No wide-scale layoff of public sector workers, says Phillips

Ingrid Brown

Saturday, February 11, 2012

FINANCE Minister Dr Peter Phillips says that there will be no wide-scale layoff of public sector workers even as Government moves to reduce expenditure in light of the current fiscal deficit.

However, he would not disclose would be the belt-tightening measures the Government plans to take to significantly slash spending, ahead of the country's return to the International Monetary Fund (IMF) for assistance.

"A solution involving widespread layoffs of public sector workers is not contemplated not feasible and not part of our calculation for the simple reason that close to 80 per cent of the public sector employment is in security education and health," Phillips told journalists at the Jamaica House Press Briefing in Kingston on Wednesday.

These sectors, he said, are essential to maintenance and improvement of quality of life of Jamaican people and any sharp reduction in employment would involve cutting in these sectors which already have service delivery deficit.

"And, so, we don't contemplate layoff as a solution but we are discussing options which is all I am prepared to say at this point because this administration is committed to talking first to the workers and representatives before we talk to anyone else about issues that will affect their well being and livelihood," he said.

According to Phillips, his colleague Horace Dalley, minister without portfolio in the Ministry of Finance with responsibility for the public service, has been engaged in discussions with public sector unions who recognise the extent of the predicament the country faces.

"And we will allow those discussions to proceed," Phillips declared.

Last year, former Prime Minister Bruce Golding announced, during his budget presentation, that some 10,000 jobs would be lost from the public sector over the next five years under a rationalisation programme aimed at saving the country between $40 billion to $50 billion. The restructuring is also expected to improve efficiency and productivity in the sector.