The Supreme Court has ordered the cost of giving bonuses to employees of the state run monopolistic distributor to be incorporated into fuel prices.
The resulting increase in fuel prices forces the country's economy to directly pay for the privileges enjoyed by some public officials, aggravating a situation in the private productive sector which must find new ways of staying competitive in a local context which is becoming increasingly adverse, with an unfavorable exchange rate for the export sector and rising production costs.
In the public sector in Costa Rica collective agreements have become synonymous with illegal privileges and economic dysfunction, under the concept that acquired rights are unassailable.
If a private sector company ceases to be competitive, no matter for what reason, it will eventually fall into bankruptcy and its employees will lose their jobs, no matter how many agreements they have signed with their employer.
Employers and the union have signed a collective agreement for 2014-2017 establishing a tiered wage increase starting with 27 cents in the first year.
Representatives of the Union of Construction Workers and Similar Entities (SUNTRACS) and the Panamanian Chamber of Construction (CAPAC) signed the collective agreement, effective until 2017, that includes a salary adjustment of 98 cents an hour, to be implemented in stages over four years, representing 35.87 %, or 9% per annum.
Port activity will once again come to a standstill on 11 days of the year due to the abolition of the reforms agreed with workers.
Costa Rica's constitutional court has ruled illegitimate a reform by the country's Atlantic Port Development Management Board (JAPDEVA in Spanish) that specified the port union's board of directors. The port union (abbreviated SINTRAJAP in Spanish) had negotiated the reform with the government.