Senior Multimedia Reporter
radhica.sookraj@guardian.co.tt
If the proposed pay hike by the Salaries Review Commission’s (SRC) 120th report are implemented, taxpayers will face a significant financial burden while trade unions will intensify calls for fair wages.
These were the predictions of economist Indera Sagewan and political analyst Shane Mohammed as they responded to the proposed increases, which include over $1.1 million in back pay for Prime Minister Dr Keith Rowley and $43.2 million for politicians.
Speaking to Guardian Media, Sagewan said the timing and magnitude of the proposed salary hikes were likely to fuel public frustration.
“Even without this decision, the trade unions would have agitated. Wages and salaries in the country are simply not keeping up with the cost of living. It’s no surprise that trade unions are now pushing harder for increases,” she said.
“The decision to award significant salary increases to key public officers has aggravated the situation. The Government has not shown solidarity with the struggles of the citizenry. If the public purse cannot afford higher wages for regular people, senior officeholders, particularly the Prime Minister, should lead by example and stand with the public. They should wait until the country’s economic fortunes improve.”
The SRC’s recommendations propose back pay exceeding $150 million for 118 offices, including significant payouts for MPs and Cabinet Ministers.
Sagewan noted that the Government could have approached the issue differently.
“If a clear signal had been sent by the Government to stand in solidarity with the economic realities of the country, the current level of agitation could have been avoided. These recommendations were poorly timed, particularly with an election so close,” she added.
She also warned of broader repercussions.
“I have no doubt that there will be broader protests and strikes. Workers see the four per cent offer as a slap in the face compared to the increases proposed for officeholders. People are not going to sit quietly while they feel left behind,” she added.
Sagewan emphasised the financial strain the proposed increases would place on the State.
“Any additional expenditure is a burden on the State. The Government has already reduced programmes like GATE, citing financial constraints. Yet, these salary increases send a contradictory message.”
She added, “We’ve been told to tighten our belts, but the Government is creating more recurrent expenses. If these salary increases go through, the state will face an even heavier financial burden, and the public will feel it through taxes or reduced services.”
With general election set for 2025, Sagewan said the issue could sway voter behaviour in the marginal seats.
“This is going to become a contentious issue. Core supporters may stay neutral, but discerning voters in marginal seats will be impacted. The Opposition will leverage this, and they should. They’ll position themselves as being aligned with the citizenry’s struggles.”
‘Proposal comes amid significant economic challenges’
Meanwhile, political analyst Mohammed echoed these concerns, saying the proposed increases come amid significant economic challenges. He said the West Indies Group of University Teachers (WIGUT) has done yeoman service for education.
“Protests are a right, but they should not curtail the comfort of the general public. Students should not face uncertainty with exams, and citizens should not deal with low voltage or outages. Those on the bargaining side must find a balance between their rights and their duty to the public,” he advised.
Mohammed added, “The Government’s failure to address fundamental issues like wages, infrastructure, and public services has created a credibility gap. What we saw with the floods in Diego Martin, Debe, and Penal is emblematic of the broader inefficiencies. This kind of distraction doesn’t help the country’s growth.”
He also said the Government’s approach to wage negotiations has been inconsistent. “The Government expects high performance from workers, but their actions contradict their rhetoric. They’ve been in office for ten years and still have outstanding wage negotiations. That’s unkind and disingenuous to the workers who’ve continued to deliver despite these challenges.”
He said this highlighted the need for economic strategies to address long-term growth.
On the international front, Mohammed noted the importance of planning for potential changes in the global economic landscape.
“The Dragon gas deal and the US administration changes in January require careful attention. Both the Government and Opposition need contingency policies to ensure the country’s economic resilience,” Mohammed added.
