Tanaiste says limited scope for pay rises

The Tanaiste Mary Harney has hinted tonight that there is limited scope for pay rises in the current partnership negotiations.

In a statement this evening she said that maintaining competitiveness and job creation will dictate the course of negotiations for a new national pay deal.

IBEC had angered the Irish Congress of Trade Unions by suggesting there should be a six month pay freeze.

SIPTU had complained that yesterday's opening talks between the social partners were biased in favour of employers.