Sunday , March 7 2021

The Treasury finds that 14 countries ignore liability laws

The Treasury report states that 14 countries violate the law, which limits the use of public funds with staff costs. A report published on Tuesday, 13, suggests that expenses for a fee server publicly and pensioners increased by $ 25.4 billion and reached 402.93 billion times In 2017 Growth was 6.7%, which exceeded the IPCA – official inflation in the country – last year was 2.95%. According to the Treasury, the result indicates the sustainability of state social security regimes.

Minas Gerais, Mato Grosso do Sul, Rio Grande do Norte, Rio de Janeiro, Rio Grande do Sul, Mato Grosso, Sergipe, Acre, Paraíba, Roraima, Parana, Bahia, Santa Catarina and Alagoas talk about their revenue compromise with staff costs is higher than the fiscal adjustment plan (PAF) constraint signed with the federal government and the LRF is 60%.

Champion and Minas Gerais. Of the total revenue, Minas Gerais 79.18% are committed to paying their server salaries and pensions. Mine Gerais follows Mato Grosso do Sul (76.77% of salary and pensions income), Rio Grande do Norte (72.07%), Rio de Janeiro (70.8%) and Rio Grande do Sul 69, 14%). To a large extent, the welfare of its treasuries, which last year amounted to R 93.98 billion, continues to deteriorate. The social security tag leap is 14%.

According to Carlos Delgado, attorney at Galvão e Silva, failing to comply with this provision, executives and mayors are subject to administrative proceedings and penalties. "They can lose their jobs, be inappropriate and pay a fine," he explains.

The government deficit deteriorated in 2017, reaching 12.5 billion times compared with 2016, closing a year with a negative balance of 20.3 billion times, the worst result for 2015-2017. In the triennium. Based on the Treasury's data, fourteen countries have exceeded the limit on personnel expenditure commitments set by the Law on Fiscal Responsibility (LRF).

"This points to the problem of the sustainability of public pension systems, given the increased consumption of financial resources that could be achieved to meet and expand the basic services needed by society," the Treasury referred to in the report.

The report reveals that, in spite of federal salvation, debt relief and suspension of payments for monthly payments, managers did not do their "homework", then press the fiscal adjustment budget.

In order to put an end to the general crisis in 2019, the assessment of the economic group according to sources is that countries will also have to increase the server's social security contributions, privatization of assets, the abolition of public offerings and the long-term increase in salary to all.

Thanks to electoral legislation, the Ministry of Finance chose not to disclose the report, and only after the election campaign is over can countries with the greatest problems become clearer. But many executives were elected with promises of salary adjustment and recruitment of new employees.

Treasury data show that the biggest national problem is spent on personnel. Expenditure on public servants' pensions is largely influenced by specific categories (teachers and military), accounting for about two thirds of the inactive population and retiring on average in the age of 50.

The average increase in real expenditure was 2.96%. This means that, in 2017, half of Brazilian staff spending actually increased by over 3%, and the Treasury estimates that the amount is excessively high.

The table over the last seven years shows a real increase of 31.58% of staff costs. The overall image was both an increase in both active and inactive spending, although in some countries the rates were slightly higher than others. The distribution of costs between assets and inactive has some inconsistencies. Some countries, such as Rio de Janeiro, Maranhao, Mato Grosso do Sul and Minas Gerais, significantly increased their assets. Countries, such as Ceará, Espírito Santo and Sao Paulo, had an increase in asset growth.


The government deficit has led to delays in payments to suppliers and, more seriously, even at the server salaries. According to the report, in 2017 the deficit reached 20.29 billion times, and it deteriorated by 12.47 billion.

These delays ultimately lead to a "pedase" of spending from year to year, worsening the national fiscal system. It is precisely payment delays becoming a "residual payment", expenses are recognized and transferred from one to another.

The net depletion of payments (commitments and outstanding annual expenditure) amounted to 29.66 billion reals, compared with 16.9 billion in real terms in 2016. In other words, the record "balances to be paid" has almost doubled between 2016 and 2017.

In terms of Treasury, in most countries, the trend towards increasing the amount of "outstanding balances" can be seen as a form of financing with its suppliers and, in extreme cases, with its own servers.

"This form of alternative financing contributes to the creation of expenses that exceeds credit operations and complicates creditors," says the report, stating that this type of event confirms the observed deterioration in the budget outturn.

(With the State Agency)

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