So, it appears Curaçao will grant a fixed one-off “compensation” of 1,750 Netherlands Antillean guilders gross to its civil servants later this month, despite earlier reservations expressed by Governor Lucille George-Wout regarding the draft National Decree. The original plan had been to give back half the vacation pay or 3%, but agreement could not be reached with the Dutch government on terms to begin gradually removing the 12.5% reduction in public sector benefits that was required for COVID-19 crisis liquidity support, while local labour unions refused to jeopardise their members’ rights to the entire amount.
St. Maarten paid the full 6% allowance three weeks ago, Prime Minister Silveria Jacobs told Parliament last Friday, seeking its approval after-the-fact for an amendment of the law that introduced the cuts to make this possible. When asked whether that meant phasing these out had now started, the answer was that it is the intention to do so as soon as possible.
This is important because neither of these two Dutch Caribbean countries complied yet with conditions to slowly reverse the austerity measure set by the Kingdom Council of Ministers RMR. Aruba did and received blessings from The Hague to restore 5% of the 12.6% its government personnel contributed.
However, both Curaçao and St. Maarten are now handling one of the main pending pieces of legislation to standardise top incomes in the semi-public sector. They have thereby shown a clear commitment to comply.
Some relief for this group is probably adequate also considering fast-rising consumer prices. More purchase power can help local businesses dealing with higher costs survive as well.
With current kingdom relations a bit less volatile than in the recent past and an apparent spirit of improved understanding, legal technicalities regarding this matter should not be allowed to needlessly undermine generally positive developments. Political authorities and officials on the islands are trying hard to work with counterparts in The Hague to make things better for their people, which should ultimately remain everybody’s goal.