The Croatian government has increased VAT from 20% to 23% and introduced an additional 3% income tax on wages and pensions as part of its response to the current crisis. The SSSH trade union confederation attacked the proposals arguing that it would lead to a cut in consumption and so undermine economic growth. The 3% tax increase was supposed to be implemented on monthly salaries above 3000 kuna (€400) but there was further union anger when the finance minister suggested that the tax increase should be applied to all salaries.
Read more at > SSSH (EN)
Unions attack latest government proposals on the crisis
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Unions reject latest pension proposals
Unions in local government have rejected the government's latest proposals to change the pension scheme as worse than earlier proposals that led to massive support for strike action. In order to avoid the strike, the government withdrew plans to end the 85 rule which allows local government workers to retire on a full pension at 60 if they have 25 years' service. But now the government has come back with similar proposals and a plan to increase workers' pension contributions. Read more at > UNISON
Confederations react to latest pension proposals
Government proposals to reform the pension system have yet to convince the three main trade union confederations – the ACV/CSC, ABVV/FGTB and ACLVB/CGSLB. While they welcome achieving the aim of a minimum pension of €1500 (monthly amount will reach €1630 by 1 January 2024), they are concerned about the tougher rules applying to the 20 years of work required to achieve the minimum and the fact that periods of unemployment will not be taken into account. With the plan to increase the retirement age to 67 by 2030, the unions are also disappointed that there are no proposals on early retirement or
Union attacks discriminatory proposal to ban headscarves
The FOA public services union has rejected a proposal that public sector workers should be banned from wearing headscarves. The union argues that there is no need for such a ban which would introduce a form of religious discrimination into public sector recruitment when it was important to broaden the labour market from which public sector employers recruit. The ban has been proposed by Martin Henriksen an MP from the Danish People’s Party and has been compared by FOA to the notorious Berufsverbot in West Germany in the 1970s that imposed political restrictions on civil service employment.