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Employers and opposition SDP sceptical about deal between gov't and trade unions

ZAGREB, May 14 (Hina) - The agreement reached by the government and several trade unions in the public sector in the early hours of Thursday sets a dangerous precedent, and will additionally complicate the situation, the president of the Croatian Employers' Association (HUP), Damir Kustrak, said on Thursday.
ZAGREB, May 14 (Hina) - The agreement reached by the government and several trade unions in the public sector in the early hours of Thursday sets a dangerous precedent, and will additionally complicate the situation, the president of the Croatian Employers' Association (HUP), Damir Kustrak, said on Thursday.

The precedent was set with the introduction of a set of measures which automatically follow one another and which require adjustments to inflation movements and the average wage in the business sector, Kustrak said, adding that the agreement was aimed at levelling wages in the entire public sector.

Officials of the strongest opposition Social Democratic Party (SDP) said today the agreement was actually a pre-election delusion of Prime Minister Ivo Sanader.

Croatia is holding local elections on 17 May.

Prime Minister Sanader denied speculations that the agreement was reached due to the impending local elections.

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