Beverley Flynn (Mayo, Fianna Fail)

I thank the Deputy for pointing out the obvious. The decision to which I refer will have a major impact on public servants whose contribution is valued. I have the height of admiration for nurses and stood with them when they sought additional pay. However, the sad reality is that public servants can only be paid if sufficient money is garnered from tax receipts. The advantages they have over those in the private sector are job security and pensions. In the light of the fact that 36,500 people lost their jobs in January, the job security to which I refer cannot be underestimated.

It has been stated public servants did not contribute to the difficulties we now face. During the past 12 years when the economy improved, the public service expanded greatly and wages paid to those employed within it increased substantially. These wages must be paid from the wealth generated in the economy. That wealth is simply not being generated. While I accept that the decision taken by the Government was both painful and tough and will have a significant impact on these individuals — many of whom contacted me today — I am of the view that it will secure employment. Those working in the public service will come to realise that they will have jobs. The correction we are making is to try to assist the 36,500 who lost their jobs last month and others in returning to the jobs market and obtaining gainful employment.

I do not like to see anyone attacking the public sector. Neither do I agree with pitting the private sector against the public sector. The latter was happening on every radio programme to which I listened today. Everybody must play his or her part.

What was announced yesterday represents only half the equation. It has been acknowledged that a cut of €2 billion is required this year, that a saving of €4 billion will be required in both 2010 and 2011, that a saving of €3.5 billion will be needed in 2012 and that a saving of €3 billion will be necessary in 2013. That is a massive task and we can only deal with it if we work together in the belief we will be successful. The belief to which I refer is lacking throughout the country and in the House. If Members do not believe we can be successful, it is difficult to expect ordinary citizens to believe we can solve this crisis and that by 2013 we will reach a position where tax receipts will equal expenditure and that there will no longer be a budget deficit. That is what we are trying to achieve.

I am concerned about the other half of the equation — the stimulus required to generate wealth in the economy. It is not just all about cuts. We need to stimulate growth and get those in the construction sector back to work. In the House the terms "construction" and "industry" have almost become dirty words. The sad reality is that we are dependent on those involved in the industry to generate wealth. Many in the sector — carpenters, electricians, plasterers and bricklayers — are on poor wages. The vast majority are now out of work. A large number of my constituents depend on the sector for their living. "Construction" is not a dirty word in County Mayo and I would like the sector to be revived.

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