The collapse of talks between the Government and unions over plans to reduce the public sector pay bill was criticised by opposition leaders this evening.
Labour Party leader Eamon Gilmore described it as “an astonishing development” and one which raised serious questions about the negotiating skills of Taoiseach Brian Cowen and his colleagues.
“Once again this Fianna Fáil government has left us with a monumental shambles,” he said.
“It appears that the talks were within touching distance of an agreement that would deliver far reaching public service reform, saving the Exchequer significant sums of money, but the government has sabotaged this apparently because it now considers that an agreement at this time would not be politically opportune,” he added.
Mr Gilmore said the Government had been in a uniquely favourable situation given that opposition parties and unions had both accepted that there was a need to reduce the public sector pay bill by €1.3 billion.
“This is surely the most incompetent government in the history of the state,” he said.
“They made a mess of the economy. They presided over a mess in our banking system. They have now made a mess of the talks with the unions and all the signs are that they are now going to make a mess of next Wednesday’s budget.
Fine Gael’s Richard Bruton said the collapse had left the Government economic policy “in tatters” just five days ahead of the Budget.
Mr Bruton said the Government’s handling of the talks “beggars belief and marks a new low in Brian Cowen’s premiership.”
“Fianna Fáil has been at sea from day one, changing its mind on a regular basis and making up its strategy on the hoof, so it doesn’t come as much of a surprise that the talks have broken down.”
“The private and public sector depend on each other, and have a common interest in rebuilding a strong jobs economy.
“But it takes strong leadership and strong Government to bring the two together.
“This is singularly lacking from the current Fianna Fáil administration,” he added.