Hungarian PM: One of the reasons for Hungary's economic problems was the 50% wage growth for teachers

Hungarian Prime Minister Ferenc Gyurcsany declared on Tuesday that his country has economic problems because the previous government increased the salaries of the budgetary personnel, including a 50% wage growth for teachers.

„You know that Hungary faces economic problems in the context of the international financial crisis. If you ask me how it happened, I can tell you that it’s simple. at the beginning of 2000, the government begun to spend a lot, the budgetary employees; salaries increased at a high rate. I remember that one of my predecessors, Viktor Orban, increased the salaries 70%, while Medgyessi approved a 50% wage growth for teachers and doctors, as well as for pensions”, said Gyurcsany, quoted by NewsIn.

The head of Government also commented that, at the time, everyone was happy with the measures, but now, „the time has come to pay the bill”.

Similar measures were recently adopted in the Romanian Parliament. The law was challenged in the Constitutional Court, but it was found as appropriate. At this time, Romanian Prime Minister Calin Popescu Tariceanu asked for an analysis on the potential impact of a 50% wage growth for teachers.