Trade union concerns over who’ll pay most

PUBLIC service trade unionists are well-versed in defending themselves from accusations from vested interests — both Governmental and commercial — of enjoying a privileged position compared to their private sector counterparts.

Yet before Brian Lenihan’s eagerly anticipated four-year-plan for economic recovery is even unveiled this afternoon, the spokesmen for those trade unionists will already be rehearsing a defence to the predictable onslaught from commentators that they are not being forced to pay their fair share.

Never mind that taxation increases will affect every paycheck whether it is signed by Joe Bloggs builders or has the stamp of the HSE.

And never mind that a reduction in public services means civil servants will see their hip operations delayed for just as long as their private sector counterparts.

Nonetheless, there is an element of certainty for public servants which just isn’t there for those employed by private enterprise.

Bar “no unforeseen budgetary deterioration”, the Government and its likely successors are indicating they will stick with the Croke Park deal on public service pay and reform.

While yearly reviews are now intimated, public service unions are still of the opinion that for the next four years public servants’ core pay will remain untouched and their jobs will remain secure unless they opt for voluntary redundancy.

The same guarantees simply will not apply to private sector equivalents.

A reduction in the minimum wage now seems inevitable.

It may not be explicitly announced today under its exact title but it will almost certainly be strongly hinted under the moniker “workforce adjustment”.

SIPTU president Jack O’Connor has been highly vocal on the effects such a move will have, pointing out it will continue the deflationary spiral into which the Government has pitched the country over the last two years. He says the “pathetic scapegoating” of the low-paid through wage cuts and the vulnerable through social welfare cuts will further reduce spending power in the economy and aggravate even further the effects of the recession.

What will be of concern to trade unionists of both sectors is the near certainty that a cornerstone of today’s announcement will be the insistence on driving down costs to business in order to increase competitiveness.

“My big fear is that the interests that brought about the collapse (of the economy) are now exploiting the Government’s weakened position to write the script for the future in their favour,” said Mr O’Connor.

“The real danger is we find ourselves locked into an agreement with the EU and IMF based on a national plan which has not been the subject of any consultation with the people and into which the people have had no say and the next Government will be greatly restricted as a result of it.”