It's business as usual, says head of the Real Estate Tax Office

Michaela Singer
5 Min Read

CAIRO: “Everything is running as normal, chairman of the Real Estate Tax Office Ismail Abdel Rasoul told Daily News Egypt on Thursday, emphasizing that the strikes by tax collectors have ended.

Although Abdel Rasoul claims that the total number of strikers was only about 300-400 out of 45,000, other news reports put the number at 2,000

On Sunday real estate tax officers had staged an historical sit-in, rocking Egypt’s financial infrastructure.

The demonstration, which was held outside the finance ministry in Nasr City, was called by the independent labor union to urge the government either to raise wages or to return the Real Estate Tax Office back under the authority of the Ministry of Finance. A week later and the initial public furor has subsided. However, it is the heavy financial blow to the government that will be felt in the coming weeks.

According to sources, workers have staged silent strikes by slowing down the pace of work considerably, causing a cessation of tax collections nationwide. The government has already lost LE 2 million in tax collection and it is expected that the strikes will continue until their demands are met.

Abdel Rasoul added that although he sympathized with the workers’ demands, the only way they can be realized is through official legal channels.

“There are no poor people working for this department, he said, amazed at the protestors’ demands. “Compared to many people in Egypt their salaries are adequate, and there is always the opportunity for yearly promotion.

The conflict between Egypt’s real estate tax officers and the government authorities has been raging for over a decade. In a move towards decentralization, real estate tax workers were moved from the Ministry of Finance to the municipal administrations in 1974.

This move was accompanied by reductions in wages which, according to workers, neither compensate for the long hours they work nor were they commensurate with the skills needed for their positions. This situation has been aggravated by steep inflation. While their counterparts in the Ministry of Finance have seen wages rise and working conditions improve, officers in the real estate tax department claim their wages have remained stagnant and are now not even enough to cover basic living costs.

This topic has been the focus of studies that were commissioned to investigate the validity of the workers’ demands. However, it has also taken the form of a fierce battle of words, claims and counterclaims between Abdel Rasoul and the independent labor union. Workers have demanded the resignation of Abdel Rasoul, claiming that he presented wrong information to the government regarding workers wages.

Kamal Abu Aita, Chairman of the labor union, told Daily News Egypt, “The government asked for documentation to check the average monthly salary of the real estate tax officers. Abdel Rasoul told the authorities that the average salary was LE 1,200-1,500 a month. We gave him documents proving that it is in fact only LE 350. He says we are lying and have no proof. I have my salary in my pocket, he can check it if he wants.

Aita’s labor union is not the official union recognized by the government. He cites this as among the primary reasons for the strike.

“The union elections were manipulated. The labor union recognized by the government does not stand up for the rights of workers. Strikes are the only way to pressure the authorities. But we cannot continue demonstrating for fear of a violent reaction by the government. The union organization refused to fund the strike, which meant many workers in Upper Egypt could not attend, as they could not afford travel costs to Cairo.

Tax officers are now waiting for a second study into the wages of individual workers. The findings are expected to be delivered in the coming month, but Aita warns of a second strike in early December if their demands are not met.

“The [official] union claims we won’t even get 1,000 workers to strike should it go ahead. I swear all 45,000 will take part. We will see who is right and who is wrong.

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