Unfair job terminations, 14.8 billion ALL in debt, liabilities on the rise even in 2021

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The stock of overdue liabilities saw a rise by 800 million ALL within the first 3 months, where the largest part involves costs from court rulings regarding unfair job terminations.

The grand total of the above-mentioned stock exceeded even the unpaid bills for projects and investments in infrastructure.

Until the end of March 2021, overdue liabilities of institutions reached a total of around 14.8 billion ALL.

Compared to December 2020, the stock of debt has gone up by 800 million ALL in only the first three months of the new year.

The majority of this debt, around 4.6 billion ALL, is set to go to the accounts of those individuals, who filed and won their lawsuits, which were mainly regarding unfair job terminations.

These damages payable to individuals winning their civil court cases have become gangrene for the state budget and for several years now, they are dominating the overdue bills payable to infrastructure projects.

In the data compiled by the State Supreme Audit, the findings show that from 2016-2018, the treasury has paid 5 billion ALL from its spending account, in bills to claimants winning civil court cases. If another 4 billion ALL is added to this debt, the liabilities of taxpayers regarding these court rulings will have reached 9 billion ALL in 5 years.

Through legislation passed back in 2014, the government is involved in paying these obligations in time and to prevent new debt from accumulating, but this objective isn’t accomplished because it turns out that the stock of these liabilities is part of the accounts of public finances year after year.

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