* More than 350,000 join "non-state" sector
* Unemployment nearly doubles since 2009
* Wages show little improvement
By Marc Frank
HAVANA, Aug 30 Communist-run Cuba's five-year
plan to cut more than a million state j obs, create a strong
"non-state sector" and improve wages has made only limited
progress, according to a government report released this week.
Authorities announced the shift of state workers to private
and leased small businesses and farming in late 2009 as the core
of a broader reform of the state-dominated economy that employed
90 percent of the workforce.
Authorities want to streamline the state and pull it out of
secondary e conomic activity in order to focus on improving the
efficiency of larger state-run companies and the wages they pay
The report, "Workforce and Salaries," revealed some progress
in self-employment, often a euphemism for small businesses and
their employees, and cutting bureaucratic jobs, but little
improvement in wages. ()
The report said there were 5 million people employed in
2011, similar to 2009, while unemployment rose from 86,000 to
Of those working, 391,500 were self-employed in 2011,
compared with 147,400 in 2009, when the government loosened
regulations on small businesses.
More than 170,000 individuals have also taken advantage of a
land lease program begun in 2008, the government recently
There was some significant progress reported in trimming the
bureaucracy. The number of "directors" fell from 380,000 in 2009
to 249,000 in 2011.
But if the shift from state to non-state employment is aimed
in part at improving state wages and thus performance, to date
the plan has failed.
The average monthly wage increased from 429 pesos in 2009 to
455 in 20l1, the equivalent of just over a dollar based on the
official exchange rate of 25 to 1, no t nearly enough to
The government reported food prices alone increased 20
percent in 2011.
Cubans spend most of their wages on food, as health and
education are free, few pay rents or mortgages, there is no
insurance, and few pay income and property taxes.