SIPTU vote could derail budget plan

THE national wage agreement which the Government hoped would give certainty to its public service pay bill in today’s budget, looked far from certain to being ratified by the country’s biggest trade union.

If SIPTU does not vote in favour of the national wage agreement, it is likely to collapse. If the union rejects the 21-month deal with 6% pay increases following three and 11-month pay pauses in the public and private sectors respectively, this means the figures upon which the Government is basing its exchequer expenditure are no longer reliable.

At a special delegate conference yesterday, the union was clearly divided.

The union executive gave an outline of what the deal would entail, including a projection that its value will be 0.3% more than the expected rate of inflation over the 21 months.

Union officers highlighted the non-pay high points of the agreement — the pledge of a review process for collective bargaining, as well as the promise of new legislation on anti-victimisation in the workplace. They also mentioned its lows, not least the failure to secure gains on universal pension provision.

The SIPTU officers said they had, as general secretary Joe O’Flynn put it, “not left one cent” at the negotiating table.

Their efforts were given a very mixed reception, however. Several members said the executive had done the best it could in the talks and therefore they would be advocating a “yes” vote.

But others were less convinced and what will concern the union executive is that the agreement’s opponents were not just the elements who had traditionally opposed social partnership.

Des Derwin of the Dublin Electronics and Engineering branch said any deal which relies on a pay increase of 0.3% is not reliable.

“It is the worst partnership deal ever,” he said. “If there is a year’s pay freeze in the public sector where is the year’s profit freeze and the year’s price freeze? If this the best that can be achieved in a partnership deal we can do better by fighting for better outside partnership.”

He was joined in his opposition by the executive of the Waterford branch which raised concerns that 6% will not cover inflation over the duration of the agreement.

SIPTU president Jack O’Connor defended the agreement.

“Whether it is the worst deal is a matter of judgment. I would certainly accept that it is by no means the best deal but it is also the worst of times since these agreements began.”

The union will begin voting on whether to accept or reject the deal on Thursday. The ballot will be completed on November 6.