Raise in salaries not a priority- Latvian PM

Aug 06, 2008
In cooperation with BNS

RIGA – Latvian Prime Minister Ivars Godmanis said that the likelihood of a pay raise for all public sector workers was none this year in an interview on Latvian National Television.

The PM went on to say that the plans and promises to the public workers were made during a time of a more vibrant economy when inflation was not as high as it is currently.

The increases, promised for next year, will be put off for longer, with the final pay off being much lower than promised.

Godmanis said that the government’s priority in the matter is that personal purchasing capacity is not lessened.

Workers are already unhappy about the situation as the budget capacity is already lower than workers anticipated.

The government plans to speak to and work together with the unions about the matter.

The government budget for next year is in the preliminary stages, with plans for a two percent growth. However, international financial experts predict it to be lower.