Prime minister, National Bank Head Suggest that Government Should Lift All Restrictions on Wages in Construction Sector

Prime Minister Syarhey Sidorski and National Bank head Pyotr Prakapovich suggested that the government should lift all restrictions on wages in the construction sector that experiences a severe shortage of labor.

In particular, Mr. Sidorski proposed to Alyaksandr Lukashenka at a government conference held on Thursday that the average level of monthly pay in the sector should be increased to the equivalent of $700, according to the Belarusian leader’s press office.

At present construction costs estimates include a wage fund calculated on the basis of up to 650,000 rubels ($300) per employee and construction organizations have to use their profits to increase the level of pay to 1,200,000 or 1,300,000 rubels, the press office said.

Mr. Prakapovich also suggested immediately addressing the housing problem of the sector’s employees. He said that construction organizations should be allowed to start housing projects in which their employees would be co-investors to receive a title to an apartment on completion of the construction.

Mr. Sidorski pointed out that the profitability limit for housing construction in rural areas is only five percent, which he said impedes the development of construction organizations. “It’s necessary that the construction sector should earn money by itself for the modernization of its equipment,” he said, suggesting that the profitability limit should be raised to 10 or 15 percent.

“Raise the profitability limit to 10 percent and set the pay level as you want, but it’s necessary to do this without increasing the costs of housing,” Mr. Lukashenka stressed, according to his press office. //BelaPAN