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Some trade unions have endorsed the National Union of Government and Federated Workers’ (NUGFW) agreement with the State for a 10 per cent wage increase, 60 per cent of which will be paid in non-cash benefits.
The agreement, which covers the 2014-2019 bargaining period, will benefit approximately 20,000 workers and cost the State $2.6 billion in backpay, while adding $252 million annually to the wage bill. Of that sum, about $1 billion represents cash payments, with the remaining $1.56 billion to be paid in non-cash benefits.
Contractors and General Workers’ Union (CGWU)president general Ermine De Bique-Meade said her union had no issue with NUGFW workers receiving a 10 per cent increase split between cash and financial instruments, noting that such an approach can benefit workers. She added that non-cash payments for arrears may encourage greater financial discipline, as lump sum cash payments are often quickly spent.
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