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Job cuts will be key to higher public sector wages in 2014, authorities say

The government plans to use the money saved as a result of job cuts in the public sector to raise the wages of remaining employees in 2014, according to the finance ministry.

The average monthly pay in the public sector was 3,675,500 rubels from January through September, including 3,950,300 rubels in September. The inflation-adjusted pay increased by 7.5 percent year-on-year in the first nine months.

The economy ministry projects the average monthly pay in the public sector to increase from $426 to $455 next year. The average pay at industrial companies is expected to rise from $655 to $705 in 2014.

The average pay is forecast to grow by 21 percent at industrial companies and by 7.6 percent in the public sector this year. //BelaPAN