🏞️ Friction between government leadership on ground conversion law

while unions demand more payouts

De Brief
October 09, 2023

Government aims to generate at least half a billion SRD through land conversion from rental/leasehold to ownership by around 10,000 individuals.
Conversion allows up to 2,500 square meters of domain land to become property at a cost of SRD 25 per square meter and SRD 5,000 for notary fees.
President Chan Santokhi sees the conversion as enhancing legal certainty and benefiting 'the little man,' despite initial opposition in the National Assembly.
Political support for conversion exists within the coalition, prompting the government to issue a State Decree to resolve the matter before the law's enactment.
The converted land's value ranges significantly, affecting notaries' earnings and enabling substantial profits for landowners, sparking concerns about land speculation.
Critics emphasize the need for a comprehensive law to regulate the conversion process and address potential abuses, especially by capital forces and multiple foundations.
The NDP, the business community, the BEP and the trade union movement voted against the State Decree. The ABOP was absent. Only the VHP members voted in favor.

Government and trade unions have not reached an agreement on strengthening purchasing power, leading to a one-week ultimatum from the unions.
The government proposed a SRD 4,000 increase in purchasing power for December, costing the State an additional SRD 350 million, while the unions seek a SRD 1,500 increase per month from October to December.
The government offered an extension of the SRD 2,500 purchasing power increase from January to June, along with an 8% salary increase as of January, at a total cost of SRD 1.7 billion.
CLO chairman mentions government's proposal of SRD 500 per month on top of the SRD 2,500 from October, or SRD 1,500 on top of SRD 2,500 in December, totaling SRD 4,000, but these offers were rejected by the trade union movement.
The trade union movement insists on a monthly SRD 1,500 increase, aiming for a total purchasing power increase of SRD 4,000 per month throughout the year.
Other demands from the trade union movement include maintaining VAT, increasing the tax-free limit, expanding tax brackets, and addressing concerns of pensioners.

The government responded with the following

The government proposes a package including SRD 4,000 increase in December, continuation of SRD 2,500 purchasing power increase from January to June, and an 8% wage increase.
Trade union movement rejects the offer and demands an additional SRD 1,500 per month on top of the SRD 2,500 for the remainder of the year, aiming for a total purchasing power increase of SRD 4,000 per month.
Unions also emphasize the importance of maintaining VAT, increasing the tax-free limit, and adjusting tax brackets, while rejecting the 8% wage increase.
The government, in a press conference, emphasizes their inability to offer more than the proposed package due to financial constraints and potential destabilization of peace and stability.
Minister Somohardjo urges the union leaders to consider the offer and highlights the government's understanding of the pressure they face, urging wisdom and rationality in their decision.
A one-week ultimatum has been given by the trade union movement, and the government is optimistic that members will convince union leaders to accept the offer for the sake of the country's economic stability and future negotiations.

Dutch government approves a one-time payment of €5,000 for Surinamese Dutch individuals who moved to the Netherlands before Suriname's independence in 1975, aiming to acknowledge their historical suffering and injustice.
The Social Insurance Bank (SVB) will automatically transfer the amount to eligible elderly Surinamese origin individuals, and no action is required on their part.
Eligibility criteria include being 18 years or older, residing in Suriname prior to moving to the Netherlands, relocating before November 25, 1975, and having at least 20 years of residence in the Netherlands by July 1, 2024.
Many in this group expected their years in Suriname to contribute to their AOW pension (state pension), but this turned out to be untrue, resulting in a lower state pension than anticipated.
The decision follows a lengthy process involving discussions with the House of Representatives, advice from the Council of State, and a thorough consideration of the issue.
Those who believe they are eligible for the payment and do not receive a letter from SVB in June 2024 can contact SVB themselves from July 1, 2024, to claim the amount. The payment does not impact allowances or other income schemes like the supplementary income provision for the elderly (AIO).