Brian Cowen (Laois-Offaly, Fianna Fail)

First, the figure of adjustment we believe is required is in the order of €4 billion, given that at present we are seeking to stabilise, let alone reduce, the deficit position for next year vis-á-vis this year. This is an important point to make.

On the question of the public sector pay bill, as I have stated, we believe that is an area of public expenditure from which a contribution will have to be made towards making that adjustment and we are anxious to discuss with social partners how that can be best achieved, while recognising that it must be achieved. We are prepared to discuss with the social partners their views on that matter while, at the same time, noting, as an employer must, the fact that there is a contribution to be made from that side of the equation which cannot be avoided.

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