No justification for sell-off, warn trade unions

The sale of state assets has been denounced by trade unions, with Siptu general secretary Jack O’Connor claiming there was “no justification” for the move and that the measure was “a tragedy” for Labour.

While the Government argued the sale of the assets for almost €3bn would lead to job creation, Siptu said there would be “no silver lining” on a “sad day” for the country.

Mr O’Connor said: “This measure is coming about at the insistence of the EU-ECB-IMF troika, which is committed to the nonsensical policies that reflect the outlook which caused the economic crisis in the first place.

“[The] announcement regarding the sale of some public enterprises is a sad day for the Irish people and a tragedy for the Labour Party. There is no need to sell the assets of the Irish people at bargain basement prices to generate money for jobs.”

He said the Government could instead establish an enterprise-infrastructure investment fund of upwards of €5bn through a combination of money from the National Pension Reserve Fund, monies incentivised from the private pensions fund by exemption from the levy, and resources from the European Investment Bank.

Unite regional secretary Jimmy Kelly, said the union would oppose the sell-off of ESB assets and would take industrial action if necessary.

“We have consulted over time with our members and we are fundamentally opposed to the fire sale of state assets in order to mistakenly right the wrongs of the banking disaster,” he said.

Mr Kelly queried the country’s energy security and added: “We will remain in consultation with our members but as things stand today any sale will be opposed using every means at our disposal.”

The general secretary of the Irish Congress of Trade Unions, David Begg, said the sale of state assets could cost jobs and had the potential to be another “Eircom fiasco”. He said: “Partial sales are the slippery slope to full privatisation.”

Brendan Ogle, secretary, ESB group of unions, said the EU is looking towards an integrated European Energy Market from 2014 and steps needed to be taken to ensure the ESB was big enough to survive.

“We remain vehemently opposed to any further asset disposal as it is our considered view that this is not required for market, competition or regulatory reasons.”

Impact said any sale of Aer Lingus or Coillte assets risked damage to the Irish economy.

The trade union’s national secretary, Matt Staunton said Aer Lingus’s Heathrow slots were among its considerable strategic assets and the Government would be powerless to influence future route changes if it sells its stake.