WILLEMSTAD – Trade union federation CGTC is calling on the Curaçao government to take more decisive action to protect households from the rising cost of living, as increases in fuel, electricity and water put additional pressure on family budgets.
The warning comes as several basic expenses have risen almost simultaneously. New fuel prices took effect this week, while adjusted electricity and water tariffs became effective on October 1. The government has formally published the new October tariffs.
According to CGTC, the government needs to pursue a serious and coordinated policy rather than rely primarily on temporary measures when purchasing power comes under pressure.
The concerns come at a time when financial vulnerability among Curaçao households is receiving increasing attention. Recent figures cited by the Council of Advice indicate that more than 60 percent of households have difficulty meeting debt obligations, while 30.4 percent of the population was living below the poverty line in 2023.
The government is currently providing temporary assistance of XCG 100 per month to certain vulnerable groups. The measure has been extended through October for qualifying AOV and AWW recipients with annual incomes below XCG 30,000 and for people receiving welfare assistance. However, the current XCG 100 arrangement is not being continued as a separate program in the draft 2027 budget.
Instead, the government plans additional purchasing-power support in 2027, particularly for AOV pensioners whose income falls below the subsistence level. The precise amount and conditions of that assistance have yet to be finalized.
CGTC's intervention adds the voice of organized labor to a growing debate over how Curaçao should respond to higher living costs.
Restaurants have already warned that increases in electricity, water, fuel and food costs are becoming increasingly difficult to absorb without raising prices, while opposition parties have called for measures to compensate vulnerable households.
For workers, higher utility and transportation costs have a direct effect on disposable income, particularly when wages do not increase at the same pace.
The broader concern is that continued increases in essential expenses could eventually affect not only low-income households but also working families that previously had enough income to cover their regular expenses.
CGTC is therefore pressing the government to move beyond short-term relief and develop policies that address the structural pressure on household purchasing power.