Catalonia to cut public sector wages next year

Regional premier urges civil servants to ready themselves for sacrifices

AGENCIES Madrid 22 NOV 2011 - 20:49 CET

Catalonia is to cut public sector wages and increase taxes to reap savings of one billion euros next year as it struggles to tame its deficit, regional premier Arturo Mas said Tuesday.

Mas urged civil servants at all levels to gear themselves for sacrifices, adding that higher tax revenues would come from levies on fuel, water and transport. The measures are to be included in the regional budget for next year, which is expected to be approved in February.

He insisted social services would be spared the ax, although cuts in education and healthcare budgets this year have sparked widespread street protests.

The government has set the regions a combined target of reducing their public deficit to 1.3 percent of GDP this year as part of the country's effort to reduce the combined shortfall of all administrations to 6 percent from 9.2 percent last year. Catalonia, which represents about a fifth of GDP, is expected to miss the target. Fitch Ratings said Tuesday the regions represent the biggest risk to the target.

Otras noticias

LATIN AMERICA

Markets predict difficult ride for Dilma Rousseff if she gets re-elected

Brazilian president needs to get friendlier with financiers to push her agenda forward

More children’s bodies identified at Florida school

Names have now been attached to three of the 55 sets of remains found at reformatory in Marianna

Brazil presidential hopefuls remain silent on abortion

With the election just days away, the tragedy of illegal procedures is failing to trigger public debate

Mexican army detains soldiers over massacre

Government had previously claimed Tlatlaya casualties were the result of skirmishes between military and criminals

Lo más visto en...

» Top 50

Webs de PRISA

cerrar ventana