Cuban President Miguel Diaz-Canel offered some final considerations on what was presented during the program.
He called for the concrete implementation of measures across the board. He said that although all details were not reported this evening, important questions were addressed, adding, "We are obliged to think as a country, so as not to return to Special Period conditions."
He stated that the measures taken represent a basis for future re-ordering and prepare us to replace administrative methods with economic and financial ones.
The measures, he said, seek to stimulate workers to perform with greater efficiency and productivity, which will mean greater quality in health services, education, and other budgeted areas.
He explained that accounting must serve as a tool for short and long-term decision-making, and insisted on the importance of preparing cadres, officials, and administrators.
The President stated that the circumstances facing the country "forced us to review the process given its complexity," and that the effectiveness of the measures adopted at this time, and in the future, will depend on whether the people make them their own .
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Minister of Finance and Prices Meisi Bolaños Weiss commented that the national budget must be reduced after implementation of the measures, and clarified that the population must be involved in the price review process.
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Minister of Labor and Social Security Margarita González Fernández assured that no one in the budgeted sector will be excluded from the salary increase, stating, “The measure includes all workers in the budgeted sector, no worker is excluded, and the minimum salary will increase to 400 pesos.”
She cited some examples of increases in budgeted sectors like education and the press, indicating that in these areas the average salary will rise to 1,067 pesos.
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Minister Alejandro Gil stated that to replace imports with domestic products mechanism must be created, and planning made more flexible, without losing the advantages of a central plan. Grassroots proposals must be considered, eliminating the idea that something can’t be done “because it’s not in the plan.” That is, he said, the plan must not be a straight jacket, not in its preparation or its execution, but must rather be adjusted to the site and moment at hand.
He explained that the payment of bonuses for extra earnings to workers must be increased from up to three times the average salary to five, when certain criteria are met.
Hard currency that leaves the country must be recaptured to support development and financial products created to attract more remissions sent to families from abroad.
Gil reiterated the importance of strengthening state enterprises, which requires the development of a financial institution. Enterprises must be allowed to retain all or part of revenue earned from exports, beyond those planned. (to support investment)
Work incentives must be improved with salary increases in the budgeted sector and the enterprise system’s salary regimens perfected, he stated.
Gil emphasized that work must be done in terms of supply to avoid price increases, and ensure that local development projects do not lead to more imports, that is, obtaining the greatest benefit with available resources.
He explained that the salary increase for the budgeted sector, which offers goods and services to the population without charge, will have no effect on prices, adding, “We are in a position to implement the measures successfully, leading to benefits for the population.”
The Minister emphasized that the measures adopted have among their fundamental objectives:
- Increasing the people’s standard of living
- Advancing the development of the country’s socialist project
- Confronting the current escalation of aggression toward Cuba
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Alejandro Gil Fernández , minister of Economy and Planning explained that the measures taken are directed toward support approved government policies, saying that among the objectives is eliminating obstacles that hinder the development of productive chains between different sectors, including te state and private.
President Díaz-Canel explained the reasons motivating the measures and the analyses conducted. Referring to the salary increase he reaffirmed, “It does not contradict what is to be done in the future; this is the first step.”
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WHAT WERE THE MEASURES ADOPTED?
The Council of Ministers approved a series of measures to boost the economy, including a salary increase in the budgeted sector and also for pensions, to give a greater response to the needs of the population and the economy, encourage the active participation of all actors in the search for solutions and confronting the U.S. blockade.
“This is not the final salary increase we are heading toward,” the President emphasized, “but it is significant enough given the current conditions” referring to the increase scheduled for workers in the budgeted sector.
He indicated that the goal was to implement the salary decision in the month of July, so that workers receive the first benefits before the summer ends.
- The minimum monthly salary in the budgeted sector will increase to 400 pesos and the average will rise to 1,067, to benefit some 1,470, 736 workers at Central State Administration agencies, local People’s Power bodies, and organizations and associations, and will cost an estimated 7.5 bilion pesos annually.
- In the case of Social Security, taking into account increases made to the minimum pension in November of 2018, this remains at 242 pesos. Other persons who at that time did not receive an increase, and have pensions below 500 pesos, will benefit from the approval of these new measures, which will favor 1,281,523 persons, at an estimated annual cost of 700 million pesos.
- Social Assistance will not change, given the increase provided in November of 2018, when the minimum amount was established as 217 pesos.
- The application of the Special Contribution to Social Security will be extended to workers in the budgeted sector, in line with the principle that all contribute to the financing of expenses to provide these benefits, saying, “This rate will be 2.5% for those with monthly incomes of up to 500 pesos, and 5% for those with salaries greater than 500 pesos.
- With the goal of avoiding the inflationary effect of the measures, the Minister of Finances and Prices will have the necessary mechanisms throughout the economy to mitigate possible price increases.
- In this regard, the President previously noted that involved ministries must establish observatory mechanisms to stay abreast of prices, and of how consumption evolves, “So that we have time to rectify any element to prevent inflation.”
Díaz-Canel likewise highlighted the need to be rational in filling staff positions. The person employed must be the one who will produce the most, because the measures are not meant to throw money around, but to give an incentive to those who work and contribute more, he said.
He also insisted that, from now on, cadres must be well trained to avoid erroneous interpretations, and systematic follow-up on developments around these issues must be provided.
yoel
4/7/19 11:46
Yo veo estas medidas muy buenas , a un sector que estaba despreocupado para no decir olvidado y que en muchos casos desempeña una función de importancia en el servicio a la población y demás , creo de igual forma que son las bases que está sentando el estado para lograr una estabilidad productiva correlacionadas con los ingresos y una sociedad de consumo , creo que son los primeros pasos para llegar a alcanzar la dualidad monetaria que tanto hemos soñado , muy bueno ver a nuestro presidente creando he abriendo tantas puertas cerradas de nuestro estado , dejando la posibilidad de desarrollo al alcance de todo el pueblo , regulando y organizando , son medidas que llegaron un poco tarde pero a buena hora es necesario seguir fomentando los cambios , seguir fomentando la estimulación , dejar a los actores económicos jugar su papel , FELICIDADES A TODOS LOS QUE ESTAN TRABAJANDO , POR ESTA CUBA DEL FUTURO , POR ESTA CUBA DE HOY , ESPERO QUE DE IGUAL FORMA SE LE PRESTE IMPORTANCIA AL SECTOR EMPRESARIAL DE LA INDUSTRIA LIGERA , SECTOR QUE TIENE UNA GRAN RESPONSABILIDAD CON ESTE PAIS Y QUE ACTUALMENTE SIENDO DEL SECTOR EMPRESARIAL TIENE UN SALARIO BAJO , SIENDO LAS EMPRESAS COMERCIALIZADORAS LAS QUE SE LLEVAN TODOS LOS BENEFICIOS , ESPERO ESTO TAMBIEN LLEVE UNA REFORMA EN ALGUN MOMENTO , POR QUE EL SECTOR PRODUCTIVO TAMBIEN NECESITA DE INCENTIVOS PARA LOGRAR LA FORMACIÓN DE PRODUCCIONES SOSTENIBLES , DE IGUAL FORMA LA DESENTRALIZACIÓN DE LAS EMPRESAS , HOY EN NUESTRO SECTOR EMPRESARIAL , TENEMOS 3 ACTORES CONTROLANDO POLITICAS , Y UN NUMERO POCO MAS GRANDE PRODUCIENDO , TENEMOS EMPRESAS NACIONALES , GRUPOS EMPRESARIALES , MINISTERIOS , EXECTO LOS MINISTERIOS QUE FUERON LOS PRIMEROS , LAS EMPRESAS NACIONALES Y LOS GRUPOS EMPRESARIALES JUEGAN EL MISMO PAPEL ADMINISTRATIVO QUE LAS ESTRUCTURAS DE LA LLAMADAS UEB , LO UNICO DE DIFERENCIA ES QUE UNO ESTA CON EL EXTRANGERO NEGOCIANDO Y EL OTRO COMO POLLO ESPERANDO QUE LE DEN PARA PRODUCIR , una vez resolvamos esto las producciones , los precios , el salario de todos en el país podrán ser más alto , llegar a una sola moneda , aplicar eficientemente la actividad recaudatoria que tanto necesita el estado , pero ya dimos los primeros pasos , gracias presidente por los nuevos aires espero , que lleguen otros de igual importancia
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