Fears of wages free-for-all as unions lodge pay claims over inflation rate

THERE were renewed fears of a wages free-for-all last night as unions lodged individual pay claims well in excess of the rate of inflation.

Unions representing tens of thousands of workers have already filed substantial claims since talks to secure a national pay deal collapsed in the early hours of Wednesday morning.

This raises fears the country will face a wave of bitter industrial disputes as unions and individual employers clash over wage claims.

SIPTU and Amicus, who between them represent over 100,000 private sector workers, have already lodged claims as the terms of the current national pay deal will expire at the end of the month.

The Technical, Engineering and Electrical Union, which represents 35,000 workers, meets today to plan what it describes as a pay offensive across a number of industries.

Despite the developments, there is still hope in Government that a reality-check caused by the consequences of a pay free-for-all would bring both sides back to the table in the New Year.

There is also speculation a deal can be struck on non-pay issues such as union representation rights and other social issues.

Unions were talking tough yesterday as they claimed local bargaining was a much better prospect than a flawed national wage deal.

“This is about who can inflict most pain on the other,” said SIPTU’s industrial office Noel Dowling. “We’re going to examine after Christmas the possibility of co-ordinated nationwide work stoppages.”

The national pay deal, known as the Programme for Prosperity and Fairness (PPF), expires at the end of the month, although it will run until the summer for public sector workers and many private sector employees in areas such as the retail sector.

A flavour of some of the pay claims has already been indicated by the trade union Amicus, which represents workers in the science and finance sector.

It has lodged a pay claim of 8.5% over the next 12 months compared to the offer of a six month pay freeze followed by a 3% pay rise put forward by employers.

National director of Amicus John Tierney said the union would be protecting workers’ living standards by insisting they get pay deals above inflation and which reflect increased productivity of the sector.

“We still have one of the highest levels of productivity in Europe. We have delivered and a lot of employers have been living on Government-subsidised pay increases through tax breaks. Our tradition is free collective bargaining, so the prospect of that doesn’t bother us,” he said.

SIPTU’s general secretary Joe O’Flynn said their bottom line was that workers should receive real pay increases above inflation, which is projected to run at around 5%.