IFA split would not be in anyone’s interest

WITH the executive-pay crisis threatening to rip the Irish Farmers’ Association asunder, it would not be surprising if further revelations come to light concerning the pay, pensions and perks of those at the top of Ireland’s most powerful lobby group. Moreover, with some irate farmers already cancelling their membership, the danger that it could be riven by the proverbial ‘split’, a cancer which has destroyed many an Irish organisation in the past, cannot be dismissed.

Its 90,000 members are reeling following the sudden resignation of IFA president Eddie Downey amid a scandal surrounding the scale of a golden handshake and the pension package given to ex-secretary general Pat Smith. They were incensed when he called for his €1 million severance payment lump sum to be given to charity.

Meanwhile, the public yesterday saw another side of the farming community in action when the Irish Creamery Milk Supplier Association (ICMSA) held its annual meeting in Limerick. Though much smaller in comparison with the IFA, its 16,000 members also carry considerable clout. That explains why EU Agriculture Commissioner Phil Hogan and Agriculture Minister Simon Coveney were both at the meeting where delegate after delegate told them in no uncertain terms how angry they were over current milk prices.

Founded in 1950 following a ministerial announcement that creamery milk suppliers faced a price cut, the ICMSA is five years older than its IFA rival which is widely regarded as one of Europe’s most effective lobby groups. No Government wants to see Dublin brought to a halt by a cavalcade of tractors driven by IFA members. Ministers for Agriculture quake when they see them marching down Kildare Street to protest outside the department.

Arguably, however, such issues as size or power can sometimes be more or less irrelevant compared to the importance of transparency and accountability, quintessential ingredients of corporate governance and the corner stone of every business organisation worthy of the name.

Mr Coveney said he was shocked by the scale of Mr Smith’s salary which he described as “inappropriate” . Saying it was not his role to tell the IFA, a private organisation, how to run its business, he warned it faced a “massive challenge” and needs to be totally transparent about how money is spent.

Mr Coveney also advised it act on the recommendations of Con Lucey, former chief economist, who resigned because his warnings were ignored. Mr Lucey is preparing a detailed report on the IFA’s financial dealings. Expected to be a bombshell, it will include the pay of all executives, plus details of IFA-controlled companies. Due to be submitted to the IFA executive council on December 15, it is expected to lift the lid on an organisational can of worms.

Not only are the members entitled to know how their hard-earned money is being spent, the public also has a right to learn the truth about an organisation which plays a vital role in rural Ireland. Against this murky backdrop, the IFA must guard against a witch- hunt. It must also exercise caution and avoid throwing the baby out with the bathwater.