Thursday, March 14, 2019

Salaries of Public Sector Jobs in Costa Rica

There is a public employment reform in the works that would give a higher base wage and reduce the dependence on incentives. Currently, salaries in the public sector are much lower than in the private sector. This changes, however, when we look at incentives which can be ¢2 for every ¢1 of base salary.

Authorities are evaluating paying a significantly higher base salary. This will not necessarily take out the idea of bonuses. The government is analyzing the possibility of using both a stronger base wage and productivity incentives. The idea is that the base salary will be the highest component of the paycheck received so that salaries are as equitable as possible between institutions.

The salary must be competitive because it will be the salary for the next 30 years. This new regime should not be any more expensive for the State, it’s just distributing the money under different terms. The changes would be for new employees and current employees would have the choice of which way to be paid.

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