Compromise key to agreement

AFTER 22 hours of non-stop negotiations at Government Buildings, preceded by weeks of debate and intransigence on both sides, the social partners finally confirmed they had reached a framework deal that they could bring to their members.

The deal, 6% over 21 months with an additional 0.5% for the low-paid as well as a range of non-pay components, contained elements which all sides had difficulty with but upon which they were eventually willing to compromise to achieve a deal.

For example, for the last 10 days private sector unions had said repeatedly they would not accept any pay pause for their members, but in the deal private sector workers must accept three months without any rise.

The same unions had also been looking for flat rate increases of at least €30 a week for their low-paid members. However, all they received was 0.5%, as little as €2 a week in some cases.

On the employers’ side, IBEC had long been opposed to any moves on agency workers that would impact on the flexibility of their members. Yet the agreement contains a commitment to develop a national framework on the employment and rights of temporary agency workers that also states they cannot be used in the case of official strikes or lockouts.

There are compromises in every section of the deal including collective bargaining, pensions and public service modernisation.

However, yesterday the majority of the social partners appeared happy with what they had achieved.

Peter McLoone, general secretary of the IMPACT public service trade union, said while the new agreement entailed a special sacrifice from public servants in the form of an 11-month pay freeze, he said it was the best deal available in the current economic and financial climate.

IBEC director general Turlough O’Sullivan said it may take several weeks to decide which was the right course of action for the country.

“It’s a matter now for the membership of all the organisations to consider the draft,” he said.

“That’s what it is, it’s a draft. But it was the best the parties could do under the circumstances. Hopefully this draft agreement will give us some breathing space to confront the serious difficulties the economy is facing. The architecture of the agreement is capable of responding to whatever needs an organisation has in terms of their commercial and economic circumstances.”

However, not everyone was happy with the outcome.

Larry Broderick of the IBOA finance union said while some progress had been made on workplace issues, the outcome in relation to pay and collective bargaining “has fallen short of our expectations”.

Fine Gael finance spokesman Richard Bruton welcomed the conclusion of the pay talks but said the lack of any reforms or anti-inflationary package would mean that any gains for workers would be threatened by rising prices and the faltering economy.