Fiji's public servants will not receive Cost of Living Adjustment payments this year.
The Public Service Commission wants to replace the COLA payment with a Performance based system to increase the efficiency of the public sector.
The Commission's chair, Rishi Ram says the Government has made the decision, and is now working with the unions.
"Hopefully we should be able to convince them of the need to have PMS instead of COLA. It will be a performance based system. At the moment when we do the COLA adjustment everyone gets the COLA increases alike, whether they are productive or not."
Rishi Ram says discussions with the unions have been cordial, and are continuing.
However, the confederation of Public Sector Unions' chairperson, Rajeshwar Singh, has told the Fiji Times Mr Ram's exercise will be futile and disastrous.
