1. Hungarian public sector salary situation from Trade Union point of views 2012. Viktória Szűcs, president of Democratic Trade Union of Crèche Employees

2. Trade Union position is very difficult, and density of TU is not big - The government cuts the rights, and uses the “divide et impera” principle Welfare state since 1990; this is too short period, and the people over 30 were socialized in the previous system so the democratic values are not strong enough.

3. The role of the national wage determination Essentially important, but not exclusive. The basic amount of remuneration (called salary base) is in the annual State Budget Act. There is one condition: it has to be no less than in the previous year. BUT! -Inflation is not followed. -Salary can stay the same; currently for the fifth year unchanged!!!

4. Salary table in the public sector Public services employees: - One table for all: teachers, doctors, nurses, librarians, crèche workers, cleaners, cookers, etc. - base of the wage scale: the combination of the educational level and the number of years spent in public sector. - So, the real gross wage = basic salary + sectorial regulation allowances + if in the collective agreement they agreed on extra allowance.

5. Public sector employees salary table compared with standard and skilled minima wages €/month which were increased by FIDESZ so they have overtaken 63 of its categories. Including some that require a higher educational degree. Salary classes ABCDEFGHIJ Salary degree Gross 2012 net 2012 gross 2012net 2012 gross 2012net 2012 gross 2012net 2012gross 2012net 2012 gross 2012net 2012 gross 2012net 2012 gross 2012net 2012 gross 2012net 2012 gross 2012net 2012 1. 332218386253386253386253386253436285454297463303507332552361 2. 332218386253386253386253386253451295469307486318530347585383 3. 332218386253386253386253386253467306486319509333559366626410 4. 332218386253386253386253386253484317504330532348592388668437 5. 332218386253386253386253386253500328520341555364630413709464 6. 332218386253386253386253386253516338538352583382668438750490 7. 332218386253386253386253386253533349555363618404706462784511 8. 332218386253386253386253393257551361577378652427744487818532 9. 332218386253386253386253405265570373604396687450775505853553 10. 332218386253386253386253416273596390633415721473805524887574 11. 332218386253386253386253428280622408661433751491835542921595 12. 332218386253386253386253438287648425689451782509866561956616 13. 332218386253386253386253448293674442718470812528901583995640 14. 3322183862533862533862534593007004597464888425469376041 033663 Primary schoolVocatoinal schoolSecondary school Secondary school + Vocational school Secondary school + terciari level vocational schoolCollege degree College degree + special tertiary level professional exam UNIVERSITY DEGREE UNIVERSITY DEGREE + HIGH LEVEL PROFESSIONA L EXAM UNIVERSITY DEGREE + PHD.

6. Concrete example from my field: 80% of crèche workers earn less than net 100 000 HUF/month (357 €/month). Out of this 28% earn under net 80-90 000 HUF/month (285-321€/month). The majority of them (54 %) have been working for more than 25 years

7. Price comparison in € PRODUCT: MILK QUANTITY: 1 L

8. In the National Public Service Interest Reconciliation Council (OKÉT) Salary Negotiation (2013). The Trade Unions asked: 1. 20 % salary increase, 2. Further two categories to the National Public Service Employees wages scale, because it jumps every 3 years and the retirement age is 65 now. So the present table does not cover the last years. So does not give the possibility to increase their salary. 3. Equal cafeteria system for public sector and public services workers. City councils representatives agreed with TU-s. The government answers: 1. NO, 2. NO, 3. NO at the same time, the Government: - for the health care employees kept its promise and gave extra money. - for the teachers only promised, but did not keep its promise. -for the crèche workers did not promise anything at all. „Divide et impera”principle

9. The wages and other working conditions, the establishment of local and regional opportunities (Differentiation measure of local autonomy). For Public service employees Salary -Employer-determined decision, if they have money in the institution budget (school, crèche, hospital, etc…) but! unfortunately after the crisis it is not typical. - on the another hand: e.g. the doctors can get parasolvency from they patients (legal act. by FIDESZ). For Civil servants Salary -their salary supplements may be decided by the Local Government representative body : -Tertiary graduates can get up to 30 % of basic salary, -With Secondary education can get up to 10% of the basic salary In the working conditions there is no difference on regional level (this means the qualifications requirements, and the conflict of interest rules). But in the equipment conditions there are differences!

10. Orbán’s wage and public sector employees„reforms” In the Hungarian public service sector the „MORE SALARIES – FOR FEWER EMPLOYEES” bargaining system does not work say the TU-s. The fewer employees wages decrease (or stagnate) and at the same time their workload increases; and there is a plan for more dismissals. This is used by every employer (independently of party affiliation) because every employer: - Has little resources (actual lack of money in the municipality sector),

11. Thank you for your attention! Viktória Szűcs, president of Democratic Trade Union of Crèche Employees szucs.viktoria@bddsz.hu www.bddsz.hu