PSA demands could push TT budget deficit to $12B

The budget deficit in Trinidad and Tobago for 2011 will reach TT$12 billion if government agrees to a plan by the Public Services Association (PSA) for an additional $3.3 billion for officers of the civil service and statutory authorities covering the period 2008-2010.

A statement issued by the Government Information Service Ltd (GISL) Monday said the State's recurrent cost would also increase by $3.5 billion annually from 2010. It said that additional cost does not include allowances proposed by the PSA.

It said if government accepts the PSA demands the budget deficit will increase by $4.9 billion and “consume 31 per cent of Government’s projected revenue for fiscal 2011”.

In addition the statement noted that the PSA’s proposal only covers 33,000 civil service employees and workers in statutory authorities. The Chief personnel Officer (CPO) still had to negotiate with 55,000 public officers and daily-rated employees for the period beginning 2008, it said.

The PSA had dubbed Tuesday 'Blackout Tuesday'.

Public service workers plan to gather at the Brian Lara Promenade in Port of Spain and at Market Square in Tobago. In Trinidad, they will march to the CPO's office where a meeting is scheduled between the PSA and CPO to continue negotiations.

The CPO has offered a one per cent increase for then three-year period and insisted that it's the best offer under the present economic circumstances. However the PSA has rejected that outright and is demanding what it calls a "living wage" of a base slary of $6,000 for its members.

The PSA has been encouraging its members to take 'rest days' off from work and also not to do anything when they report for work. The action has affected government operations in key areas, including the heath sector.