Welfare payments to be spared from ‘pinch’

CUTBACKS across other Government departments will be needed if social welfare payments are to be maintained throughout the recession, it was admitted last night.

Social and Family Affairs Minister Mary Hanafin insisted her department would be spared as others were forced to feel the “pinch” of the downturn.

The news came as negotiations for a new national pay deal appeared deadlocked as unions branded a wage freeze “a non-runner”.