~ Govt. urges civil servants: ‘Bear with (us)’ as measures are temporary ~
PHILIPSBURG--Government presented a second proposal for cost-cutting measures to unions on Wednesday and urged civil servants to bear with the administration as these measures are just temporary as the country continues to combat the financial and other effects of the coronavirus COVID-19.
The second proposal includes deferring bonuses to 2021; cutting the budget for uniforms; reducing vacation pay by 50 per cent; and reducing gross salaries of more than NAf. 8,000 per month by 10 per cent until the end of 2020.
The second proposal replaces the first proposal which included ministers cutting their own salaries by an additional five per cent which would bring the total cut to 20 per cent; 10 per cent cut in salaries of civil servants earning more than NAf. 8,000 per month; cut in the 2020 vacation pay of persons who earn more than NAf. 4,000 per month; and the freezing or postponement of bonuses, etc. The additional five per cent salary cut for ministers has already been agreed on to go into effect.
A press release issued by the cabinet of Finance Minister Ardwell Irion on Thursday evening stated that none of the proposed cost-cutting measures would apply to anyone earning less than NAf. 4,000. The second proposal was presented to unions during a second meeting with the Council of Ministers on Wednesday, May 13. Some of the suggestions directly affect civil servants, hence the necessity to discuss the measures with the Committee of Civil Servants Unions (CCSU) spokespersons.
Prime Minister Silveria Jacobs said in the release that while it had never been the intention to cut civil servants’ salaries, after assessing the economic fallout, few options were viable.
“With zero tourism since March and the lack of income being generated for the government, the need for liquidity support to be able to meet government expenditures, including subsidy, salary, etc., and finding very little areas from which to cut in an already-lean budget, including the need to support the income of so many citizens who have been without work through the St. Maarten Stimulus and Relief Plan (SSRP),” Jacobs said.
The release said government is currently in a precarious financial position, as COVID-19 has had a significant impact on lives and economies worldwide, and St. Maarten is no exception.
“Though civil servants’ representatives should fight for the rights of the persons that they represent as it is mandated by law, the reality of the situation must be taken seriously. The government is therefore asking civil servants to bear with them, as this will be a temporary measure until the island is better positioned to sustain itself again.
“Ten thousand employees in St. Maarten are expected to be without an income or a reduced income, and government is expected to supplement or at least provide a basic income for said persons via the St. Maarten Stimulus and Relief Plan.”
Irion said that while he understood the unions’ concerns, the current government had taken office and addressed a few key things immediately, including the payment of police officers, an issue not tackled for at least close to 10 years.
“I can say this: this government and in particular myself, as Minister of Finance, will continue to tackle the concerns of the unions. I would like to clarify a few things that were placed in the media and social [media – Ed.]. In our meeting [with the unions] we discussed NAf. 4,000 not touched, NAf. 4,000 and up vacation pay, NAf. 8,000 and up 10 per cent [cut]. Vacation pay is not a contribution of civil servants, but actually an expense of government, as we pay this from our treasury.
“Government's intention is not to punish civil servants or to make them suffer. That is absolutely not the goal, but what we hope to achieve is to provide assistance to our brothers and sisters in the private sector also who will not only have no vacation allowance, but might not have an income for the coming months. I look forward to a fruitful discussion with the unions, and I firmly believe we will leave with a solution in the best interest of the island.”
Now that government has presented its proposal to the CCSU, it awaits further feedback from the unions.
