Government briefs unions, employers on economy

The Government is briefing unions and employer representatives on the state of the economy at a special meeting this morning.

The Government is briefing unions and employer representatives on the state of the economy at a special meeting this morning.

The talks at Government Buildings are the first formal contact between the Government and the unions since the collapse of talks on an agreed economic recovery programme a month ago.

Employers’ group Ibec is also attend the briefing by the Department of Finance on the economic situation.

Informal contacts have been ongoing for the last week or so between senior union figures and Government representatives about the possibility of a resumption of talks on a social solidarity pact for economic recovery. However there has been no indication to date that any such negotiations would recommence.

READ SOME MORE

Government sources last night denied that the economic briefing today would represent a step towards the resumption of talks with the unions. They said the social partners were being offered the same briefing by the Department of Finance on the economy as had been provided to the Opposition parties yesterday.

Senior officials from the department briefed Fine Gael deputy leader Richard Bruton, Labour deputy leader Joan Burton and Sinn Féin finance spokesman Arthur Morgan yesterday morning.

The Government has said consistently over the last week or so that it does not believe there is a basis for formal dialogue with the social partners at this stage.

A similar briefing for farming organisations and the social and community pillar will be scheduled later.
The talks between the unions and the Government broke down a month ago over the introduction of the controversial pension levy for about 300,000 staff in the public service. The unions have sought measures such as additional taxation to provide a balance to the levy and to ensure that all sectors are contributing to the recovery effort.

One union source said yesterday that talks were unlikely to resume unless both sides believed the basis for a deal existed.

Unions are currently balloting members on a one-day strike scheduled for the end of March in sectors where the national pay deal, agreed last autumn, has not been implemented or an alternative put in place. Such a stoppage, if it went ahead, would affect the public sector and significant parts of the private sector.

Last week Ibec called for the Government, the main Opposition parties and the social partners to agree on a national recovery plan.

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent