Taoiseach Brian Cowen has today expressed the hope that public-sector workers will decide not to take industrial action over the imposition of the pension levy. He was responding to the decision of the Civil and Public Services Union (CPSU) to call a ballot for this purpose.
Speaking in Tallaght after the launch of a new project to extend the Luas rapid rail line to Citywest, Mr Cowen said: “Obviously one would be disappointed if industrial action were to be an outcome here."
"We obviously had to proceed with decisions last week in the wider context of real concerns in the wider economy regarding employment, regarding public finances. And the security of tenure that is available in the public service, I think is something that everyone appreciates," Mr Cowen said.
"I hope it would be the intention of everyone not to affect the services that people depend on because the public services are important to people in the months and years ahead.”
On the recapitalisation of the banks, Mr Cowen said: “Those discussions are ongoing and we hope to finalise them shortly. I would make the point that since the guarantee scheme was introduced we have the ability as Government under this remuneration oversight committee to look at all areas of remuneration in the banking sector for those institutions that are covered by the guarantee. They will be reporting in the coming weeks to the Minister for Finance and we expect those recommendations will be implemented.”
Asked to comment on remarks attributed to European Commissioner Charlie McCreevy that the imposition of conditions for recapitalisation was politically shortsighted, Mr Cowen said: “I haven’t heard these direct comments of Mr McCreevy. Obviously he would accept that the Government wants to make sure that there are certain areas of activity that will be addressed in relation to this investment. This investment is important for the wider benefit of the economy, which is an important point to make.
“It’s important that we have confidence and stability in our banking system and as you know there has been a very difficult international situation from the financial side of the equation for some time. And I think it’s important that we proceed in a way that will benefit the wider economy, that’s the whole purpose of the recapitalisation idea,” the Taoiseach said.
Asked about suggestions that welfare payments should either be brought down or frozen in the next Budget, on account of the deflationary position in the economy, he said: “These are Budgetary matters and I want to make the point that, in good times obviously we’ve been able to bring significant improvements to those who require and depend upon social welfare.
"That’s only as it should be. With increased resources available to the State in the course of those years, we made every effort, not only to meet inflation issues but even to go beyond because, as you know, people on fixed incomes do require the State to continue to be of assistance to them in these difficult times. So all these matters will be looked at in due course.”
Asked about suggestions that a package might be put in place to protect home-owners facing repossession due to redundancy, Mr Cowen said: “I have been saying for some time now that in the event of people becoming unemployed as we’ve seen in recent times or in the course of the coming months, this year and next, there are difficult times ahead for the economy, that people find themselves in that situation, that we put on a statutory basis a code of conduct which is in place and make sure that it refers to all financial institutions in the country, and I think that would be an important advance to ensure that we deal with such difficulties in a humane way that would reinforce for people that every possible effort must be made to have them reschedule those repayments where there is a genuine hardship.”
Asked if he would be adopting the suggestion of the Green Party that the Government jet be got rid of, he replied: “In the context of a government doing its business in the modern age there is a need for such facilities. They are only used where it is appropriate.”
