• Submitted by: manso
• Business and Economy
• 12 / 28 / 2010

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Posted: 27 December, 2010. Cuba (MNN) Cuba has already started laying off 10 percent of its workforce.It was a radical plan to help reduce government spending and boost the private sector. WorldServe Assistant Country Director John Dyck says, "It's not something that is made tremendously public, but I know that people here and there are being told that that's it for them."

To put it into perspective, Dyck says, "We're looking at probably a million to a million and a half workers being laid off in the next couple of years. When you consider that there are a five and a half million workers in Cuba out of a population of 11 million, that's substantial."

While the end game looks good, the process of getting there could be bumpy. "What is not clear, at this point, is exactly what kind of safety net that the government would be willing to provide. Traditionally, health and education have been two of their big mainstays. The other question is their ration card, which provides them with some minimum food items--what will that look like?"

Slashing the government jobs in favor of self-employment and small business is a good idea for the future, but people have to eat today.

It is the most significant economic shift since the early 1990s. The government hopes the expanded private sector will be able to absorb most of the state workers who will lose their jobs in the next few months.   

The loss of income could be significant, and that will have a direct impact on the church. Dyck says, "Something like pastoral support would be affected, because obviously, if the constituents are not earning their usual money, they would not be able to contribute towards the expenses of the church, and then from there, the operations of the church itself and how it proceeds."

However, even though the layoffs have begun, the effect has yet to be felt. Dyck thinks the next six months will be telling. He is also quick to add that the Cuban people are resilient. This is not the first time the economic situation presented a survival conundrum.   

Despite the upheaval of the 80s and 90s, the church struggled through it. As a result, many doors opened for the Gospel. "The Cuban churches have been very big on being able to help others who are in need because there are a lot of people in need. That will be severely impacted."

Source: http://mnnonline.org/article/15135