Cyprus Mail
Cyprus

New meeting on pay cuts decision next Monday will include AG

Costas Clerides

The new meeting between party leaders and the presidential palace on the administrative court’s decision to restore public sector wage cuts is to take place next Monday with the participation of the attorney-general, CNA reported on Wednesday.

Political parties generally agree on the approach recommended by the government on how to tackle the problems created by the recent court decision that pay reductions imposed on civil servants as part of an austerity drive in 2012 are unconstitutional.

To tackle the possible financial fallout, the government has decided on a two-pronged approach, first to appeal the court decision and second to put in place measures that would offset the fiscal impact, if necessary, supported by amending the constitution.

On March 29 the administrative court upheld appeals filed by civil servants, ruling that a freeze of incremental pay rises, a 3 per cent contribution to pensions, and a reduction in civil servants’ pay was in violation of article 23 regarding the protection of the right to property.

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