Thursday, October 01, 2009
Brian Lenihan seems to be the only senior Government politician who attempts to give effective leadership. FF’s minor upward blip in the polls is due to his assertive confidence ... He can chart a course for future positive direction for the nation, based on realism and straight speaking
THE final days of the referendum campaign have revealed a considerable cohort of the electorate who are now so negative about Irish politics they are using a ‘no’ vote to protest. If the referendum is passed it will be in spite of the political establishment. This rejection of main stream politicians has become so pervasive to be corrosive and damaging to our economic prospects. The underlying tone is bitterness, anger and revulsion.
The extravagance, waste and selfishness of individuals such as John O’Donoghue has been exposed. The political response has totally underestimated the public contempt for the lack of accountability. The Ceann Comhairle cost taxpayers €550,000 in expenses while Minister for Arts, Sport and Tourism. Further expenses from state bodies under his aegis (eg Fáilte Ireland, Sports Council, Horse Racing Ireland, Arts Council etc.) have not been revealed. In his present role he has appointed a superfluous political adviser, costing €90,000 pa. None of his predecessors did so.
The drip of revelations disclosed incredible luxury, lavish extravagance and a disregard for personal modesty. All the major political parties have refused to adequately condemn his behaviour. He hid behind civil servants as if he was a hapless bystander. As the media pressure mounted, he eventually expressed "regret" and sort of said "sorry". Big bloody deal. He should resign.
The Government has a new mantra to defend the indefensible. Minister O’Donoghue did not breach any Department of Finance guidelines. There were no stipulations in place to curb ministerial extravagance. This same defence has been deployed in relation to the termination terms agreed with Rody Molloy. This did not breach Department of Finance severance terms or the Labour Services Act. Voters cannot accept generous top up provisions in circumstances where the person is being fired. Complete breaches of proper corporate governance were of epic proportions within Fás. A culture of decadence prevailed.
The final circumstances of Molloy’s departure would make a fitting script for one of the old style Carry On films. Calamity Coughlan would have a lead role along with her Departmental Secretary General Sean Gorman. They alternate between excuses of legal threats and administrative expediency. They failed to obtain legal advice and avoided simply sacking Molloy. A lump sum payment in excess of €330,000 and pension of more than €110,000 was sanctioned. The defence put forward was that it was sanctioned by the Department of Finance. That same department signed off on an incredulous deal for Patrick Neary, the former Financial Regulator. He and his colleagues were not just asleep at the wheel but positively comatose in supervising our bankrupt banks. They utterly failed to police Anglo Irish Bank and gullibly believed false assertions about its balance sheet and lending practices. We are now left to pick up the bill of that insolvency of €10bn. Discredited senior public officials who take an early bath, are rewarded with a sweetheart deals.
A cornerstone of any party political manifesto in the next general election should be a new Charter of Accountability. This should provide for detailed controls and guidelines on ministerial expenses. It should outlaw excess gratification. Indulgent office holders should pay the penalty through public hearings and potential dismissal.
A new severance procedure should be put in place for public office holders and personnel who fail to perform properly. The Freedom of Information Act commenced a process of greater transparency. This has not been matched with effective accountability. Urgent measures are required to restore public confidence.
The way to repel the mood of pessimism is to set out a message of hope. We need a positive vision of how the country can emerge out of the recession. By 2013 Ireland can achieve GDP growth, increased employment and rising living standards. This will be done by successfully exporting goods and services abroad. These earnings can be attained if we can restore competitiveness and attract investment.
We face a winter of conflict. Impact is already balloting its 55,000 members for strike action in essential public services to resist a threatened 5% pay cut. ESRI figures indicate higher pay differentials in the public service of up to 25% relative to similar grades in the private sector. Job losses have ravaged the commercial sector of the economy. Some 200,000 have been added to the dole queues and 65,000 have emigrated. Public service job security is assumed. Politicians must explain to our 300,000 public servants that we have to take one step backwards in order to go forward. The Government’s response of the Bord Snip report to date has been weak and disappointing. The three most vulnerable members of the cabinet have publicly repudiated McCarthy’s recommendations. Mary Coughlan, Eamon O’Cuiv and Martin Cullen are among the cabinet’s poorest performers. They have individually derided radical public expenditure reform. This misguided loyalty to their own department and agencies lacks courage. They deliberately undermine the authority of the Minister for Finance, resulting in diminished cabinet credibility.
Brian Cowen’s political authority and standing is being eroded. His equivocation on these issues is damaging Fianna Fáil. The rising star of this Government is Brian Lenihan. Although, I am certain that the sums of NAMA add up to a sweet heart bank bailout and an unacceptable deal for the tax payer, I have to admire his self assured style and growing confidence as finance minister. His strictures about reducing public expenditure by €4bn need to be absorbed by cabinet colleagues. He seems to be the only senior Government politician who attempts to give effective leadership. FF’s minor upward blip in the polls is due to his assertive confidence.
Lenihan now needs to grab the issue of accountability and amend the rules so that poor performance and failure are firmly dealt with. He must publicly endorse the necessity for the ethos behind the Bord Snip report.
He should communicate political leadership that confronts public sector protectionism and denial. He can chart a course for future positive direction for the nation, based on realism and straight speaking. He holds the most pivotal office in Government, with the capacity to turn around our economic fortunes.
Many FF insiders sense the next election is already lost. The general perception is that Bertie Ahern’s decade of power has been ruinous. The Celtic Tiger boom has been blown. We are left with the debris of the bust. Voter retribution on this score is unavoidable. Even deep-seated reservations about Enda Kenny will not save FF and Green seats.
However, a change of Government does not guarantee a remedy to our woes. If and when FF occupies the opposition benches, Cowen’s tenure as leader will terminate. Now is Lenihan’s time to seize his political opportunity. He can elevate his status from politician to statesman. Carpe Diem Brian.
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