Monetary incomes and wages
The main objective of the monetary income and remuneration policy is to ensure faster growth of real monetary incomes, including wages, relative to GDP.During 2000-2003, all actions of the local authorities were directed toward a comprehensive combination of structural reform policy in the economy with active work to increase the population's incomes, in particular raising wages, pensions and other social payments, repaying debts and preventing delays in their payment, creating conditions for active entrepreneurial activity, and repaying wage arrears, which as of 1.02.2004 amounted to UAH 4.0 million.
The average wage of city employees in 2003 was UAH 436. Monthly monitoring is carried out on the status of wage arrears repayment, compliance with state guarantees in remuneration, and the level of average wages at enterprises of all forms of ownership.
As before, there is a significant amplitude of fluctuations in wage levels across different types of economic activity. The highest wage levels are among employees engaged in financial intermediation (UAH 843), information technology (UAH 583), and trade in vehicles (UAH 481). Wages are significantly lower in primary general education, individual services, recreation and entertainment, culture and sports (UAH 283-294).
As of 1.12.2003, the amount of wage arrears decreased by 3.4 percent and amounted to UAH 5.3 million. The largest amount of wage arrears per full-time employee is in hotels and restaurants - UAH 3,919; in retail trade of household goods - UAH 1,368; in public activities - UAH 1,653; in culture and sports - UAH 1,460; in municipal and road transport - UAH 1,319.
In total, 5.3 thousand people did not receive their earnings on time, of whom 32.9 percent were industrial workers, 14.7 percent were transport and communications workers, and 25.8 percent were persons engaged in real estate operations, leasing, and provision of services to legal entities.
Wage debts at enterprises recognized as bankrupt or that have suspended their activities in connection with the initiation of a bankruptcy procedure or another procedure remain a significant problem. This provides grounds to note the unsatisfactory work of arbitration managers and liquidators of enterprises recognized by the court as bankrupt.
In the city for 2003, at 35 such enterprises, wage arrears amounted to UAH 3 million.
Main problems:
- the gap between the subsistence minimum and the minimum wage;
- failure to comply with the requirements of Ukrainian legislation regarding the remuneration levels of certain categories of employees and their indexation, and the existence of wage arrears.
Main goals and tasks for 2004:
- repayment of wage arrears;
- growth of real monetary incomes of the population;
- protection of the purchasing power of monetary incomes from the impact of inflation;
- avoiding a decline in real wages;
- strengthening the influence on labor standardization.
Local policy measures:
- ensure guarantees in remuneration for employees in accordance with current legislation;
- to streamline the pay system and eliminate disparities in pay levels among employees with the same qualifications who perform work of equal complexity and functional characteristics;
- repayment of wage arrears at enterprises in the city of Lutsk, in particular, OJSC "Volteks", OJSC "Syntetyka", OJSC "Vzutteva Fabryka".