Negotiations continue today at the Labour Ministry on the future of ATA reform, with officials holding separate meetings with social partners in an effort to prepare for a joint session that could lead to a permanent agreement.
Despite limited progress during Thursday’s discussions, the Labour and Finance Ministers described their meetings with employer organisations and trade unions as “useful and productive.”
In a statement, the ministry confirmed that ATA reform talks are “ongoing,” with meetings scheduled throughout Friday aimed at reaching a lasting deal.
The transitional agreement currently in place, first signed in 2017 and renewed in 2023, will remain valid until a permanent framework for ATA reform is finalised.
According to government sources, discussions have centred on a proposal to modernise the system through four main pillars:
- Universal expansion of the ATA to cover all employees.
- Fairer distribution, prioritising low and middle-income earners.
- Activation conditions, to prevent economic slowdown.
- Safeguards, to avoid fuelling inflation.
Ideas on the table reportedly include the introduction of caps and ceilings- both on the level of inflation the scheme will cover and on high salaries eligible for ATA payments. One option considered is excluding ATA from income that exceeds a certain percentage above the median wage.
Proposals for tax relief on the extra amount employers would pay under a reformed scheme were also discussed.
The situation remains fluid, and further meetings are expected later today- first with employers and then with unions. A joint session may still take place either today or over the weekend.
Also read: President optimistic about ATA talks with unions
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