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Next Previous DEC and PEO proposals to the government to tackle inflation HOME • INSIDER • CYPRUS • DEC and PEO proposals to the government to tackle …
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Suggestions and positions from PEO & nbsp; and DEOK to President Anastasiadis to deal with inflation trends and accuracy.
What are the suggestions of PEO
PEO publishes its suggestions to the President of the Republic Nikos Anastasiadis for dealing with the inflationary tendencies.
Specifically, in a letter to President Anastasiadis dated On May 16, the PEO suggests that the EU's policy of easing fiscal indicators during the pandemic period continue as long as the effects of the war in Ukraine and the EU work out. new support programs especially in the field of energy and to provide additional relaxations in terms of the possibilities of reducing VAT rates.
READ ALSO: & nbsp; War, inflation and development in Cyprus – Eurozone
Regarding the Recovery and Sustainability Plan as well as the state budget, it is suggested to accelerate projects that will help the development of e.g. projects in the construction sector, in the field of oil dependence and green transition and re-targeting priorities by utilizing more resources from the Development and Sustainability Plan to strengthen social cohesion.
To address the accuracy, it is proposed to reduce the VAT on electricity to 9% for as long as the problem with increased prices lasts, to create an energy poverty fund with revenues from the trade of pollutants, the resources of which will be used to support vulnerable groups. inclusion of all low-income retirees in the special electricity tariff, abolition of double taxation on fuel, reduction of VAT on basic necessities, food, medicine, etc., utilization of the possibility of imposing a ceiling on basic necessities, fuel and cereals, increase controls to combat notoriety.
The PEO also proposes measures to support the purchasing power of income by increasing social benefits, stating that it is strongly opposed to the proposal to suspend the payment of ATA for 2022.
He also suggests to ensure the sufficiency of cereals, by reviewing the decision to abolish the Cereals Committee and utilization by the state, it is necessary to utilize the Silos of the Cereals Committee and proceed to the import of cereals, in order to have sufficient quantities in the market. >
As part of social policy measures, it is proposed to subsidize boarding schools for infants, toddlers and school-age children with socio-economic criteria, to subsidize rent to low-income families and young families, to expand the criteria and increase sponsorships for all housing projects and to examine the possibility of using resources from the Recovery and Sustainability Plan for social housing programs.
The PEO also introduces measures to restructure work and ensure a minimum wage and basic rights for all employees and calls for basic rights such as ATA, 13th salary, overtime compensation for those employees who are not covered by Collective Bargaining Agreements and to enter into regular employment contracts. to ensure the implementation of the basic terms of the sectoral Collective Bargaining Agreements for all employees in the sector.
DEOK submitted proposals to the Government
Government proposes a series of proposals aimed at tackling the effects of inflation and precision.
Through a letter, DEOK notes that in the current situation, what matters is the support of vulnerable social groups and the protection of workers' incomes from the corrosive pressures of uncontrolled precision.
In this context, the full restoration is underlined. the institution of the ATA as a wage protection mechanism becomes imperative. In addition, the institutionalization and immediate implementation of a general minimum wage with integrated ATA will make a significant contribution to supporting low-income workers at risk of poverty and social marginalization. & Nbsp;
DEOK proposes the implementation of an emergency support plan for all beneficiaries of social welfare benefits. In addition, in order to support households and vulnerable social classes, it proposes that 5% of VAT receipts be transferred to the Social Cohesion Fund.
Other measures proposed by DEOK are the extension of the reduction of taxes on fuel and electricity until the end of 2022, as well as the strengthening of the staffing of the Consumer Protection Department of the Ministry of Commerce in order to intensify market controls and crack down. phenomena of unfair commercial practices and scandal. The union also suggests the establishment in Cyprus of the Commissioner for Consumer Protection, which will effectively contribute to the protection of consumer rights and to address the distortions created due to the special characteristics of the small market of Cyprus.
In addition, DEOK proposes the imposition of a ceiling on the prices of basic consumer goods, the implementation of an emergency program aimed at financially supporting households and businesses affected by the energy crisis, as well as the allocation of tax incentives for investments in the field of renewable energy. Finally, the union proposes a plan to subsidize the cost-of-living inflation of first couples, as well as to subsidize businesses to create jobs in the sector. of RES.
