In June 2016, the State Audit Service published a report on 2015’s activities which addressed the significant growth in the amount of money given as a salary supplement in state organs. The Minister of Economy and Sustainable Development of Georgia, Dimitri Kumsishvili, commented upon the report and stated: “I have not doubled anything and that is certain. The salary fund which I have had for years remains practically unchanged.”

FactCheck

took interest in the accuracy of the statement.

According to the Labour Code of Georgia, employee labour remuneration includes salary remuneration, bonuses and salary supplements as envisaged by the law. A bonus represents a form of financial encouragement for an employee. The amount of a bonus given to a public servant cannot exceed the employee’s labour remuneration and can be issued once in a quarter (but not more than three times during a year).

According to the conclusion of the State Audit Service, in light of the decreased amount of money given as “bonuses,” the amount of funds given as “supplements” significantly increased in 2015 as compared to 2014. However, the report of the State Audit Service does not include the labour remuneration issued in the Ministry of Economy and Sustainable Development. As a representative of the State Audit Service stated in his interview with FactCheck,

the labour remuneration given in the Ministry of Economy and Sustainable Development is still being studied.

According to the information of the Ministry of Economy and Sustainable Development of Georgia, the amount of labour remuneration for Ministry employees has decreased by 8% (see Table 1) as compared to the previous year. As concerns this decrease, the amount of money issued as bonuses was cut by GEL 518,639 and the amount of money issued as supplements was cut by GEL 95,078.

Table 1: 

Amount of Labour Remuneration of Ministry of Economy and Sustainable Development of Georgia Employees

2011 2012 2013 2014 2015 2016 (5 months)
Salary remuneration 4,112,201 4,176,499 3,210,569 3,097,940 3,048,247 1,228,272
Bonus 1,644,575 1,751,431 1,036,316 1,846,672 1,328,033 454,507
Supplement 46,424 48,135 680,904 838,489 933,567 413,927
Total 5,756,776 5,976,065 4,927,789 5,783,101 5,309,847 2,096,706

Table 2: 

Amount of Labour Remuneration of Ministry of Economy and Sustainable Development of Georgia Ministers and Deputy Ministers, 2011-2016

2011 2012 2013 2014 2015 2016 (6 months)
Labour Remuneration 183,585 200,964 162,678 162,160 151,143 77,345
Bonus 207,000 226,430 45,055 106,710 48,880 24,730
Supplement 0 0 163,030 152,464 142,040 73,390
Total 390,585 427,394 370,763 421,334 342,063 175,465
 

In regard to the labour remuneration of the Ministry’s ministers and deputy ministers from 2011 until today, the total amount was at its least in 2015 and amounted to GEL 342,063. However, according to the figures for the first six months of 2016, we can assume that the total amount of labour remuneration for the minister and the deputy ministers will be higher this year as compared to 2015. In regard to bonuses and supplements, the amount of money for bonuses has been decreasing but salary supplements have been rising since 2013. However, the total amount of supplements and bonuses is almost equal.

Conclusion

The 2015 report of the State Audit Service does not include labour remuneration of Ministry of Economy and Sustainable Development of Georgia employees. According to the Ministry’s information, the amount of labour remuneration for its staff has been fluctuating annually without a specific trend of growth or decline being observed. Of note is that the amount of money issued as supplements has increased since 2013. In regard to bonuses, their amount dropped in 2013 whilst there has been a growth in the following years.

FactCheck concludes that Dimitri Kumsishvili’s statement is TRUE.

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