Ukraine PM unsure of wage adjustment prospects

Prime Minister Arseniy Yatsenyuk said on May 18 he’s not sure if the government will have enough financial resources to conduct adjust wages and pensions to accommodate the inflation, as the Cabinet of Ministers had planned to do as of Dec. 1. “Resources are need for this,” he said, as reported by the Interfax-Ukraine news agency. “We will meet with the finance ministry, social policy ministry and corresponding parliamentary committees and candidly ask whether we have enough revenue to adjust the incomes of citizens.”

Zenon Zawada: It’s refreshing to see Yatsenyuk being candid in expressing his uncertainty with the government’s ability to accommodate the necessary adjustments. Such measured remarks are better than making empty promises, which further chisels at the public distrust in the government and worsens the wedge.

Adjusting wages to address the more than 30 percent planned inflation is among the most important goals the government needs to achieve. The patience of Ukrainians will severely deteriorate if their purchasing power, and ability to pay for even basic needs, is not restored by the end of the year.