yes, $600,000) ordered by the district court. Like that person, the institution in question has 25 cases and no funds to repair damaged air conditioners. How important it would be if all such court rulings that sting public finances come to light!

Just as judges lightly grant freedom to criminals, in most cases they agree to claims against the state amounting to gigantic damages.

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And what can we say about the unions in Petroecuador, in CNEL, etc., which give unacceptable privileges, which cost the state a real fortune. All protected by law, constitution and judges.

Therefore, the reduction of consumption was the most difficult: the reduction of public investments.

I always repeat that the main problem of Ecuador is that Ecuador does not understand its problems. The ease with which it is said to “cut spending” is directly proportional to the ignorance that exists about all these perverse realities, and the politicians who talk about cutting spending have contributed to their creation and maintenance.

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And this is being said by someone who, when he was vice president, participated in an effective program to reduce the Government’s salaries, which was achieved by a large purchase of resignations financed by external loans. That is, I firmly believe in a state that has not threatened, but I understand that populism, irresponsibility and vested interests have obscured an almost untouchable bureaucracy. (OR)