Insider Economy Cyprus Finance Ministry has many open fronts

Cyprus Finance Ministry has many open fronts

The Ministry of Finance intends to pay contributions revised retrospectively from 2011 to provident funds of new employees to the public service and the wider public sector, Phileleftheros reports.

These employees have not been included in a pension plan since 2011. Based on memorandum bills, newcomers recruited since 2011 are not included in a government pension plan.

A Finance Ministry source said discussions on this with stakeholders were held but not concluded as yet. The source also said the Ministry has expressed readiness to retrospectively pay contributions from 2011.

In addition, the government has plans for a total of 5,000 employees on an indefinite duration contract to become permanent, although the Treasury considers this a legal challenge and will ask an opinion from the Attorney General’s Office.

The same source said the provision which prevents indefinite duration employees from climbing up the scale is wrong and should be corrected. Gradually, the benefits of these employees are getting restored, the source added. State financial analysts believe no additional budgetary costs will be recorded since indefinite duration employees will replace permanent positions in the government.

Relevant proposals have been submitted before Parliament by ruling Disy, centre Diko and the Solidarity Movement which, however, are confronted with constitutional obstacles. The proposals will be discussed again in the presence of the Attorney General before the end of this week.

In addition, Finance Minister Constantinos Petrides is expected to meet with the leadership of the union of public servants (Pasydy) to discuss, among others, the thorny issue of public service reform bills.

Pasydy disagrees with the provision on promotions within a department to be the result of an evaluation at examination centres. Pasydy believes that inter-departmental promotions will deregulate the Public Service and create many problems.

On the other hand, the Treasury does not agree with the removal of this provision since the bills will be weakened. In 2015, Pasydy had agreed to this provision, according to informed sources.


Read more:

Top Stories

Police hand out 27 fines for violation of covid-19 measures

Police booked six establishments and 21 individuals all across Cyprus over the past 24 hours for violation of measures to contain the spread of...

Protest against Chile’s government

A protester gestures while a church is set on fire during a protest against Chile's government, on the one-year anniversary of the protests and...

Millennials get little satisfaction from democracy – Cambridge study

Young people are less satisfied with democracy and more disillusioned than at any other time in the past century, especially in Europe, North America,...

Worldwide coronavirus cases cross 40.06 million

More than 40.06 million people have been reported to be infected by the novel coronavirus globally and 1,113,218​ have died, according to a Reuters...

EU to launch infringement procedures against Cyprus, Malta over “golden passports”

The European Commission on Tuesday will finalize and launch infringement procedures against Cyprus and Malta in relation to their controversial  “golden passport” schemes. The schemes...


Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...


No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...