ZAGREB, Dec 7 (Hina) - The government cannot consent to unions' demands because they weigh 1.2 billion kuna ($141 million) and has already had to cut next year's budget due to insufficient funds for many acute needs, Prime Minister
Ivica Racan said on Thursday. If the government consented to demands of public sector unions to increase basic salaries by 8.5 percent and pay Christmas and child's bonuses, 1.2 billion kuna would have to be taken from others, he told the government's session, inquiring who should be deprived, pensioners, the unemployed, or new mothers. Commenting on suggestions that the president of state mediate in the ongoing dispute between the government and the unions, Racan said the government "doesn't need mediation, not even from the president of the republic." The question is how to mediate between such irrealistic demands and the many citizens who live much harder, he added. The
ZAGREB, Dec 7 (Hina) - The government cannot consent to unions'
demands because they weigh 1.2 billion kuna ($141 million) and has
already had to cut next year's budget due to insufficient funds for
many acute needs, Prime Minister Ivica Racan said on Thursday.
If the government consented to demands of public sector unions to
increase basic salaries by 8.5 percent and pay Christmas and
child's bonuses, 1.2 billion kuna would have to be taken from
others, he told the government's session, inquiring who should be
deprived, pensioners, the unemployed, or new mothers.
Commenting on suggestions that the president of state mediate in
the ongoing dispute between the government and the unions, Racan
said the government "doesn't need mediation, not even from the
president of the republic." The question is how to mediate between
such irrealistic demands and the many citizens who live much
harder, he added.
The government today adopted conclusions on a strike public sector
unions announced for Dec. 8.
The government will comply with a work agreement with workers in
public services and civil servants by paying an 8.5 percent
difference on salaries for October, November, and December, but
does not consent to raise basic salaries by 8.5 percent.
The government bound management and supervisory boards in public
and state companies to keep salaries in 2001 at this year's level
and not to pay any bonuses, either for Christmas or children, or any
arrears for 2000.
The government also urged said boards not to sign new work
agreements for 2001 before agreement was reached on uniform
criteria for all work agreements.
Companies in which the state holds the majority interest and bodies
and state institutions financed from the state budget were bound to
step up rationalisation.
(hina) ha