Cowen ‘in talks with unions on wages’

TAOISEACH Brian Cowen has claimed to have held discussions on the viability of the new national wage agreement with trade unions as part of ongoing efforts to fill an expanding hole in the budget.

In angry exchanges, he told the Dáil that savings would have to be made in day-to-day spending although he remained committed to the principles of social partnership.

Mr Cowen made the revelation during leaders’ questions when asked by Fine Gael’s Enda Kenny to detail his strategy for handling a projected deficit of €8 billion this year.