This is the message taken to thousands of public servants by Permanent Secretary of the Public Service Ministry Dr. Nanda Gopaul during a series of consultative meetings held at Government Ministries during the last three days.

The 2002 wage negotiations between the Government and the Guyana Public Service Union (PSU) began in April this year.

The GPSU had originally demanded an increase in the minimum wage from $20,045 per month to $32,832 per month, a percentage increase of about 64 per cent over the 2001 figure.

The union said a substantial increase was necessary to allow workers to improve their living standards.

Government’s position is that the improvement of Public Service wages has always been given priority and since the PPP/C Government took office in 1992, wages moved from $3, 137 to $20, 045 by the end of 2001.

At the same time, inflation was drastically reduced, creating improvement of wages in the real sense.

Figures show that while the percentage increase in inflation was 25 per cent, the percentage increase offered to Public Service workers was over 93 per cent during the last four years.

In the negotiations with the PSU, Government pointed to the vast improvement of social services throughout the country and the huge sums of money expended.

The government has increased budgetary allocation for education from $1B in 1992 to $11.8B at present. Health budget moved from $725M in 1992 to $6B to date. Some $12.5B has been expended to expand and improve the supply of potable water during this time span also.

The Army capital budget moved from $7M in 1992 to $245M, while the Police capital budget moved from $45M in 1992 to $500M to date.

At the same time, unemployment dropped from 11.7 per cent in 1992 to below eight per cent at present.

The Government, through sound planning was able to reduce the number of persons living in poverty from 86 per cent of the population to 35 per cent at present. At the same time, inflation, which was at an all time high in 1992, dropped considerably to between 2-4 per cent at this time. Real wages have consistently improved and the per capita income has moved from US$231 in 1992 to US$833 in 2001.

Despite these improvements, the destabilised crime situation as well as political protests in the past, the country experienced a decline in revenue collection.

On the expenditure side, total expenditure amounted to $28,586M as against the targeted figure of $27,966M. This increase in expenditure over the target had to do with employment costs exceeding target by $101M. The purchase of goods also exceeded target by $296.9M.

There were also transfers and subventions, which exceeded target by $404M. Of significance is the transfer to LINMINE of an amount, which exceeded target by $195.9M.

Business activity continues to be depressed as a result of criminal activities of the day. Equally the response of the private sector to these activities is having a telling effect on the economy. As a result, more emphasis will have to be placed on curbing crime, which will see a significant outlay of unanticipated expenditure.

Government had originally offered an increase of three per cent. After 15 meetings between the two parties, talks became deadlocked and arbitration was proposed.

Further disagreements followed over the terms “emolument” and “allowances.”

Government proposed that only wages increase should be settled by arbitration to which the PSU disagreed. Finally, the proposed arbitrator, Fr. Malcolm Rodrigues was unable to take on the job.

Against the background of these disagreements and delays, and after several public servants were requesting payment before the Christmas holidays, Government in the best interest of workers announced a five per cent payout for 2002.

Dr. Gopaul, during his consultations with public servants, explained that a timely resolution through arbitration was unlikely, and the Government felt that a Christmas payout would be appreciated by the majority of workers.

During his meetings, Dr. Gopaul answered several queries made by workers.

The Government minimum wage was almost the same as that paid by the Private Sector and in some cases higher.

And in an interview yesterday on GTV with Mr. Martin Goolsarran, Dr. Gopaul said: “We want to meet with them (GPSU) in January, so that within a few months we can determine the issue of wages for 2003. If they work with sincerity we can reach the stage where the public servants can get something again before March, once there is goodwill on both sides.”

He said the challenge was not made officially, but the Government will soon make it official to the union.

Government has given a commitment, according to Gopaul that “no Public Servant would lose his job via retrenchment,” only if the economy goes dramatically ungovernable. Mr. Gopaul declared that the issue of allowances for Public Servants also has to be dealt with but if the union and the Government do not resolve the wages issue first, and then the issue of improved allowances may take some time.

The Permanent Secretary refuted claims that Public Servants are worst off than they were in previous years. He referred to the formula, which was derived from a previous tribunal to calculate a reasonable increase for workers, which depended on the rate of inflation and the real growth rate of the economy.

He said if the Government had used that formula, it would have only been entitled to pay out to public servants a total of 38.5 percent over the past five years, whereas it paid out some 108.22 %. As a result real wages for public servants increased between 1992 and 2002 by 75 percent as against a decline in the real wage between 1982 and 1992 by 60 per cent.

With regard to discipline, Gopaul is of the opinion that the Government would soon resort to public servants disciplining their colleagues, adding, “we have never heard of a case that when we present it, that we have found (several inefficiencies) against an individual that the union or individuals would say fire them because they have committed a dishonest act.”

He however warned against those who are bent on disobedience and creating unrest, emphasising that it could be to their detriment.

“We will not pay any public servant for not doing any work and we will not encourage civil disobedience, or uncalled for protest actions,” Gopaul stressed.

Dr. Gopaul believes that if the union changes its confrontational approach a lot more could be achieved. Nevertheless, the Public Service Ministry remains committed to working with the PSU on improving the wages and salaries of public servants.

Sugar workers are being offered a 4.5 per cent increase. Traditionally, the productive sectors received an increase of at least two per cent more than the Public Service. This year, because of the prevailing economic situation, they are getting .5 per cent less.

The crime situation, street protests, millions of dollars spent to keep the bauxite industry afloat and low revenue collection, all contributed to the state of the economy.

Government’s payout, which is retroactive to January 2002, is in keeping with ILO Conventions.

Dr. Gopaul urged public servants to have a “degree of trust” in the government, hinting at a better performance in the economy, next year. Dr. Gopaul said Government hoped that there would be an early agreement on wages next year when the economy is expected to recover from its current setbacks.

He told workers: “ We ask you to bear with us. The President is asking you to bear with us. He is urging you to understand the plight of our country at this time.

“We want the Union to fight for the improvement of the workers, but they must also appreciate the conditions facing the country. You cannot make bread out of stone.”