Public servants to expect pay freeze

Published: 6:09PM Monday April 06, 2009 Source: ONE News

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Tens of thousands of public servants are being told to expect nothing, as they head into pay talks with the government.

Finance Minister Bill English says rising debt means any extra money in the upcoming budget will be poured into public services and not into the pockets of bureaucrats.

Police officers are among thousands of public service workers facing the possibility of a 0% pay rise.

The government says it can't afford to give agencies extra money for wage rounds because of rising debt, up from $30 billion to $45 billion.

It is telling public service bosses if they want to reward staff, do it out of their existing funding.

The union says that's devastating news for 10,000 members, including social workers, who are heading into pay talks.

"Our members are not silly about this. They understand the financial pressure that government departments are under. Nonetheless they expect to be able to bargain in good faith," says Brenda Pilott of the Public Service Association.

Previously agreed multi-year contracts with nurses, doctors and teachers are still likely to be honoured.

But others will miss out, including potentially 11,000 police officers.

The police payroll is $850 million a year, in the past six or seven years, increases in general wages and performance pay have been between 5%-7% a year, an extra $42 million to $59 million.

The government says private sector workers are tightening their belts, so must the public sector.

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