Presenting draft changes to the law regulating the wage base in the public sector, the State Secretary at the Central State Office for Administration, Antun Palaric, said that being aware of the crisis, the government tried last year to agree with trade unions on a wage freeze, but in vain.
He said the government had undertaken big restrictions to cover holes in the budget, but that it had also decided on a salary cut as one of the anti-recession measures.
The salary reduction is a must, Palaric said, recalling that government employees had agreed to the government's request for the 6-percent cut as of 1 April, but that trade unions in other segments of the public sector had refused it.
Therefore, the government is forced to resort to a solution which does not suspend the collective agreement but changes it, Palaric said, adding that many other rights from the collective agreement would remain in place.
Vesna Pusic of the Croatian People's Party (HNS) said that the government's wage reduction demand was unjustified, because the government had not taken on its share of the burden, and had not, for instance, jettison plans for the construction of the Peljesac Bridge or given up dividends from state-run companies and high managerial salaries in those companies.
Social Democrat MP Josip Leko described as illogical the government's demand in the light of the fact that the government was late in reforming state administration.
He also criticised the Ivo Sanader cabinet for trying to shift to the parliament some of the responsibility for its attempt to put out of force the collective agreement.
"This is an agreement between the social partners (the government and trade unions), so why should the parliament suspend it? It (the agreement) is not unlawful and we have no right to do it," Leko said.
MPs of the ruling Croatian Democratic Union (HDZ) did not participate in the discussion but only voted for a conclusion moving the adoption of the legislative changes in the parliament.