IBEC signature of benchmarking bad for members, warns economist

IRELAND’S business and employers organisation IBEC did its members a great disservice by signing up to benchmarking, a leading economist claimed at the Dublin Economic Workshop in Kenmare this weekend.

Jim Power of Friends First said IBEC should now be forced to pay a levy to finance benchmarking, which will provide pay increases of up to 16% to workers in the public sector.

Stressing that wage costs need to be in line with productivity growth, Mr Power said the private sector was proving flexible in that regard, but the public sector pay bill was an issue.