Abu Dhabi: FNC members recommended that federal budget cuts target only unnecessary spending but not vital services such as health and education.
"Federal budget cuts should not impact vital services such as education, health and judiciary. Any cut should not harm salaries and creating jobs in these extremely important sectors," Mohammad Al Za'abi, a member from Sharjah, told Gulf News yesterday, suggesting "only unnecessary spending should be targeted".
Al Za'abi was speaking ahead of tomorrow's session of the House during which a draft law on the closing accounts for 2009 is scheduled for debate, and the Federal budget for 2011 is expected to be referred to an ad hoc committee for reviewing before being debated in a later session.
The government argued the cuts were an inevitable correction resulting from the financial slowdown.
The cabinet approved a Dh122-billion zero-based budget for 2011-2013 marking the first time the country has introduced a three-year plan for federal spending. Spending for 2011 is projected to be Dh41 billion, down from Dh43.6 billion in 2010.
Salary increase
The budget for 2011 will focus on social development with Dh19 billion or 46 per cent of the total budget allocated to education, health, pensions, social assistance, the Shaikh Zayed Housing Programme and the Marriage Fund.
"Zero-based" means every expenditure has to be justified.
Dr Abdul Rahim Al Shaheen, a member from Ras Al Khaimah, said the legislature has on many occasions recommended backing educational institutions and increasing their budgets, and the government approved these recommendations. But the government is now cutting the budgets of these institutions, he said.
Al Shaheen added that by ignoring the House's recommendations, its effort and cooperation with the government are made useless. "The government has to increase spending and create more jobs to overcome the financial crisis," Al Shaheen argued.
Dr Sultan Al Moadhen, a member from Fujairah and chairman of the health, labour and social affairs committee, said cuts make increases in the salaries of doctors and teachers very unlikely. "Cuts to the budget means the government has no plans to raise salaries of doctors and teachers, a problem that needs an urgent solution," he argued.
Ali Jasem, the second deputy speaker of the FNC from Umm Al Quwain, said cuts will definitely affect the services.
"The higher education will be hard hit," he said, citing the Higher Colleges of Technology (HCTs), which face an increase in students. "Shaikh Nahyan Bin Mubarak Al Nahyan, the Minister of Higher Education and Scientific Research, has been complaining since 2007 about insufficient budget," he said.
Yousuf Al Nuaimi, a representative from Ras Al Khaimah, said a prosperous country such as the UAE should spend more to stimulate the economy during a financial slowdown.
He argued the zero-based budget the government will now implement for three years means no new projects will be implemented and as such there will be no growth.
Minister to be quizzed
The FNC session will see Saqr Gobash Saeed Gobash, Minister of Labour, being quizzed on the need to change the sponsorship system.
Gobash said in a statement submitted to the chamber on November 9 that a move approved by the Cabinet will address certain negative impacts of the sponsorship system for foreign workers.
Yousuf Obaid Ali Al Nuaimi, a representative from Ras Al Khaimah, called for free labour movement and cancellation of costly sponsorship system.
Al Nuaimi told Gulf News the sponsorship system for foreign workers must be scrapped within three to five years to stop misuse of the system and allow free movement of workers.
