Federal Deputy Pedro Paulo (PSD-RJ), rapporteur of the administrative reform working group, says that the texts of the measure may also include proposals for fiscal adjustment, such as the detachments of social security benefits to the minimum wage and constitutional floors of health and education education expenses.
To the globe, the deputy said that the request for measures to adjust the budget came from the president of the Chamber of Deputies, Hugo Motta (Republicans-PB). During the week Motta countered statements by Finance Minister Fernando Haddad, made in an interview, and said the executive “cannot spend without brake and then pass the steering wheel to Congress.”
In addition to the detachments, if the government does not present structuring measures for the budget within the next 10 days, they should also enter the text of reform policies to review tax waivers and exemption, according to Pedro Paulo. The ten -day period was given by the House for the government to find an alternative to the increase in the financial operations tax (IOF).
Motta officialized on Thursday the creation of a working group to analyze the administrative reform, parked in Congress for years. The coordinator of discussions of the working group says that the reform should not target rights of servers, no salaries, but will attack privileges, such as supersalaries.
What are the main points that are considered for the text of the administrative reform?
We will not try to remove right from servers, but we will attack privileges, expand models of hiring the public service. But we will not discuss the size of the state. We will create legislation so that, whatever the size of the state, it is efficient. We want to implement the obligation that each public policy has an indicator and a goal to be pursued. And that this produces a bonus of recognition of the public servant. But we will not deal with salary recomposition, review of positions and salaries. This is not the object of administrative reform.
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How would this bonus work, would be received through the 14th and 15th salary?
This provides a volume of funds to pay a bonus and those who left the comfort zone, which dedicated, had capacity, creativity to deliver more, will receive more. The bonus would be absolutely linked to performance.
The purpose of administrative reform is to increase public service productivity or should it also target fiscal adjustment measures?
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The classic administrative reform model produces expenses reduction, produces rationalization of the personnel sheet, but also produces a better allocation of these resources. There is a welcome, positive side effect, which is the reduction of expense, but reform itself is not a fiscal adjustment model.
At this time, is not it necessary to face a significant reduction in public spending?
Yesterday (Thursday) the president Hugo Motta called me and asked me to introduce him, within the administrative reform package, measures that could also produce a structuring adjustment, so that I present him next week, obviously awaiting the 10-day deadline that the minister (Fernando) Haddad asked him. But I do not believe that the government will present a reform that will deal with those points that must be faced.
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Thus, can some of these measures come in the text of the administrative reform?
They can enter anytime. Many of these measures are known, but we will be ready with them, awaiting the decision of President Hugo Motta. If he understands that the federal government was unable to present these structuring measures to Brazil, we will be ready so that these measures can enter the texts of the reform.
What would these measures be?
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Measures such as the end of links. It is a structuring measure that can rearrange the budget, it is quite tough, but it can make a difference in this greater budget freedom. This flexibility would be the minimum wage unlinctions of social security benefits, and education and health expenses (which today are a minimum percentage of revenue).
Can this enter the texts of the reform?
Yes, including the reduction of tax expense. There are three great measures. They are hard, but all three are measured with quite impactful in the budget. It has other measures, for example, (cutting) supersalaries, reduction of privileges, reduction of parliamentary amendments. They are important, they are pedagogical, they can enter the package, but the impact on volume and resource economy is lower.
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What is the impact of linking social security benefits on the minimum wage?
We have budget bindings, which are somehow imploding the Brazilian public budget, which completely drains any effort to find some budget availability for investment or even to pay the current expenses. These links are causing a shutdown (lack of resources for basic expenses) in public accounts. Regardless of the merit, whether they are fair or not, the fact is that, in the situation we live, they are draining any and all budget availability. They became a review point, a need to review this growth of these expenses.
Do you advocate reducing the volume of parliamentary amendments?
I advocate the reduction and advocate a pact of reductions from public expense. I argue that this pact is a reduction in parliamentary amendments, it is 10%, 20% of them, but all powers agree to reduce their expenses. I also include in this pact also the private initiative, the tax spending.
Why not reduce, for example, 10%, 15% of these tax spending, which today add up to 4% of GDP, more than $ 600 billion? It is not possible that there is no space to review this tax expense. It would be a pact in which the legislature is committed to a reduction of 10% to 20% of its amendments, of the Executive Power of 10% to 20% of its primary expenses, in particular mandatory expenses. And also the judiciary, with a reduction of 20% of its total expenses, whether it is cost, or the attack on supersalaries, privileges, the excess of expenditure that has each of the powers.
