Poland: Government announces public sector pay freeze

The Polish Government has announced a public sector pay freeze for 2011, drawing protests from trade unions.

The centre-right Government's draft state Budget for 2011, issued in September 2010, aims to cut the public deficit by around one-fifth to PLN40 billion (€10 billion), through a combination of additional tax income and cuts in spending, and to keep the public debt below 55% of gross domestic product.