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DEPUTY PM SAYS RESISTANCE WON'T OBSTRUCT IMPERATIVE REFORMS

ZAGREB, Aug 7 (Hina) - The incumbent government has to expedite reforms in the public sector and will not be deterred in enforcing them, despite fierce resistance, Deputy Prime Minister Slavko Linic told HINA and state television on Wednesday. "It is evident that citizens and businessmen as taxpayers cannot finance more than 220,000 employees" in the public sector, he said, reminding the government had made it clear in its January 2000 programme there would be layoffs in said sector. "We launched the realisation of that programme only in the middle of this year. Its completion may be expected at the end of this or the first quarter of next year," Linic said. Speaking about the police recently put at the government's disposal, he said nothing that was happening was unannounced or unexpected, and that it would happen to some other ministries as well, particularly the Ministry of Defence. Linic said that 3,700 o
ZAGREB, Aug 7 (Hina) - The incumbent government has to expedite reforms in the public sector and will not be deterred in enforcing them, despite fierce resistance, Deputy Prime Minister Slavko Linic told HINA and state television on Wednesday. "It is evident that citizens and businessmen as taxpayers cannot finance more than 220,000 employees" in the public sector, he said, reminding the government had made it clear in its January 2000 programme there would be layoffs in said sector. "We launched the realisation of that programme only in the middle of this year. Its completion may be expected at the end of this or the first quarter of next year," Linic said. Speaking about the police recently put at the government's disposal, he said nothing that was happening was unannounced or unexpected, and that it would happen to some other ministries as well, particularly the Ministry of Defence. Linic said that 3,700 of 25,000 employed at the Interior Ministry were made available to the government according to specific criteria. Commenting on the protests this has elicited throughout the country, the deputy PM said: "Nobody who loses his job can be happy... the reaction is violent, the resistance strong." He reminded there had been many protests and times discontent was staged in front of the government building and that all included extreme tensions between the government and trade unions. "Such communication between the government and many unions is very difficult, slowed down, with accusations that the government is to blame, and the unions saying the government's activities and programme are mainly unacceptable," said Linic. He emphasises the government must try to tackle the issue of surplus labour delicately and provide care as humanely as possible. More than half of the latest police layoffs are included in a care- providing programme, whole solutions are being sought for the rest, he added. Commenting on a request by the strongest opposition party, the Croatian Democratic Union (HDZ), for an emergency parliamentary session to address the police layoffs, the deputy PM said the HDZ requests were aimed at taking power before elections. "The HDZ is trying to create the impression that we have raw capitalism, that the government is socially insensitive, doesn't communicate with trade unions or citizens, that there is constant arguing within the government and between the president of the republic, the parliament, and the government," said Linic. He added it was up to the citizens to decide who was fomenting chaos, and said that for its ten years in power, the HDZ showed it had left behind only plunder, disorder, and debts. Linic said he had been doing the dirtiest job in the past 18 months to settle those debts. There was no chaos or protests when the HDZ was in power, he said, "as they were very clever plunderers. We don't rob but are returning debts whose burden citizens will bear for many years." "Everything the government is doing is directed at facilitating business," which resulted in last year's ten percent increase in revenue and a mere two percent increase in expenditure, Linic said. He added that with international partners, including the International Monetary Fund, the government was trying to secure loans aimed at financing the strengthening and development of small and medium enterprises. Linic sees as a success the increase in the total number of employees, with the simultaneously inevitable layoffs of surplus labour in state services. He said this was the reason why the effects of reforms were not entirely felt yet. He pointed to the danger of creating the impression of utter insecurity as it led to a fear of entering new economic activities. The deputy PM reiterated the government would not depart from reforms but step them up. "Public spending is too high in relation to the Gross Domestic Product. The growth of the GDP and lower public spending should lead to new investments. Until that happens we shall have to introduce further restrictions... until the end of this or beginning of next year," Linic told Hina and Croatian Television. (hina) ha

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