The $167 billion debt that shows why rail workers should make a deal

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The $167 billion debt that shows why rail workers should make a deal
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The state’s budget problems are a big factor in the rail dispute – the Minns government can’t afford to splash the cash.

The industrial standoff creating chaos on Sydney’s trains is taking place with the NSW budget deep in the red.

Managing that enormous expense is a key challenge for any state government: pay public servants too little and state agencies struggle to attract and retain appropriately skilled staff, leading to deteriorating quality; pay too much and the state’s overstretched finances come under even more strain. That compares favourably with some recent state government pay agreements but is much lower than the combined rail unions’ demand for a 32 per cent increase over four years.Loading

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