Construction pay deal will impact Metro

The collective pay agreement between Panama’s Construction Chamber (Capac) and the workers’ union (Suntracs) will impact the cost of  Panama Metro Line 2, 75% complete says, Director   Roberto Roy.

The  agreement has three  salary levels:  private projects, State and Mega,   and the Metro, Line 2 is one of  seven state projects  classified as mega,

Their workers will receive, as of July 1, an additional adjustment of 11% per hour, over the generally agreed minimum wage which was in the  2014 to 2017 agreement benefitting the workers of the Canal expansion.

There are seven state mega-projects identified to which the clause would apply from July 1, 2018, to December 31, 2021. Only Metro line 2 is under construction,

“This is an existing clause that was born from the Canal expansion project, in that there was an adjustment by decree of 11% above conventional wages “, says Héctor Ortega, President of the Capac.

Mega (or special) projects are  all the Metro lines and the extensions that are projected in the future; the light rail to the east sector (considered Metro line 3)  the fourth bridge over the Canal; pacific coastal highway; the Changuinola hydroelectric 2, and the Panama-Chiriqui train, which is under study and bidding.

These are works financed by the state budget, fed by taxpayer revenue.

In the agreement, there  is a global salary adjustment of 14% in four years for private sector works