The Slovenia Times

Politics

Parliament Secures Pay Freeze in Public Sector

08.09.2010

By STA

Parliament confirmed on Tuesday changes to the public sector pay act enabling a pay freeze in the sector in a 41-22 vote. In spite of the outcome, MPs from both sides voiced regret that an agreement had not been reached in social dialogue.

The freeze will delay a pay rise in the public sector which was negotiated just before the recession. Salaries in the public sector would start to increase again after Slovenia achieves economic growth of 3%.
Commenting on the amendments that will enable the collective bargaining agreement for the public sector to be changed with the support of less than a majority of the unions that however represent at least 40% of some 157,000 public employees, PM Borut Pahor stressed that the 2008 agreement had been signed amid 6.3% economic growth.
He said that the recession followed and that measures needed to be taken. The government opted against an intervention law, choosing instead to continue with social dialogue and taking it to a point when "the greater part of the pay reform, [two out of for promised pay increase stages], had in fact been pushed through", Pahor added.
He noted that the time was now ripe for a fair solution that will postpone the rest of the pay reform until after the recession and see public servants share the burden of the crisis with business.
The government decided to amend the public sector pay act after the annex to the bargaining agreement that postpones a part of the pay increase promised under the previous government was signed by only six unions, while most of the remaining 23 unions announced they would go on strike on 27 September.
While opposition parties criticised the amendments proposed today, reservations were also voiced by coalition parties, which said they would have preferred if the government had reached an agreement in social dialogue and not transferred the decision on to parliament.
Borut Sajovic of the coalition Liberal Democrats (LDS) said the party decided to back the amendments after "thorough reflection and with difficulty".
However, like the remaining coalition parties, the LDS is convinced that social dialogue can be resumed and that the final version of the bargaining agreement will be confirmed by all public sector trade union groups.
Vinko Gorenak of the opposition Democrats (SDS) meanwhile labelled today's move a "murder of social dialogue", arguing the government had simply changed the rules of the game half-way into negotiations.
Miran Gyoerek of the National Party (SNS) said that unfinished social dialogue was something the SNS could not accept and that the same was true for confronting parliament with decisions that have already been made.
The People's Party (SLS) also voted against. Although expressing understanding for the fact that the government cannot distribute funds from a bag that is empty, the SLS had expected constructive arguments and not the argument of power.