Jagdeo’s staunch defence of gov’t’s 6.5% salary increase cannot ignore the elephant in the room – where is all the oil money going?

Dear Editor,

In a move that has sparked discontent among Guyanese public servants, on Thursday, Vice President Bharrat Jagdeo staunchly defended the government’s decision to grant a 6.5% salary increase. This increase, without any prior collective bargaining between the government and labour unions representing the workers, raises serious questions about the fairness and adequacy of the adjustment. The context of Guyana’s economic landscape adds fuel to the fire. The People’s Progressive Party (PPP) regime has enjoyed substantial increases in per capita income since the onset of oil production. This raises eyebrows about the distribution of wealth in Guyana. As oil revenues flood the nation’s coffers, the glaring absence of a proportional and fair wage increase for public servants becomes even more conspicuous.

Despite Guyana experiencing a remarkable surge in per capita income, the 6.5% increase falls woefully short of addressing the pressing needs of the workforce. With an inflation rate standing at more than 6.7 percent, the meager salary adjustment hardly keeps pace with the rising cost of living. The government’s failure to engage in collective bargaining further exacerbates the sense of neglect among the labour force.

Food prices – a significant component of daily expenses – have surged by a staggering 14 percent, according to the World Bank. Public servants, already grappling with the challenges of inflation, find themselves further burdened by the escalating costs of essential commodities. This places an undue strain on the very individuals who form the backbone of public services, raising questions about the government’s commitment to their well-being. The importance of the public service cannot be overstated. These individuals play a vital role in maintaining the functioning of essential services, and their dedication deserves recognition through fair compensation. The 6.5 percent increase, however, not only fails to acknowledge their contributions but also sends a disheartening message about the value placed on public service.

One cannot ignore the elephant in the room – where is all the oil money going? The government’s decision to allocate a mere 6.5% increase to public servants prompts skepticism about the equitable distribution of the nation’s newfound wealth. As Guyana’s annual income from oil sales to the public sector workers comes under scrutiny, criticisms emerge regarding the transparency and fairness of the allocation process. Public servants, who work tirelessly to ensure the smooth functioning of government services, deserve more than a token increase. The insult lies not only in the inadequacy of the adjustment but also in the lack of consultation and negotiation. Collective bargaining is a fundamental pillar of fair labour practices, and its absence in this scenario raises concerns about the government’s commitment to fostering a just and collaborative working environment.

Sincerely,

Mark DaCosta