Daily News Hungary economy

The head of Hungary’s National Association of Local Councils (TOOSZ) pressed for an agreement with the central government on wage top-ups for public sector workers in municipalities that cannot cover higher payroll costs, in an interview published by daily Magyar Idők on Monday.

“I’m certain that negotiations will continue and a solution will be found. It may sound strange to some, but there is no other option. The elections can’t be run while there’s such a discrepancy in public sector pay,” Jenő Schmidt told the paper.

“The government offices are the children of the cabinet. Even though one loves their own children more, they still have to care for their adopted ones, too. It has to be the same in the public sector: the wage system has to be managed as a whole,” he added.

Schmidt said the chances of reaching a wage agreement were increased by a deal already reached with the State Treasury on pay rises.

A top-up for local councils that cannot increase the wages of staff from their own resources would cost the central government 25-30 billion forints (EUR 80m-97.4m) per year, he said.

Source: MTI/Magyar Idők

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