Cyprian Brady (Dublin Central, Fianna Fail)

I welcome the opportunity to speak on this very important issue facing the country. The introduction of the Financial Emergency Measures in the Public Interest Bill is the first step on a long road that lies ahead of us. The daily and weekly economic developments in, and outside of, the country have opened people's eyes to the fact that Ireland is a small and vulnerable economy in the European context, never mind the global one. We have competed for many years in a globalised market. We now find that everyone is directly affected by what is happening outside and inside our borders. I cannot blame people for being concerned about their economic position. When we had crises in the 1960s, 1970s and 1980s, there was not as much information available as there is today. People are exposed to 24-hour news broadcasts and the Internet and amass much information about what is happening elsewhere.

We should not be sorry for what we have achieved in the past 20 years. Much progress has been made which no one can deny. There is much rhetoric about how we squandered this and that. However, when one drives from one end of the country to the other, the improvements in our infrastructure are there for everyone to see. A much larger percentage of our young people complete second level and third level education, which will stand to us in the years to come. The difference between now and the 1980s is that we have a much better educated and progressive population, open to new ideas. As we have proved over the past 20 years, we can take new technologies and adapt them to compete with the rest of the world. In Dublin's inner city, young people are better educated than they were in the 1980s. This is a strength upon which we can build.

Every effort must be made to sustain and protect the economy which is the thrust of this Bill. As one who started at the lowest rung in the Civil Service, I appreciate where people are coming from on the pension levy, particularly those on the lower wage scales. When starting off in a public service job, one could be a long time in one position without getting promotion. When I started in the Civil Service 25 years ago, there was an embargo on recruitment and promotion while a health levy was introduced.

Every Member on this side of the House recognises the role played by the public service. It is one of the main pillars of the country. We are not out to do it damage. We are asking the public service to come with the rest of us to contribute in remedying the current economic position. We are not picking on civil servants. It is extremely dangerous to go down the road of pitching public against private. No one, either inside the House or outside, should go down that road as it is in nobody's interest. It might sell newspapers or get some coverage on television. Society, however, should not be divided. The only way to tackle these current economic problems is by sticking together. In the past 20 years, we have benefitted from social solidarity and partnership between all stakeholders. This has proven hugely beneficial to Ireland Inc.

Prior to Christmas we reached a stage where, despite everyone's efforts, agreement could not be reached in respect of one matter. It is to that matter the Bill before the House relates. We should not throw out the baby with the bathwater. We should continue to negotiate with the social partners. Rather than engaging in rhetoric and denigration for the sake of doing so, it is crucial that we should call on all sectors to come together in order that we might work our way through the current difficulties. That is the only way we will survive.

The Government has been obliged to take difficult decisions in respect of which no one is in favour. However, the alternatives are a matter of concern to us. The further we go down this road — we have a long way to travel and the Bill represents only a first step — it will become clear that the decisions being taken now are in the interests of the country, of protecting ourselves and of sustaining what we have achieved to date.

Previous speakers referred to the banks. Like other Members, I am particularly disappointed with regard to the way some of the financial institutions carried out their business in recent times. However, the reality is that we need a banking system — an economic framework within which people can save money or take out loans and mortgages to invest in their future. Unfortunately, the existing system is under severe pressure as a result of both domestic and international events. The actions taken in respect of Anglo Irish Bank, in particular, and the financial institutions, in general, in recent months were measured and necessary steps. These had to be taken to regularise and stabilise our financial system.

The bottom line is that we need a banking system. We also need to protect people's savings and mortgages. If we throw our hands up and walk away, these individuals — not to mention the thousands who each day deal with members of the public on behalf of the financial institutions — will be adversely affected. Those at the top in the financial institutions have made mistakes and they will be called to account. Guarantees in respect of the latter have been already forthcoming from those on this side of the House. When the measures that have been put in place begin to take effect, people will appreciate that some of the difficult decisions we are making are designed to protect the country's future. The alternatives do not bear thinking about.

I respect people's right to vent their frustrations. Like other Members, I have spoken to many public servants during the past couple of weeks. I also spoke to people in the private sector who are working three or four-day weeks or whose jobs are in danger. These are the people we must protect. As already stated, some of the measures required in this regard are unpalatable and difficult, particularly for us, as politicians, but also for those in the wider community. In time, people will perceive these measures as having helped our cause. I am of the opinion that they will ensure Ireland continues to thrive.

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