THE main social partners have given a qualified welcome to the Budget, thus improving the chances of a successor being negotiated to the Programme for Competitiveness and Work.
The director general of the Irish Business and Employers Confederation (IBEC), Mr John Dunne, welcomed the Budget's general thrust. But he said that excessive growth in current spending made it impossible for the Government "to deliver the radical change necessary to help induce a real improvement in Ireland's competitiveness"
The general secretary of the Irish Congress of Trade Unions, Mr Peter Cassells, said that, he was disappointed that the Minister for Finance had not done more for PAYE workers. However, he added that the Minister "deserves about six marks out of 10 for his performance in getting the balance right.
"Since he was playing with the economic wind behind him better results were expected. The opportunity was not used to introduce radical tax reform, which would eradicate the injustices, within the present system."
While people earning more than £30,000 a year might not have expected much, something could have been done for others, he said. But he accepted that changes in tax and PRSI would help low paid workers "and are generally in keeping with commitments in the Programme for Competitiveness and Work".
He added that Congress would be seeking safeguards to ensure, the new subsidies and allowances to employers were not abused. He cautioned that member unions would be considering their own position on the Budget and a successor to the PCW.
The vice president of SIPTU Mr Jimmy Somers, gave a qualified welcome to the Budget, particularly the social welfare increases. But he said more could have been given to PAYE workers.
Mr Dunne welcomed the reductions in PRSI and the benefit they would bring to low paid sectors of the economy. The measures to tackle long term unemployment should help bring people back into the workforce, he said.
Earlier, in his Budget speech, Mr Quinn put particular emphasis on the importance of social partnership in underpinning economic growth. He said the Government was "committed to commencing work on a follow up to the PCW". He said that he looked forward to an early dialogue with the social partners on the strategic issues involved.