Talks on salary hikes for public sector employees hit the rocks

Talks between government representatives and labor unions on wage increases for public sector employees as of September have hit the rocks. The government rejected the unions’ demand for a 10% pay rise for all, arguing that the funds are not available, and offered instead to increase the salaries of only the lowest-paid employees, such as janitors, cleaners and cooks, by three to five percent. The unions rejected the offer and will meet on Monday to consider their next course of action, including a possible strike.

Czech Labour and Social Affairs Minister Marian Jurečka said he was disappointed by the outcome of the talks, adding that the government had offered what it could afford. He said that for next year the cabinet is counting on a five percent increase in salaries in the public sector, which should amount to CZK 20 billion in state funds.