Builders’ group may pull out of pay deal

IN spite of a Labour Court recommendation for a 7.5% pay rate reduction, the Construction Industry Federation has given a strong indication it may withdraw its support from the Registered Employment Agreement which decides pay and conditions in the sector.

The CIF had applied to the Labour Court for a 20% reduction in the pay rates in the construction sector, pointing out that such a wage cut could help restore some of the 200,000 jobs lost in the industry over the last two years.

However, arguing against the cut, trade union leaders said construction workers had already suffered a massive drop in income from loss of bonuses and overtime and could not afford any cuts in basic rates of pay.