Friday, July 20, 2018

Sverdlovsk region receives grant to raise public sector employee salaries

The Sverdlovsk region was recently issued a $17 million grant from the Russian federal government last week to increase the salaries of regional civil sector employees.

The grant is part of regional initiative that began in 2012 to slowly raise the salaries of Sverdlovsk public sector employees. The initiative, which will span through 2018, was approved by Russian President Vladimir Putin's administration in late 2012 and was revisited as one of the topics of Putin's May decrees earlier this year, Ural Business Consulting reports.

The goal of the regional government pay raise initiative is largely to convert the civil sector of the Sverdlovsk region into an "efficiency contract" system, which means that an individual's salary will be calculated based off of the complexity of his or her position and the quality of service the person provides to the regional government.

Prior to the approval of the $17 million grant, Putin required each regional government to create a detailed proposal which evaluated the potential for raising salaries in the public sector. The Sverdlovsk region completed its proposal in March 2014, according to Ural Business Consulting.