Parity, sustainability among factors considered for 8 per cent increase
– Finance Minister
The government took a number of factors into consideration when finalising the eight per cent salary increase for public sector workers.
Senior Minister in the Office of the President with Responsibility for Finance, Dr Ashni Singh, defended the decision during a recent interview.
He said that among the factors considered were the sustainability of an increase across the sector and issues of parity—including parity with the private sector.
“So, whatever level of salary increase is granted will reflect an optimal balance of all the factors that are under consideration… we have an obligation as a responsible government, to be mindful of the consequences that flow from the salary increase that we grant. We have to ensure that it doesn’t create distortions in the economy, more broadly, we have to ensure it doesn’t have inflationary consequences,” Dr Singh explained.
Therefore, he said, all of those considerations are weighed by the government when determining the final salary increase to grant.
On November 17, President, Dr Mohamed Irfaan Ali, announced an eight per cent across-the-board retroactive increase to public servants, teachers, members of the disciplined services, constitutional office holders, as well as government pensioners.
The announcement marked only one in a number of government incentives aimed at providing and improving disposable incomes for public sector employees and Guyanese as a whole.