The Institution of Statistics reported that for the first time since
2000, public administration employees did not have their salaries
increased. Newly published INSTAT data show that average salary in 2015
raised just to compensate the higher prices.
INSTAT says that the average salary in the state sector increased with 1.8% during the past year, while prices were raised at the exact same level, at 1.8%. This left the average salary unchanged.
INSTAT says this is the first time that salaries in the public administration were not raised higher than the inflation.
However, this is just the average-level indicator. Last year, the government raised salaries for just a specific group of workers. For most of the administration, the salaries have remained unchanged and were even reduced in real terms.
With the IMF agreement, the government is committed to raise the public administration salaries for three years, doing it for only a specific number of groups. Experts of economy have appealed the government to review this policy, which, according to them, is one of the reasons for the shrinking consumption.
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