Finance Minister Thanks Civil Servants Accepting Restructured Compensation Package

Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, has thanked civil servants for accepting the Government’s restructured public-sector compensation package.

Dr. Clarke, who closed the 2023/24 Budget Debate in the House of Representatives on Tuesday (March 21), advised that 95 per cent of public officers have indicated acceptance of the offer, which sees them getting a 20 per cent salary increase over three years, from 2022/23 to 2024/25.

“I thank all members of the public service, which number 105,000. What we have accomplished together… have never even been attempted before, let alone done,” he said.

“This is a historic restructuring… which creates a simple easy-to-understand, fairer and more equitable compensation system that gives us a better opportunity to attract and retain the talent we need,” Dr. Clarke added.

The restructuring exercise is intended to overhaul the system of salaries and other emoluments in the public service, to make it more equitable.

Dr. Clarke reiterated that the new structure comprises 16 pay scales in the core civil service instead of 325.

He pointed out that “we have three additional scales for teachers, healthcare practitioners and security forces that are aligned to the core scale”.

“This represents over three years of work, and that work, no doubt, continues. We thank our partners in the unions, the staff associations and bargaining groups for working with the Government of Jamaica, and for agreeing to that four-year wage deal from 2017 to 2021 that created the space to make the work required for this reform possible,” the Minister added.

Dr. Clarke informed that with the compensation agreement signings, the fiscal risks are gradually receding.

He also told the House that a project is under way to address the payroll system of Government.

“The payroll system… is decentralised and highly fragmented. There is a project under way, as part of our transformation exercise is to address this, and the Ministry of Finance is only a part of the payment exercise,” the Minister said.

During his opening Budget Debate presentation on March 7, Dr. Clarke again urged public-sector groups not yet signing the new compensation scheme to come forward to settle wage agreements.

“I stood here two weeks ago and appealed to the men and women in occupational groups who had not yet signed, and I want to thank all members of the public service who responded positively and decisively,” he said.

These include, among others, rank-and-file police officers, District Constables and members of the Police Officers’ Association, doctors and teachers.

“Over 86 per cent of rank-and-file police officers who voted cast their vote in support of the public-sector restructuring reform, and I want to say thanks. We are working on finalising that agreement and once it is finalised and signed, but only after that, $10.2 billion will be paid out of the Consolidated Fund by the end of March.

“I acknowledge our district constables and pay tribute to them and thank them for coming on board with this reform. Earlier this morning, just before coming to Parliament, I signed the [Memorandum of Understanding]… with the United District Constables Association,” Dr. Clarke informed.

He said while retroactive payments will be paid out this month, these “may not come on the 25th, because a lot of agreements were just signed”.

“Some of them are being signed today [March 21st] but we will endeavour [to ensure] that the funds will leave the Consolidated Fund by the end of the month,” Dr. Clarke stated.