RIYADH — The 20 percent cut in the monthly salaries of ministers and 15 percent reduction in the remunerations of Shoura Council members will save about SR58 million for the exchequer during the next four years which is the tenure of the Cabinet and the Shoura Council. Minister's current monthly salary of SR51,000 will go down to SR40,800 when the 20 percent cut is applied. Since there are 28 ministers, the savings are expected to be SR13.7 million in four years. The surplus which will result from the reduction of the emoluments of Shoura Council members will be SR7 million a year which will go up to SR28 million when we take into account the Council's term of four years, Makkah Arabic daily said on Tuesday. The amount does not include the savings which will result from the cut in telephone allowance. According to a Royal Decree issued on Monday, ministers and those in similar ranks will now pay the amount exceeding SR1,000 toward their monthly landline and mobile phone bills. About SR9 million will be saved from the reduction of annual housing allowance and furniture allowance paid to Shoura members. The reduction of monthly emoluments, annual housing allowance and other fringe benefits including allowance for the purchase of vehicles, expenses for drivers, maintenance and fuel cost will save about SR44 million for the exchequer. Custodian of the Two Holy Mosques King Salman issued a number of Royal Decrees on Monday as part of new austerity measures. Financial perks for public sector employees were also scaled back. It was also decided not to give any annual increment for the year 1438 Hijri. There will also be no financial increase while renewing contracts or extending their period as well as in re-hiring staff. Overtime bonuses were also curbed at between a quarter and half of basic salaries, while annual leave may now no longer exceed 30 days. The monthly transportation allowance for employees during vacation days will be stopped.
