Public servants to receive 10% increase by month end - Finance Minister

Public servants to receive 10% increase by month end – Finance Minister

Oct 18, 2016 News

Public servants should expect the 10% increase in their pay packages by the end of the month.
This disclosure was made by Minister of Finance Winston Jordan at a press briefing, yesterday.
Back in August, the Government had announced a 10% wage increase for public servants.
The initial proposal of the Guyana Public Service Union (GPSU) was for a 40% across-the-board increase for public servants. The union had also requested that allowances be included in the negotiations.
However following negotiations with the (GPSU), President David Granger announced that based on the country’s current indebtedness, the 10% offer is the most feasible. “It is not unjust. It is perhaps what can be afforded at the moment.”
He admitted that when APNU–AFC Government went into office “we did not anticipate the volume of indebtedness of the Guyana Sugar Corporation and the fall in prices of other national commodities such as bauxite, gold and timber.
The government had made a final offer of a 10 percent increase in salaries for public servants working earning below $99,000, and has made an offer of 1-6% for other categories of workers.
According to a statement issued, the Government of Guyana (GoG) and the Guyana Public Service Union (GPSU) concluded discussions on Wages and Salaries for Public Servants within the Bargaining Unit for 2016. The negotiations were conducted in the spirit of cordiality and mutual respect, and were consistent with the obligations of the Memorandum of Agreement between the Guyana Public Service Union and the Public Service Ministry for the Avoidance and Settlement of Disputes.
The negotiations were conducted within a two-month period from June 22, 2016 to August 24, 2016, during which period both the GoG and the GPSU presented proposals.
The GoG’s proposal took into consideration the fundamental need for a restructured Public Service which included the adjustment of scales for wages and salaries; the implementation of a merit increment system; and a resolution of the issue of de-bunching. It was pointed out to the union, that each of these would entail an additional cost to Government and result in increased earnings for Public Servants.
However the GOG’s proposal was rejected by the union. It was pointed out to the GPSU that the GoG’s final offer for wage and salary increases for Public Servants had taken into consideration the current socio-economic environment; the difficulty in agreeing to increases that would entail having to raise additional revenue and the unsustainability of any further addition to its offer with regard to the current and future budgets.

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