Costa Rica’s Judicial Branch Considers Fiscal Reform a Threat By Limiting Salary for Employees

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Tuesday October 16 the 22 judges that form the “Corte Plena” (full court) of Costa Rica’s Judicial Branch, will have to establish their final position in regard to the proposed fiscal plan, which has already been approved in first debate by the Legislative Assembly but was sent to several institutions for consultation before it’s as established by law.

A report created by the Judicial Direction considers that the Judicial Branch has authority to “self-government” over its salaries, and therefore feels the fiscal plan could affect its operation and organization since it puts a limit to the growth of expenses generated by salary pluses in the public sector and public expenses in general.

As it is established in the norms cited, the Judicial Branch has authority of self-government when it comes to public employment and consequently its politics and guidelines are not subject to those of another Branch of the Republic, which would change radically if the law project being analyzed is finally approved”, states the report.

The text also affirms that when it comes to salary policies in reference to judges the same should not depend on another institution.

The Judicial Branch has close to 12,400 employees and is among the public institutions that pay the highest salaries, averaging $4,000 per month per employee in base salaries and an additional $1700 in salary pluses per month per employee.

If on Tuesday the Corte Plena maintains this position it will mean another obstacle for the fiscal plan, since, according to Art.167 of the Constitution if the Judicial Branch considers that a project being discussed in Congress affects its organization and operation, the Legislative Assembly will then require 38 votes for its approval.

The Fiscal Plan was approved in first debate with 35 votes, they will then require three more for its approval in the second debate if the Judicial Branch maintains this position.

Back in September the Costa Rican Judicial Association (AVOJUD) called on its members to join the labor strike to protest the fiscal plan stating that it “weakens judicial security of the structure of the judges’ salaries”.

The Association claimed that the reform is establishing limits and lowering incentives such as the “exclusive dedication” and the “cesantía”, while it “excludes the benefit of annuity for those workers that are not subject to a performance evaluation (art. 48) and establishes that it will be a fixed amount and not a percentage (art.50)”.

“In addition, articles 54 and 56 respectively, transform the current salary pluses in fixed amounts and prohibits the creation of new complementary salaries in the future, unless they are created by law”.

The Minister of Treasury, Rocio Aguilar, stated in regards to the position of the Judicial Branch that “there is a lot more at stake here than protecting a salary level, a salary level that has reached this point through the self-granting of pluses of different type”.

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