Troika given assurance on forced wage cuts, SF claims

Sinn Féin has said the Government told the troika it would force through salary cuts if a new agreement on public sector pay was not reached.

Troika given assurance on forced wage cuts, SF claims

The troika is currently conducting its 10th review of Ireland’s obligations under the financial bailout.

The Department of Public Expenditure refused to comment on the claim, saying fresh efforts were still under way to reopen talks with trade unions following the collapse of the Croke Park II talks.

A Sinn Féin delegation met the troika yesterday, when opposition TDs outlined their concerns about austerity and any threat to force through pay cuts on public sector workers.

Party finance spokesman Pearse Doherty said the troika had explained their own concerns about the Government’s spending, but that there would be no changes to saving measures.

Mr Doherty claimed the delegation was told that the Government had committed to imposing pay cuts on workers if no new deal to save €300m in pay this year could be reached with unions.

“The Government have confirmed to them that they will continue to pursue €300m cuts in payroll through negotiations and failing that, they confirmed to them that they will impose this unilaterally, which we have outlined to them will have dire consequences for individuals and for the economy, to see this State go into wide-scale public protest and strike action,” said Mr Doherty.

“They believe there is no scope to reduce the fiscal deficit or to ease off the austerity measures.”

Mr Doherty said the troika had concerns relating to spending in health, which included a failure to reduce spending on drugs, and concerns about access to credit for SMEs.

“They outlined in great detail how they are monitoring the department of health on a monthly and a weekly basis in relation to meeting the savings,” said Mr Doherty, adding that Sinn Féin had told the troika the recovery programme had worked for the banks and the markets but had failed for the ordinary person.

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