HUS: Let the Government Reduce Officials’ Salaries and Pensions

The Croatian Trade Union Association (HUS) reported on Saturday that the proposal of the Croatian Government to freeze salaries for 2009 is unacceptable to them.

The statement notes that discussions were held in HUS unions across Croatia regarding the proposed crisis measures of the Government of the Republic of Croatia, concluding that in a situation where 60 percent of employees earn below-average salaries, which are insufficient for survival, this Government proposal is unacceptable.

HUS has requested the Government to implement necessary savings and rationalization by reducing officials’ salaries and pensions and abolishing "numerous undeserved benefits and privileges." The union also demands that the Government, by controlling and preventing imports and encouraging domestic agricultural and food production, promotes a reduction in food prices. HUS also requires that the Government protect interest rates on loans for citizens in negotiations with banks and ensure necessary liquid funds for maintaining production, while requesting local government bodies to reduce and freeze utility prices.

Regulating salaries should be left to social partners through collective bargaining, in which employers are asked to reduce the number and amount of managerial contracts, HUS states, adding that part of the profit that is "extravagantly used for personal consumption" should be directed towards the necessary increase in workers’ salaries. To protect all employees in Croatia, HUS seeks an agreement on the urgent drafting of a General Collective Agreement, the statement concludes.

On Wednesday, the Government proposed to social partners a freeze on all salaries in the country for one year due to the impact of the global financial crisis on Croatia. Yesterday, this proposal was rejected by the Confederation of Independent Trade Unions of Croatia (SSSH) and the Independent Croatian Trade Unions (NHS), while the Croatian Employers’ Association (HUP) publicly supported the Government’s proposal. A new meeting of the Government, HUP, and the unions is scheduled for Monday. (H)