WILLEMSTAD - The unions representing civil servants in Curaçao have placed all hope in the discussions that the Curaçao government has with The Hague about the austerity problems on the island. The Netherlands makes austerity as a condition for the island to receive emergency loans.
The only question is whether the way in which the Curaçao government implements these budget cuts is correct. According to the announced cutbacks, especially people in the government service will make a lot of sacrifices, while top officials will be spared another year.
In the Dutch Parliament, they responded with surprise. D66, GroenLinks and PvdA want to guarantee that the "strict conditions" will not affect the smallest wallet. But that is what the Curaçao government itself chooses, says Undersecretary Raymond Knops of Kingdom Relations in his answer to the Dutch MPs.
Counter proposal unions
To comply with the conditions of the Netherlands, the Curaçao government has decided to cut 12.5 percent of the fringe benefits of all government. A counter proposal, with alternatives which the unions have made to the government, has been rejected by the unions.
The unions' counter-proposal includes: introducing a new salary structure; the unpaid pay scale; compliance with rules for granting grants and an education covenant. It is, moreover, a series of proposals that were already presented to previous governments.
"Counter-proposal inadequate"
The Curaçao government does not agree with the counter-proposal of the unions: "The proposals made by the unions do not lead to a reduction of 12.5 percent on the total package of fringe benefits for all civil servants."
Minister Armin Konket says the government remains open to constructive consultation with the unions but wants a new counter proposal. “It should be a proposal that contributes to achieving the intended goal and meets the following criteria: Cover employment conditions and all employees. The total budget cuts on the benefits package must also be 12.5%.”
Unions refuse to surrender 12.5 percent
Union chairman (ABVO), Adrie Willems, says that on June 11 and 24, members emphatically rejected the 12.5 percent cut. "If the government does make the decision unilaterally, it will be held responsible for the conflict that has arisen," says Adrie Willems.
“First of all, we are employed by Curaçao and not by the Dutch government. The Netherlands and Committee for Financial Supervision (CFT) cannot decide to put pressure on the government of Curaçao due to the corona crisis," says Willems.
"We believe that the Netherlands should help in a crisis and calamity situation," added the union leader. If the Curaçao government does agree with the cut of 12.5 percent, the unions will challenge it.
Cut back or no salary
According to Minister Armin Konket (Administration and Planning), no one benefits from challenging austerity measures. "The risk we run if we say no to the Netherlands is that we will not have money at the end of August to meet our financial obligations," says Konket.
“If the Netherlands maintains its position, there will be no support for our liquidity. It is unwise to gamble.”