You are here

Message for wage cut in public sector

16/07/2013 14:15
Finance Minister, Haris Georgiades sent on Tuesday a message of further reduction in the state payroll.

Speaking to a press conference, the first after a long time, the Minister who was responding to a question, stated emphatically that "wages are not guaranteed by statements but real possibilities of public finances”.

He clarified that the position expressed last Friday by President Anastasiades that wages in the public sector will not be cut further is valid and added that this position does not include cuts in overtime or shift allowances.

"Overtimes and shift allowances will certainly be cut" the Minister reiterated.

He explained that one of the key measures to reduce the state payroll will be zero recruitment in the public sector, which, he said, will bring large savings in state funds.

Referring to the upcoming assessment of the implementation of the loan agreement, Mr. Georgiades expressed optimism that the Cypriot side will have a good result because the government "worked very hard all this time."

He pointed out that there will be more measures that will not be under a new memorandum. He explained that the program of implementing the Memorandum is not static.

"Besides," he added, “the duration of the loan agreement now started and will be completed in 2016. Therefore, the consolidation program continues”.

He clarified that it is not easy from the Cypriot side to differentiate basic provisions of the memorandum and if we want to get rid of the memorandum as soon as possible, the best way is its consistent and full implementation.

The reports relating to the actuarial study of the Social Securities Fund and the social benefits will be ready in the next few days.