Private-sector employers offer 1.33 percent salary hike

June 24, 2014

Leaders of the Costa Rican Union of Private Sector Chambers and Associations (UCCAEP) on Monday evening presented the National Wages Council with their wage-hike proposal for the private sector. The proposal would change wages for the second half of the year.

Employers proposed a wage increase of 1.33 percent, a much smaller amount than the 4.12 percent requested by workers’ unions last week.

UCCAEP members at the hearing said their proposal is based on accumulated inflation during the second half 2013 and on estimated inflation forecasts for the second half of this year by Costa Rica’s Central Bank (BCCR).

As of May, accumulated inflation was 3.75 percent, according to the BCCR.

“We must be aware that the country’s production figures are not growing enough to approve higher salary adjustments,” economist and UCCAEP Director Luis Mesalles said.

But the secretary general of the National Association of Public and Private Employees, Albino Vargas, disagreed, saying that employers’ reasoning is “getting too old.”

The union leader said negotiations would be a major test for government officials: “If they accept the employers’ arguments, they would contradict recent statements by President Luis Guillermo Solís about fighting inequality in the country,” he said.

The proposals will be evaluated by Labor Ministry officials, and on Wednesday members from all three sectors will gather to negotiate an agreement on a final figure that would take effect next month.

Records from the Social Security System in April show that 1.3 million employees work in the private sector. But the wage increase is only mandatory for workers earning minimum wage, according to the country’s labor laws.

Facebook Comments

You may be interested

Costa Rica approves law against child abuse prepared by alleged victims of priest
Costa Rica
1 views
Costa Rica
1 views

Costa Rica approves law against child abuse prepared by alleged victims of priest

AFP and The Tico Times - April 24, 2019

Costa Rica’s congress approved on Tuesday a bill that extends the statute of limitations for the crime of sexual abuse…

International drug rehab in Costa Rica with the Costa Rica Treatment Center
Sponsored content
8 views
Sponsored content
8 views

International drug rehab in Costa Rica with the Costa Rica Treatment Center

The Tico Times - April 24, 2019

Costa Rica Treatment Center understands the process of addiction recovery from personal experience. Their evidence-based treatment programs are engineered to…

Costa Rica meets with Inter-American Commission on Human Rights to discuss Nicaragua, Venezuela, indigenous rights
Costa Rica
11 views
Costa Rica
11 views

Costa Rica meets with Inter-American Commission on Human Rights to discuss Nicaragua, Venezuela, indigenous rights

Alejandro Zúñiga - April 23, 2019

Costa Rica’s Minister of Foreign Affairs, Manuel Ventura Robles, met with the Inter-American Commission on Human Rights (IACHR) this week…

Do NOT follow this link or you will be banned from the site!