Ali draws ire over defence of imposed pay hike

President Irfaan Ali addressing the nation yesterday morning from the lawns of State House
President Irfaan Ali addressing the nation yesterday morning from the lawns of State House

President Irfaan Ali on Friday drew rebuke after a bid to push back against criticism of his government’s imposed 7% pay hike for public servants, with the workers’ union maintaining that the administration broke the law by ignoring the agreed collective bargaining process. 

In an address to the nation, Ali accused “so-called” trade union leaders of acting like political operatives in their reaction to the announcement of the increases just over a week ago. Trade unions and the main opposition are among the groups that have decried both the size of the increases in the face of the rising cost of living as well as the government’s unilateral imposition of them despite the calls for negotiations by the Guyana Public Service Union (GPSU).

“I appeal to the unions to take off their political hats and put on the hat of reality, the hat of fairness, and, in a comprehensive way, they too should applaud the government,” Ali, however, said in his address, in which he emphasised that his government was not only focusing on salary increases but the welfare of the people.

Ali, who argued that public service workers were better off under the current administration, did not address criticism over the government’s failure to engage the union, which had been seeking to start negotiations since last year.

Earlier this week, the GPSU and the umbrella body, the Guyana Trades Union Congress (GTUC), wrote to the President requesting an audience to further discuss wages and salary for public servants.

But up to yesterday First Vice President of the GPSU Dawn Gardener told this newspaper that there was not even an acknowledgment from the government.

“He eyes pass us,” was her response to Ali’s comments on labelling trade union leaders as “political operatives.” Gardener said instead of the president making a long-winded address to the nation to try to justify the increase, he should have used the opportunity to explain why government failed to enter into a collective bargaining agreement and announce whether he has plans to meet with the unions in the future.

“Only a few months ago the president told us to brace for increase in cost of living and then he gives [a] 7% increase that does not work. He does not shop at the same place we do and he enjoys a tax-free salary while we have to pay taxes,” she lamented.

Gardener added further that even if government wanted the union to accept the increase, it could have invited its representatives to a meeting and “beg them” to do so. She said the complete disregard by Ali’s administration is disrespectful to not only union but public servants.

Section 23(1) of the Trade Union Recognition Act of 1997 states “Where a trade union obtains a certificate of recognition for workers comprised in a bargaining unit in accordance with this Part, the employer shall recognize the union, and the union and the employer shall bargain in good faith and enter into negotiation with each other for the purpose of collective bargaining.”

Guyana is a signatory to the International Labour Organization (ILO) conventions on settling labour disputes and the GPSU has frequently accused the government of flouting both the law and the ILO conventions.

‘Departure’

In a subsequent response to Ali’s address, the GPSU’s leadership yesterday said Ali’s attempt to explain to the nation that the imposed increase was sufficient did not take away the fact that the process used was unlawful.

“The GPSU would like to reiterate that the government’s conduct in this matter was unconstitutional and unlawful, as well as, in conflict with the relevant legally binding agreement between the GPSU and Government of Guyana. It is also a departure from recent personal public commitments given by President Ali to act in accordance with the Constitution and Laws of Guyana and consistent with his Oath of Office,” it said in a statement issued last evening.

As a result, the GPSU reiterated its week-old call for the 7% increase to be treated as an interim payment and that it should be tax-free pending the outcome of the “legitimate” negotiation process.

The union accused the Ali administration of frustrating the collective bargaining process and ignoring the requirements of the legally binding Agreement for the Avoidance and Settlement of Disputes signed between the GPSU and the Ministry of the Public Service for the Government of Guyana. “As if this was not enough, President Ali acted out a charade, where he impressed the nation that talks were on going with GPSU, even though the Union was never granted audience. This was blatantly misleading and was capped by [Public Service] Minister [Sonia] Parag’s addition that time to undertake the process was insufficient,” it added.

The GPSU added that it has always decried governments’ hijacking of the collective bargaining process, while noting that this was done repeatedly throughout the PPP/C’s previous 23 years in office and even under the recent APNU+AFC administration.

During his address from the lawns of State House, Ali argued that measures introduced by APNU+AFC were burdensome on public servants and he accused the unions of being silent during that period.

Ali reminded the nation of the menu of measures his government implemented from the time of assuming office to cushion the impacts of COVID-19 and most recently the measures to reduce cost of living by reducing freight costs. He made reference also to the one-off COVID-19 cash grants and the return of grants for school children.

Ali also sought to explain the $10 billion budgetary allocation for public sector wages and salaries, which he noted was never intended for annual increases.

“I am seeing a new narrative that the budget had $10 billion for salary increases—how far from the truth. There is a line item that deals with wages and emoluments. Dr. Ashni Singh has time over time went at pains to explain that this is not only for salary increases this is for adjustments of salaries for salaries during the year,” Ali explained.

He added that the allocation was made to cushion promotions of officers at government agency, workers moving up the salary scale, new employees and revised salaries.

Meanwhile, Leader of the Opposition Joseph Harmon at press conference held a few hours after Ali’s address said he was stunned by Ali’s position.

He condemned the attack on the union leaders, while reiterating that Ali and the government are the ones who violated the law by failing to negotiate with the unions before announcing the increase.

Harmon said Ali and his government continue to boast of Guyana being one of the fastest growing economy in the country but the claim is not reflected in the livelihoods of the people. He said the imposed increase does not align with government’s statement. 

Last Thursday, Singh announced a unilateral across-the-board increase of 7% for all public servants, teachers, members of the Disciplined Services, constitutional office holders, and government pensioners. The increase is retroactive to January 2021.