3-year 10% Salary Cut; 3-year Salary Freeze!

0
2833

On Friday, March 5, the Government of Belize sent a letter to the presidents of the Public Service Union (PSU), the National Trade Union Congress of Belize (NTUCB), the President of the Association of Public Service Senior Managers (APSSM), and the President of the Belize National Teacher’s Union (BNTU).
The letter was written to inform them that the government was proposing a three-year 10% salary cut for public officers. Additionally they are proposing a three-year salary freeze. This, according to the Government the salary cut will hold in place and is estimated to save 60 million dollars per year. The increment freeze for itself is expected to yield a 20 million dollars per year in savings. The letter states that “It is expected that the unions will recommend the method by which such minimum savings will be achieved, for example, by way of a flat rate across-the-board adjustment or a progressive salary band-based adjustment.”
For some level of easement, the Government is telling public officers that, “it is proposed that on retirement of affected public officers, pensions would be paid on the basis of a pensionable salary calculated as if such salary adjustments had not occurred.” Additionally, it explains that government will also, “make good faith efforts to encourage the National Bank of Belize and the Development Finance Corporation to make available special facilities of in or about $3mn to $5mn per institution for public officers and teachers for residential mortgages at preferred rates.”
It is quite a bitter pill to swallow, especially during these trying economic times with basic food commodities and the price of fuel steadily increasing. The first unions to respond are the BNTU and the PSU both going into consultation mode with their membership. Already the BNTU has begun to flex with a motorcade held in Dangriga on Wednesday March 10 (see story on page 3).