NEWS

18. 4. 2012

We are adopting these measures so that Slovenia may grow again

(Photo: Tamino Petelinšek/SPA, source: GCO)

The Prime Minister of the Republic of Slovenia, Janez Janša, was the guest of a talk show on TV Slovenia. He talked about the strike announced in the wake of the cost-saving measures proposed by the Government, and how they would affect different areas. The common thread of the discussion was the fact that Slovenia spends more than it generates and that we urgently need to adapt to the new circumstances if we are to walk again on the positive path of development.

For the first time in Slovenia's history, the Government presented its measures to the social partners and the Economic and Social Council immediately after their adoption. In this way, the Government commenced the social dialogue and began negotiations it has never forsaken. The Prime Minister emphasised that there is still a lack of understanding about our present situation. Even if the measures proposed are adopted, Slovenia would have to carry on borrowing in order to continue functioning. The Prime Minister therefore reiterated that he wants the trade unions to be more reasonable in negotiations, given that the strikes in Slovenia have traditionally always led to the Government giving in and acceding to the trade unions' requests, as well as paying for the strike; however, this is something the Government is not prepared to do. He mentioned that an important aspect of the current situation is the fact that Slovenia's mentality has not yet adapted to the new circumstances, and that most people still believe that the crisis will pass if only we wait a little.

 

The Prime Minister emphasised that the measures will only get worse in the future if we do not adopt them right away. Over the last three years, more than 120,000 jobs were lost in the economic sector and more than 12,000 companies were ruined. Meanwhile, the state continued its borrowing and 9,000 more people were hired in the public sector. He said that the problems will still be there after the strike, and stressed that the Government does not have much room for manoeuvre because it has limited funds at its disposal.

 

He highlighted the state's financial capability, which will be considerably affected in the international markets if the measures do not garner sufficient support. If the deficit continues to grow, Slovenia's access to cohesion funds would be cut off, which would be a major setback considering this is the only reliable source of investments in the coming years. Slovenia would also be threatened by additional penalties for breaching the provisions of the Stability and Growth Pact.

 

The Prime Minister emphasised that we should be aware that the times of living at expense of others are over and that passing the burden on to future generations is not the right path to follow. He stressed that we will have to learn how to do more with less. In light of this, the measures proposed are just the first step for which consensus is needed.