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Social Democratic leader Vilija Blinkevičiūtė says the ruling majority is “deliberately silencing” the issue of prices and inflation, which affects hundreds of thousands of Lithuanians.
“People are rightly criticizing the government, they are disappointed in its activities. As a result, trust in members of the government fell to a record. Yes, the government is struggling with two major crises: a pandemic, illegal migration.
But the third crisis is cautiously silenced. And that is inflation and price increases.
So far, I do not see proposals and effective actions of the Cabinet of Ministers of I. Šimonytė to increase the income of the population of our country. And there are instruments for that.
Therefore, we are making concrete proposals that must be considered immediately, ”says V. Blinkevičiūtė to the Government.
The speech of the Social Democrats to the Government underlines that this year the prices of energy in Lithuania – electricity and gas – have risen to a record level and so far there are no reasonable assumptions that they will decrease in the near future.
Attention is also drawn to the fact that residential and commercial customers have experienced an increase in the prices of electricity and gas for some time, so this change will inevitably have an impact on the prices of products and services in the near future, especially in Vilnius.
The Social Democrats recall that since the government has not yet presented a tax reform that reduces the burden on low- and middle-income wage earners, there are no government tax initiatives that increase the taxation of large capital and large assets, and therefore the state budget. revenue in 2022.
The Social Democrats call on the Government of the Republic of Lithuania to take the following immediate measures and, as indicated in the document, offer its constructive assistance in the drafting and improvement of the relevant bills:
Review and better target social and financial instruments that increase household income: through tax-free income adjustments (NPD); as well as more socially just tax changes (such as a more progressive personal income tax covering all personal income, regardless of origin), which would reduce inequalities between low- and middle-income people; increase the taxation of large capitals and large assets with a view to greater budgetary redistribution;
Even if you are not endorsed by employer representatives, take plans from 2022. increase the monthly minimum wage (MMA) to € 730, as agreed with the unions; Increase the income of employees who receive a fixed salary from the state budget by adjusting the base amount of the official salary (salary) of public officials;
Keep the existing 9 percent. value added tax (VAT) relief for heating; establish a 9 percent preferential. VAT on electricity and gas rates for domestic consumers; review, in cooperation with municipalities, the efficiency and affordability of measures to help those with the lowest incomes cover heating and utility costs; address the situation of highly indebted people by reviewing existing debt recovery arrangements for the most vulnerable groups in society;
In the public energy sector, promote competition and review the profitability criteria of state-owned companies so that the lowest possible price – corporate profits, the burden of growing corporate profits;
Introduce green taxes only to ensure that they do not affect the weakest;
Implement in practice the government agreements that allow increasing the salaries of those who work in the public sector (teachers, doctors, lecturers, civil servants, cultural workers, social workers, etc.); accelerate the increase in old-age pensions; encouraging employers to treat their employees fairly and in consultation with their employees, for example by giving priority in public procurement to all companies with collective agreements;
Implement comprehensive measures to support families: introduce a greater universal benefit at the time of birth (or adoption) of a child; guarantee the care of children under one year of age at least one or two days a week in nurseries; ensure that all teaching materials in schools are free; increase the volume and improve the quality of free school meals.
Addressing the government is available here:
https://www.dropbox.com/s/3y8gq06ub3nb3eo/kreipimasis%20%C4%AF%20Vyriausyb%C4%99%2020210909%20-%20final.docx?dl=0
