Real Sector Unions: Electricity Price Hike for Businesses Threatens Worker Status in FBiH

(Patria) - Representatives of unions from the real sector warn that the announced increase in electricity prices for businesses could negatively impact the status of workers in the Federation of Bosnia and Herzegovina.

From the Independent Union of Forestry, Wood Processing and Paper of Bosnia and Herzegovina, the Union of Construction and Building Materials Industry of Bosnia and Herzegovina, the Union of Chemistry and Non-Metals of FBiH, the Union of Textile, Leather, Footwear and Rubber of FBiH, and the Union of Metalworkers of FBiH, they emphasize that an increase in electricity prices for companies would necessarily lead to an increase in food prices, as well as all other goods and services. Representatives of industrial unions point out that this could subsequently lead to an increase in electricity prices for households, if not by the end of 2023, then it can be expected in the following year.

The global crisis caused by wars in Ukraine and the Middle East significantly affects most economic activities in the Federation of Bosnia and Herzegovina. A significant reduction in the number of early positions in the industrial sector has been noticeable since mid-2022, precisely because most of the industrial sector is export-oriented.

"The crisis is particularly felt in the forestry and wood industry, as well as paper. Production capacities have long been limited, and the number of workers in some furniture factories has been significantly reduced. We fear that the reported financial loss in the operations of Elektroprivreda BiH in the period January – September 2023 will be transferred to the burden of the economy and citizens, and above all to workers in the real sector. The renewed announcement of electricity price increases in the Federation of BiH further causes unrest among workers, but also among citizens in general," says Lejla Ćatić, president of the Independent Union of Forestry, Wood Processing and Paper of Bosnia and Herzegovina.

In this regard, unions from the real sector demand that the Government of the Federation of BiH adopt measures that will prevent an increase in electricity prices for businesses, i.e., adopt measures to protect the economy, workers in industrial sectors, and citizens in the Federation of BiH.

Industrial unions demand that the authorities pay more attention to the real sector and its workers, who create new value and fill budget and extra-budgetary funds.

Taught by bad experiences from the past, we warn that an increase in electricity prices for companies always negatively affects workers, in a way that a reduction in economic activities leads to termination of employment contracts, salary reductions, and jeopardizing the living standard of workers and citizens.

The unions again point to the need for urgent relief of labor costs, through the adoption of a set of laws that will enable an increase in workers' salaries.