Howlin warns of further public pay cuts

A FRESH round of pay cuts could be forced on public sector workers despite the Croke Park deal delivering €600 million in savings, ministers have warned.

The flashpoint with unions came as Coalition tensions over Enterprise Minister Richard Bruton’s move to reform wage-setting mechanisms for low-paid private sector employees intensified.

Growing backbench anger on the issue is expected to see Tánaiste Eamon Gilmore take the unprecedented step of asking Mr Bruton to explain himself to a meeting of the parliamentary Labour Party.