Government proposes keeping public servant's salaries unchanged in 2013

The government says the decision was consistent with the efforts to bridge the budget deficit – the difference between public spending and revenue – in an effort to avoid sanctions from the European Union (EU).

"We made a decision that the basic salary – 450 litas – we have had for the past few years should remain unchanged the next year, as well," Prime Minister Andrius Kubilius said after the meeting.

Asked about exceptions for police officers, border guards and other officers who have lately held protest actions, the prime minister said that additional decisions were possible within the boundaries of the existing funding.

In a draft specifying the 2013 basic salary of state politicians, judges and public servants, the Social Security and Labor Ministry said the basic size should remain unchanged, although recognized that the inflation would pull down the purchasing power of public servants next year.

The basic salary, which is multiplied by a certain coefficient to determine the monthly salary in public service, was reduced in the framework of the savings scheme in 2009 amid the economic crisis. Before 2009, the size was 490 litas.

Asked to specify when the size could be increased, the prime minister said it would be possible "as soon as the deficit is no longer a major problem and we are able to implement the tasks under the Convergence Program that we have to implement."

"Please be reminded that it would be good to finish this year with a 3-percent deficit, this is about 3 billion litas in deficit, the plan is for next year to have the budget deficit at 2 percent, and achievement of these objectives is not only a task for us but also a task that is closely followed by the European Union," the prime minister said.

He noted that failure to meet fiscal discipline objectives could lead to sanctions.

"The EU has launched a number of new efficient instruments to monitor and control us in case Lithuania fails to achieve the goals, it also has special measures, for instance, suspension of EU structural assistance," he added.