Croatia Cuts Civil Servants' Salary Supplements

As a part of budget rebalance, Croatian Ministry of Finance is planning to cut some of salary supplements in the public sector.

Government is seeking a way to cover their budget deficit which will probably reach more than 2 billion euro or 4.8 per cent of annual GDP, which is 0.2 per cent more than envisaged in talks with the European Commission.

Apparently, these supplements increase the total mass of basic salaries for 15 per cent. Supplements are a part of collective labour agreements and numerous by-laws.

There are 367 possible different salary supplements in state services (judicial and customs officers), public health system, education, science, culture, police and military.

They vary from 5 to 40 per cent, depending on the supplement. Most of them are common, supplements for an overtime work, physical disability supplements or children supplements.

Additionally, some include special supplements for working in especially hard conditions, working with heavy physically disabled people or those for life risking professions (demining professionals, firemen, etc.).

Nevertheless, people working in administration receive some supplements that are probably those the Government plans to abolish.

Economy expert Damir Novotny told BIRN that this represent ‘small steps taken by the Government’, which will be much harder. According to Novotny the total sum of salaries in the public sector should be cut.

“This cut of salaries in the public sector should be done differentially, keeping the wages in sectors important to the Government, but cutting those the majority of others,” said Novotny offering his solution of cutting expenses.

“Due to the procedure of reducing the budget deficit, this is...