Panama's Public Payroll Sees Sharp Decline

In January 2026, Panama experienced a significant reduction in its public workforce. The total number of officials decreased by 18,308, primarily due to the departure of temporary workers. The cuts affected key ministries and state institutions, leading to a reduction in the total salary expenditure by $34.4 million.

In January, the public payroll decreased by 18,308 officials, dropping from 271,346 in December 2025 to 253,038, mainly due to the departure of temporary workers. The cuts were concentrated in the Central Government, which lost 14,649 employees, and in the decentralized sector, which fell to 92,807 workers. The main reductions occurred in the Ministry of Education, the National Assembly, the Ministry of Health, and public universities. The total salary amount also decreased from $458.4 million to $424 million. Meanwhile, permanent positions increased by 93, while temporary positions decreased by 18,401.

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2026-04-13T07:10:16+00:00

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Economy Events Politics Country

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Politics Economy Country

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Economy Health Country

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