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Unions: Budget falls ‘woefully short’

October 10, 2023
in News
Unions: Budget falls ‘woefully short’
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Trade unions say the 2024 national budget fel “woefully short” in reaching people of lower income.

In a joint statement from the Joint Trade Union Movement (JTUM), The National Trade Union Centre (Natuc) and the Federation of Independent Trade Unions and NGOs (FITUN) yesterday, union representatives said more could be done to address the vulnerable of society.

Unions, according to the statement, had estimated approximately 450,000 people earning less than $5,000 a month, which it said was contrary to Minister of Finance Colm Imbert’s figure of 196,000 persons working for minimum wage. A $3 increase in minimum wage, it said, was a “blatant insult” to workers.

“Before, a minimum wage worker received $3,032 per month, barely covering rent alone. Now, the Minister of Finance and this administration are saying that $3,553 should suffice. At the same time, he insists on bringing Property Tax, which will immediately increase rent, which most minimum wage earners are paying,” it said.

The unions said no consideration was given to reviewing the four per cent wage offer which had not yet been settled.

In addition, it said, the groups challenged the minister’s statements concerning raising the age of retirement from 60 to 65. The labour movement, the statement said, had been very vocal against this change.

The increase in age, it said, had been suggested to address a gap in the National Insurance Board (NIB) revenue and benefit payments. However, the statement said nothing had been suggested to deal with the cause of these gaps. Young persons with decent jobs, the statement said, could close the gap instead of having to work longer.

“Our society has a short life span (for various reasons), and as such, most are not able to reach 60 to enjoy the benefits they worked so hard for. Now, you have added another five years to the struggle just to get (National Insurance) NIS with no increase in the NIS pension.”

“Further, most of our young people do not have job security, so therefore they leave Trinidad to seek job opportunities with better benefits, while those that remain, many are now living on month-to-month contracts with no terms and conditions,” the statement said,

The statement added that both the country’s gas and energy sectors had declined. It said the Government had viewed its citizens as wards of the State and not active contributors to its development.

It said a living wage should be offered in lieu of the minimum wage.

“There is no doubt in our minds that the S17.50 minimum wage cannot and will not address the essential needs of a family who will now receive the $20.50 per hour. The figure translates to $3,553 per month, and while some may argue that it is better than no increase at all, one must look at the fact that the figure is woefully low, given our economic realities.

“One must also ask why the Government continues to pay minimum wage and not a living wage, which demonstratively is in the best interest of the economic development of our country. We in the trade union movement will not thank the Government for the increase in the minimum wage since that increase is what we call subsistence wages and starvation wages,” it said,

Unions, the statement said, condemned the budget as they said, there were no policy decision fiscal measures to address the redistribution of wealth.

“The labour movement will continue to argue that we must find a path that can successfully reduce the political influence of the elite and the formulation and implementation of public policies. We must demand that more transparent and accountable government policies be promoted,” it said.

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