Lenihan: Strikes will result in further pay cuts

PUBLIC sector workers were last night warned they would pay for all-out strike action with even deeper wage cuts as the Government and unions squared up for an “explosive” battle.

Finance Minister Brian Lenihan issued the blunt message as he put employees at semi-state companies like ESB on notice they could be targeted for wage reductions next as he opened up a second industrial “war” front.

IMPACT general secretary Peter McLoone branded the comments “provocative” as he insisted “sustained” action – which could include all out strikes – was imminent as the situation was now “explosive”.