Public servants wage talks
GPSU to call for arbitration

Stabroek News
October 27, 2002

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The Guyana Public Service Union (GPSU) has signalled its intention to move to arbitration after being unable to reach an agreement with the government on wages for 2002 for public servants.

The move follows a deadlock after several conciliation meetings between the two parties. A formal letter indicating the union's intention is expected to be forwarded to the Ministry of Labour tomorrow.

Reached by Stabroek News yesterday GPSU President Patrick Yarde indicated that the union had decided on this action following Thursday's conciliation meeting between it, the Public Service Ministry and Chief Labour Officer, Mohamed Akeel.

Negotiations between the sides which have been ongoing for the last eight months have seen them fail to agree on an acceptable package for public servants for 2002.

Government in its proposal suggested a 3% increase for 2002 which it says is its best offer in light of the prevailing economic conditions. This offer has been rejected by the GPSU which in turn proposed a minimum wage of $32,832 per month - an increase of 64%.

The GPSU in its proposal said that the Consumer Price Index (CPI) is projected to see a steady increase by year-end rendering government's offer insignificant.

Further it said that the government-proposed $20,646 will have a real value of 19,048 as of December 31, 2002 once the CPI keeps increasing.

According to the union with employment levels remaining relatively unchanged in the public sector as shown in the Bank of Guyana half-year report of 2002, it is strange for government to claim that employment costs are exceeding targets by $101M.

The government and the GPSU also deadlocked over wages for 2001 and the government went ahead with a payout that was far below what the union had sought. That matter is now in court. The government has argued that the Armstrong Arbitration Tribunal awarded two massive increases to public servants for 1999 and 2000.