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| Europe |
| Spain approves controversial bill |
| 2010-05-28 |
| An unpopular 15-billion-euro austerity plan aimed at reducing the deficit has been approved by just one vote in Spain's parliament. The controversial plan which includes a wage cut for civil servants was passed with 169 votes in favor, 168 votes against, and 13 abstentions, BBC reported. The bill was supported by the governing Socialist Party while the conservative Popular Party and all others either opposed or abstained. Before the vote, Spain's Finance Minister Elena Salgado had pleaded with lawmakers to support the bill and vote in favor saying the measures were "painful but inevitable", AP reported. The plan that was announced earlier this month is intended to reduce a deficit of 11% of GDP to 6% by 2011. Other than the 5 percent pay cut, the plan includes a scrapping of a 2,500-euro payout to parents for the birth of children. The payout was a key part of Spain's Prime Minister Zapatero's social platform to increase Spain's declining birth rate. Zapatero and government ministers will also have their salaries cut by 15 percent and the salaries of secretaries of state will be cut by 10 percent. |
| Posted by:Fred |