The city of Ghent needs to look for tens of millions of euros to master wage indexing and higher energy prices. “The impact of inflation has also been greater than ever in the last 40 years. We are facing a very difficult movement and are looking for tens of millions of euros. All options are being considered, but We don’t touch on education, childcare or housing. Care Centers, “says Rudy Coddens (Forward) on the ship.
The city of Ghent holds a budget meeting every year to make financial adjustments as needed. This usually happens this June, but due to unexpected additional costs, the city will have to spend more time doing exercises after the summer and scheduling additional city councils. Not only is the city incurring additional costs due to rising energy prices, but other costs are skyrocketing due to high inflation.
The impact of inflation has never been greater in 40 years
Automatic indexing of wages for city officials is especially difficult. “Therefore, we have to expect an additional cost of over € 80 million over the next few years,” explains the Coddens vessel. In addition, interest rates are rising and costs are rising. Finding all that money is a politically difficult movement.
The deadline is the end of June
Negotiations are underway among the various majority parties (Green, Open VLD, Vooruit, CD & V), but you need to make hurtful choices here and there. “I don’t want to anticipate the options at the table, but it’s true that the bill must be correct at the end. It doesn’t make a difference between the city council and the home,” Coddens concludes. He hopes to reach an agreement by the end of June, before summer vacation. “Then you can propose it in an additional city council at the beginning of the new school year.”
Union enters dialogue
Meanwhile, the union was invited to talk. I don’t know the details of the savings plan yet, but there are concerns here and there. It seems logical for the union that the long-term care sector is protected, as there is already a shortage of staff. I’m still not sure if I can get other jobs. Ghent is a big company. Nearly 7,000 people work there.