Comparative report on actual annual spending for the Ministry of Labor 2021-2022

Ministry Of Labor
2022
Social contributions PY
3170000.00

According to the Ministry of Finance’s 2022 actual spending report, the actual expenditures of the Ministry of Labor were ILS50.2 million from a total of ILS16,197.6 million of the overall actual expenditures in the 2022 general budget, or 0.31%.  According to the Ministry of Finance’s 2021 annual actual spending report, the actual spending earmarked for the Ministry of Labor was ILS44.9 million of a total ILS16,120.3 million of the overall actual expenditures in the 2021 general budget, or 0.28%.

Wages and Salaries
35,370,000
Wages and Salaries PY
33,500,000
Wages and Salaries percent
105.60
Operational Expenditures
6,220,000
Operational Expenditures PY
5,660,000
Operational Expenditures percent
110.00
Capital Expenditures
540,000
Capital Expenditures PY
240,000
Capital Expenditures percent
223.90
Developmental Budget
4,530,000
Developmental Budget PY
2,350,000
Developmental Budget percent
192.60
Analytical Notes

First: The actual annual spending at the Ministry of Labor in 2022 was slightly higher than in 2021. In 2022, the semi annual actual spending rose by ILS5.23 compared to the same period in 2021, or by 111.7%.
Second: The percentage of actual spending at the Ministry of Labor during 2022, rose from 2021 from 0.28% to 0.31% of the overall expenditures in Palestine, which is only a slight rise that does not coincide with the role of the Ministry of Labor in leading this sector in Palestine.
Third: Actual spending on the items of salaries and wages and social contributions, rose in 2022 compared to 2021 only slightly, due to annual raises in salaries, annual bonuses and employee grade promotions at the start of 2022.
Fourth: Development expenditures rose in 2022 from 2021, from ILS2.4 million to ILS4.5 million. While this is positive, it was still below expectations, especially since the estimated development expenditures for the Ministry of Labor in 2022 were ILS32 million.
Fifth: Spending on capital expenditures remained limited, even though it was higher than in 2021.
Sixth: Salaries and wages still account for the majority of actual spending at the Ministry of Labor. In 2021, it accounted for 75% of actual spending and 71% in 2022.
 

Conclusion

Conclusions:
Analysis of the comparative actual spending for 2021-2022 shows a slight rise in actual spending at the Ministry of Labor, whether at the level of disbursed actual expenditures or the percentage from the PA’s overall expenditures. Salaries and wages still account for the majority of actual expenditures earmarked for the Ministry of Labor, while development expenditures, even though actual spending was slightly higher, still fell below estimated expenditures. This negatively impacted the level of implementation for development projects, including gender-responsive projects