Ictu delegates vote overwhelmingly to enter pay talks

THE IRISH Congress of Trade Unions has voted overwhelmingly to take part in talks on a new national pay agreement

THE IRISH Congress of Trade Unions has voted overwhelmingly to take part in talks on a new national pay agreement. Martin Wall, Industry Correspondent, reports.

At a special conference in Dublin yesterday union delegations voted to go into the process seeking pay increases which would protect against inflation.

They will also seek the introduction of a new comprehensive pensions policy, investment in public services and legislation to provide for equal treatment for agency workers and for trade union representation rights.

Preliminary talks between the parties on a new pay deal are to get under way next week.

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Taoiseach Bertie Ahern welcomed the decision. He said that while there could be no guarantee that an agreement would be reached, any outcome in respect of wage bargaining had to be realistic and take account of the domestic and international economic situation.

Ictu general secretary David Begg told the conference that under the current deal workers had received increases of 10 per cent, while inflation had been 12 per cent. Most people had been left adrift to the tune of 1 to 1½ per cent, he said. And workers had not received anything from the 11 per cent economic growth over the same period. Mr Begg dismissed calls by the OECD for wage restraint and rejected fears of a wage/price spiral.

He also criticised the huge salary increases received by senior executives in the private sector. He listed pay scales ranging from €1 million to €4 million per year for senior executives in some companies. "Somebody has taken us for a ride and it cannot go on," he said.

Mr Begg also maintained that action on agency workers was crucial as some employers were seeking to use employment agencies to get around tightened regulations governing the labour market. "By using the loopholes that are there, is is possible for employers to avoid entirely any provision in terms of equality in terms of paying people the rate for the job.

"More insidiously, it is possible to avoid the general provisions for equality in the selection of people by profiling them and allowing agencies to put forward people who meet the profile of the employer and, therefore, they do not have to worry about discriminating about people who are pregnant or old or black or disabled," he said.

Impact general secretary Peter McLoone told the conference that if there was no new national deal the Government and employers could seek pay cuts from ordinary workers.

"These people and their organisations want lower wages and fewer protections against exploitation. Social partnership is the only process that will protect living standards in this environment, and only trade unions have the capability and determination to ensure that it delivers for ordinary workers," he said.

Mr McLoone criticised business leaders and politicians for double standards on pay. He said they were out of touch with reality if they expected wage restraint from ordinary workers while top earners got huge pay rises.

Siptu president Jack O'Connor said the issues of pay, protecting labour standards and upskilling were all inter-related. This was why the union had stressed the importance of securing equal treatment for agency workers.

"There is no point in securing a wage increase if tens of thousands of our members never see it because they have been displaced by agency workers," he said.

Jimmy Kelly of Unite said it had set out five "deal breakers" including pay, the right to trade union recognition, pensions and equal treatment for agency workers.

Paddy O'Shaughnessy of building union Batu said unemployment and job creation should be on the agenda given the current downturn in the construction sector. INTO president Declan Kelleher said that the union was fed up with one-sided partnership.

"An increase that merely matches inflation this time around will, in itself, be unacceptable.

"An increase which merely matches inflation and expected additional productivity will be straight out the window."

Larry Broderick of the bank officials' union IBOA said his members wanted a minimum of 10 per cent over two years.

Key issues: proposed pay deal

Ictu is attempting to have five core issues addressed in negotiations on a proposed national pay deal:

• Pay increases to protect against rises in the cost of living and to redistribute wealth;

• A comprehensive pensions policy involving a mandatory contributions regime to secure the livelihoods of workers in retirement;

• Legislation to provide that workers supplied through employment agencies would have equality of treatment;

• A new legal framework to provide for trade union recognition and representation;

• Investment in public services.