THERE CAN be no winners in strike action involving the Government and various public sector unions. But those citizens who rely most heavily on the provision of health, education and other social services will certainly lose. At a time when restraint and careful judgment have become an overriding priority, because of a collapse in Government income and an inability to pay its way, the parties should return to the negotiating table.
Chairman of the Irish Congress of Trade Union’s public services committee Peter McLoone has offered a smidgin of hope that widespread confrontation can be avoided. While insisting that all issues will have to be on the negotiating table, he spoke of “the reversal of pay cuts over time”. Those two words, “over time” may provide a get out of jail card for both parties. It will be a challenging exercise.
Living standards have fallen. A great deal of public anger exists because of the way the economy was damaged by Government policies, property speculation, failures in official regulation, banking greed and outright fraud. A climate of blame transference and rejection of any culpability by all those involved – including the social partners – has not helped. Union officials are now under pressure to immediately reinstate what have become unaffordable public service pay scales. Militant elements are in the ascendancy and are targeting elected representatives. A cooling off period is vital.
There can be no denying the economy’s loss of competitiveness. Equally, social development and job creation will depend on increasing exports. No group should expect to be sheltered from the hard choices needed. The future of a rising generation depends on it. The private sector has been hard hit by pay cuts and job losses. Cuts were deep in the public sector, as an alternative to forced redundancies. There can be no going back on those decisions.
As for the future, a reversal of pay cuts over time is in the interest of every sector. But the desire for higher incomes and living standards should be moderated through a framework that gives priority to job creation, innovation and efficiency. This national crisis provides an opportunity to review our aspirations as a society in terms of equality, the provision of services and social cohesion.
Before the December budget, negotiations between the Government and Ictu identified a series of reforms that could deliver considerable savings in public service pay, depending on levels of implementation. The changes were to take effect from next year. There is no good reason why reforms, efficiencies and new working practices should not be rewarded when the economic storm has abated. In the past, promised reforms failed to materialise, when they were paid for in advance. This time, productivity and Exchequer savings could be monitored by an independent body. Wages could be gradually adjusted to take account of positive developments. The alternative, involving strike action and public disruption, serves nobody’s interests.