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Costa Rican Workers Protest Tax Reforms with Indefinite Strike

State officials claim the tax reform or “Plan Fiscal” is the only way to avoid the nation’s impending financial crisis.

Labor unions across Costa Rica join forces in a national movement Monday to protest a pending legislation for tax reform being debating.

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When the High School Teachers’ Association (APSE) announced their plans to launch an indefinite strike, unions from every corner of the country rallied behind them in support.
When the High School Teachers’ Association (APSE) announced their plans to launch an indefinite strike, unions from every corner of the country rallied behind them in support. Photo:EFE
According to local media, students, teachers, telecommunications employees, municipal employees, transportation workers, and medical professionals answered the call, with hospitals and health facilities vowing to stop all non-essential services while the strike remains active.
According to local media, students, teachers, telecommunications employees, municipal employees, transportation workers, and medical professionals answered the call, with hospitals and health facilities vowing to stop all non-essential services while the strike remains active. Photo:EFE
Already 80 percent of the school and some 23 unions have united behind the push to abandon the tax reforms.
Already 80 percent of the school and some 23 unions have united behind the push to abandon the tax reforms. Photo:EFE
"We hope to emulate the social explosion of 20 years ago, when all the unions united in an interinstitutional strike. Two decades have passed since the last time we were united in this way," said Luis Chavarría, secretary of National Union of Employees of the Fund and Social Security (Undeca). Photo:EFE
President Carlos Alvarado said the demonstration was unjustified, unfair, and illegal and temporarily stalling services for millions of Costa Ricans was not a solution.
President Carlos Alvarado said the demonstration was unjustified, unfair, and illegal and temporarily stalling services for millions of Costa Ricans was not a solution. Photo:EFE
In a televised message, the president said that the tax reform or “Plan Fiscal” is the only way to avoid the nation’s impending financial crisis.
In a televised message, the president said that the tax reform or “Plan Fiscal” is the only way to avoid the nation’s impending financial crisis. Photo:EFE
The “Plan Fiscal” will not alter the national sales tax of 13 percent, but extend to a value added tax which would allow the state to collect taxes on services, as well.
The “Plan Fiscal” will not alter the national sales tax of 13 percent, but extend to a value added tax which would allow the state to collect taxes on services, as well. Photo:EFE
Although certain industries, such as health and educational sectors, would have a reduced 4 percent rate, international corporations would enjoy a tax-free zone.
Although certain industries, such as health and educational sectors, would have a reduced 4 percent rate, international corporations would enjoy a tax-free zone. Photo:EFE
Despite the state’s requests to forego the protest, Costa Rica declared the new tax reforms unfair and targeting the middle and lower classes
Despite the state’s requests to forego the protest, Costa Rica declared the new tax reforms unfair and targeting the middle and lower classes Photo:EFE
The president of the National Association of Educators (ANDE), Gilberto Cascante, said,
The president of the National Association of Educators (ANDE), Gilberto Cascante, said, "We will not give up until Carlos Alvarado gives us time and date to talk. We gave him a project with 38 reforms and did not take them into account. We ask him to stop defending the rich people of this country and think about the working class.” Photo:EFE
Published 10 September 2018
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