Cabinet discusses 2011 draft budget ahead of meeting with TUs and employers

The Czech cabinet met on Wednesday to discuss the draft state budget for 2011, but stopped short of approving proposed cuts in spending in view of a scheduled meeting with trade unions and employers on September 14th. Prime Minister Nečas’ cabinet, which has vowed to reduce the country’s ballooning deficit and achieve a balanced budget in 2016, has come under pressure from trade unions and the opposition for seeking to push through salary cuts and effect far-reaching changes to the labour code. A protest demonstration has been scheduled for September 21st, but the prime minister has made it clear that most of the austerity measures proposed are not negotiable.