Chile offers striking workers a 9.5 percent raise

The government of Chile has offered nearly half a million striking municipal workers a 9.5 percent wage increase and the Congress is expected to vote on it Thursday, officials said.

The 450,000 workers, who have been on strike since Monday, are asking for a 14.5 percent pay increase. The government had initially offered a 6.5 percent increase.

A 9.5 percent increase would be the highest since the 9.9 percent accorded in 1997, El Mercurio newspaper reported.

Striking workers have taken to the streets this week, marching in most of the nation's major cities.

The nation was paralyzed for two days last week when the workers went on strike. The public employees have not set an end date for the strike.

Because of the strike, garbage is piling up on streets, tax and fee collection has stopped and public health and education are practically paralyzed. Even weddings and autopsies are not being performed.

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There is a lot to say about the current strike. This article does not state that the reason for the demand for a raise in salary is because of the cost of living has gone up 10% from last year, nor that their first offer was a measly 4.5%. People are going to be very disappointed if the raise is not at least double-digits and it's not like the government does not have the fund. Also, the government is stubborn to make a quick, drastic decision because of the fear that if they grant the 14.5% request, soon the private sector will be asking for a similar changes, and many members of the government obviously have ties to these companies that will be affected. Also, the discussion is difficult because a simple raise to every public worker doesn't make sense...should executives of these public companies receive the same salary increase as a lower-class, less specialized worker? The same thinking applies to those who aren't very good workers, why should they be rewarded for their bad performance? I had a class canceled for a day because of this strike, and there is so much horrible stress placed on the country of Chile economically and socially. The host mother of my buddy Finn had a heart attack (thankfully she is o.k.) because she is one of the few working in her sector of the government and is a workaholic, so while others are striking she is working twice as hard and the extra stress was the cause.

Update: Thankfully the Congress approved a 10% raise in municipal salaries late Thursday afternoon and the strikes will stop. The readjustment also includes two bonds: one of $200,000 mil and one of $100,000 according to the salary tranche.