A unified wage policy for personnel in the public administration system is necessary in Latvia, said Finance Minister Arvils Asherden in an interview on the "Morning Panorama" program on Latvian Television on Wednesday, LETA reports.
He pointed out that it should be agreed with the conclusions of the State Audit that the reform of the remuneration system in Latvia's public administration has not achieved its intended goal and has not provided a unified, transparent, and competitive wage system. "I have to agree with this. It is a very big problem," said Asherden.
The minister acknowledged that there is a very different approach to employee motivation in public administration.
Asherden also noted that there are personnel policies of 14 ministries in Latvia and another 160 developed by government institutions, and it is very difficult to unify them. Furthermore, the question remains open as to what criteria should be used to evaluate all of this.
"At the moment, I can only agree that we really need a much clearer, unified personnel policy throughout the entire public system," said the Minister of Finance.
As previously reported, despite the fact that a legal framework for the reform of the remuneration system in public administration was created in 2022, including an established procedure for determining monthly salaries, the goals of the reform have not been achieved in practice, as established by the State Audit during the audit.
The institution reminds that the goal of the reform was to create a unified, transparent, and competitive wage system. Although overall remuneration costs have significantly increased, wage inequality between departments and institutions persists. Employee remuneration is still determined by historically established basic funding rather than the position's value and the content of the work, notes the State Audit.
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