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Mar 9, 2005

Minister asks union members to use common sense

Story PictureWith the threat of more industrial action from the country’s unions, legal battles being waged in three countries over BTL and the ever present danger of dissension within its own ranks, there’s no question that the Musa administration has its hands full. Today government spokesmen went on the offensive taking to the airwaves to garner support on a number of complex issues that have besieged Belmopan. This afternoon, News 5 sat down with Minister of Foreign Affairs, Tourism and Information, Godfrey Smith, to discuss the latest developments. Regarding government’s position with the Trade Union Congress, Smith says while there has been no resolution of the debate over tax increases imposed on March first, the dialogue continues.

Godfrey Smith, Minister of Foreign Affairs
?The door is open; we would hope that the fact that we are unable to agree on one point doesn?t mean the whole rest of the agreement is out the door. That?s not my understanding. If that were the case, then I don?t think the unions would have been collaborating with us for the appointment for commission of inquiry for instance. They nominated one person, the government nominated one commissioner and then together we mutually agreed on the third person. There are other matters to be looked at: the whole fiscal incentives situation, the management audit plan of action to be developed within thirty days of February eleventh. So there are number of other things which I am under the impression we will be able to proceed upon not withstanding failure to agree specifically on the taxes prior to March first.?

?My understanding from reading the February eleventh agreement was that, that joint working group comprised of N.T.U.C.B. reps and government reps were supposed to have agreed upon where the expenditure cuts would come from to finance one, the thirteen million or so dollars required to pay teachers and senior and junior officers their full salaries as well as the seven million dollars that we need to recover from reducing environmental tax from three to two percent. As I sit here before you this afternoon, I?m not aware that the government has yet finalised where those expenditures cuts were to come from. Certainly, we were not able to reach an agreement with the unions on that matter and my understanding was that there was an attempt to look at it but they couldn?t suggest or make recommendations as to where those expenditure cuts would come from. So it will be left to us to look at it and the only place we can get it from right now is from cap two and cap three whatever; some projects will have to be cut back.?

But while Belmopan is trying to sort out the reality of those budget numbers, government must also deal with the problem of perception.

Godfrey Smith
?There is this perception of wrongdoing, there is this perception of corruption and rather than spending time debating whether that is real or perceived, again as a politician as somebody in government trying to contribute to steering the country forward one has to come to grips, acknowledge that there is that perception and then you question what to do about it. Yes, there is a dense fog of cynicism, scepticism, mistrust and I believe the best way to deal with that is through hard work and proving by your actions that you are serious about changing the way things are done about reform etc, we have to be serious about the national economic council; I believe we are. We have to be serious about changing the whole budget process and again, I believe we are.?

?Whatever may be the recommendations of the inquiry into Social Security Board that we will attempt to implement those and so on. So that the short answer to your question is to win back or to be able to break through and disperse this fog of scepticism and cynicism will require hard serious work, there?s no other alternative that I?m aware of and prove ourselves by our actions and decisions that we want to ensure that we are on a path for sustainable and proper governance.?

And as the NTUCB once again attempts to rally its forces, Smith is calling for common sense to prevail.

Godfrey Smith
?What occurred several weeks ago in terms of the strikes and protest actions was not necessarily a bad thing; I think it?s worked in the interest of the entire country. It showed a process of maturation, it showed a renewed sense of consciousness on the part of the people. In relation to any new action, I would wish that, that would be approached with a serious level of caution and thoughtfulness. I don?t think it helps the current situation, economically and otherwise.?

?What is needed is an entire review, a proper bonafide review of the tax system and the tax structure and overhaul it properly so that is equitable and works in the best interest of everybody. That is the real work that needs to be done.?


Viewers please note: This Internet newscast is a verbatim transcript of our evening television newscast. Where speakers use Kriol, we attempt to faithfully reproduce the quotes using a standard spelling system.

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