HAVANA TIMES, May 2 — The Cuban government will not increase wages until “labor adjustments” are completed across the country and unnecessary subsidies are eliminated, said union head Salvador Valdes on Monday when speaking to the Trabajadores (Workers) newspaper.
Those labor readjustments will involve the elimination of 250,000 jobs by the end of this year, according to statements by the head of International Relations Department of the Confederation of Cuban Workers (CTC), Raymundo Navarro.
The CTC fully supports the layoffs and salary policy.
Valdes, who is the secretary general of the CTC, emphasized the need to revitalize the socialist principle of distribution through “systems of pay based on work output.” In addition, he pointed to the need for increased productivity and efficiency for any increases to be reflected in the incomes of workers.
Even with the provision of free basic services like health care and education, in addition to subsidized prices on many goods and services, the average wage of about 450 pesos a month ($18 USD), is insufficient for the subsistence of families on the island.