The Richie Rich oil nation, Saudi Arabia has announced drastic cuts in pay for government employees. The move comes as the oil prices remanned low since 2014. The economy of Saudi thrives on oil.
The reduction was read aloud in a television address, 20 per cent reduction in Ministers’ salaries, limited overtime pay, limited vacation for civil servants and slashed perquisites. More than two-thirds of employed Saudis work for the government.
The oil shock had already alarmed the Saudi government and they had started a project, Vision 2030. Under this, they plan to reduce dependence on oil and create a more productive native workforce.