Dáil debates

Friday, 11 December 2009

Social Welfare and Pensions (No. 2) Bill 2009: Committee and Remaining Stages

 

3:00 pm

Photo of Paul GogartyPaul Gogarty (Dublin Mid West, Green Party)

I suppose if I am sitting here, I am a target. My name has been mentioned by a number of speakers. Yes, it is hard for me, and I would hope for any other God-respecting humanist republican - you name it - to support measures that hurt the vulnerable. Of course, it is hard for me. It is hard for me to gratuitously insult many of my constituents who are public sector employees and tell them: "Listen, lads. It is necessary. I feel your pain but it is necessary". To them, it comes across as baloney, insincerity, political rant. We have had much of that in past the couple of days in this Chamber although I must acknowledge we have had much sincerity also.

I will take at face value the sincerity with which the Deputies on the opposite side of the House have expressed themselves although I know also that perhaps some of their colleagues were more interested in point-scoring and political opportunism than sincerity. If I was on the Opposition benches, not having access to the figures, not being involved in the negotiations for the programme for Government and not having been kept in the loop this year, which we certainly were not last year with the rushed budget, I would be clamouring for blood and pointing out the unfairness of this budget. It would be highly disingenuous of me and totally insincere, therefore, to say anything other than that this is a grossly unfair section and that the Bill is grossly unfair.

I have received God knows how many texts, including today, from constituents in both the public sector and those in receipt of social welfare. They say it is a shame and a disgrace, and ask "How can you hurt vulnerable people?" Unfortunately, this is what this debate is about. The Labour Party says there is a radical alternative. Those on the Government benches say there is no alternative. I believe there was an alternative in our society and there may still be an alternative. However, as far as this budget goes, there is not much room for manoeuvre. That is the problem. I stated on the record last night that approximately €3.2 billion is being paid in interest on our loans this year. If nothing is done by 2013 it will go up to €11 billion, a quarter of our tax take.

The Green Party argued for a number of things. Personally, even though I be shot by some sectors for saying so, I believe certain people over the age of 65, if social welfare is being cut, could also take a 1% or 2% cut, instead of the blind, the carers and other sectors. That did not happen, a judgment call was made. Some might say it was a cynical decision by Fianna Fáil to protect its electorate. Others might say that the pensioners were hurt last year, as the protest showed, and we should not hurt them this year. A cynic might say again that the pensioners can come out and protest whereas the more vulnerable cannot.

I am trying to look at this objectively. There are reasons for protecting our senior citizens. People got on to me before the budget saying they did not care about the pain but they did not want their mother or father to suffer a cut in their pension. There were reasons for that but the knock-on effect of not cutting pensions means the other areas of the welfare budget had to be cut instead.

We in the Green Party argued for a reduction in the overall level of cuts. I will not go into detail, I will leave that to someone else, but we succeeded in getting it reduced somewhat from what it might have been to the 4.1% it is now. That was a trade off from various sectors.

The trouble is, no matter where there is a trade-off, someone will get hurt. If a relatively low income earner in the public sector is being levied with a 5% pay cut, if social welfare is not touched when that pay cut is brought in, all of a sudden that person would probably be better off leaving his job, even with the pension security. If he has just started in the public sector and is on a low income, the pension is a long way off and he might say that this is a chance to get out if the offer comes for reductions in staff numbers.

If pay is reduced in the public sector, social welfare must also be reduced and it has been reduced by less than the lowest earners in the public sector. It hurts those on social welfare, and it certainly hurts those within the public sector, but if money is not taken out of the public sector, social welfare is increased and vice versa.

We have had a debate about the rich needing to pay more, and I agree with that. We argued in this budget and the Green Party is disappointed that a third rate of tax was not brought in this year, although we understand there is a commitment it may be brought in next year. We are disappointed the PRSI levy was not introduced this year, because we argued vehemently for that as well. We argued vehemently for many things, such as the introduction of a carbon tax and the protection of education and we got some of those things but we did not get everything. Taken as a package, however, we could not ignore the reality that we must make €4 billion plus in savings or else the interest rates we pay on our overdraft will go up.

I agree with the Minister for Finance on one point. He was overly conservative on the application of additional taxes. There is a strong case that if taxes are increased and revenue goes down and the €4 billion magic figure is not achieved, it is totally pointless. I agree, but he was a little conservative in terms of getting rid of the loopholes and areas where people make savings on their tax liabilities. More needs to be done and it needs to be done quickly. I acknowledge the levies that came into force in April affected the higher earners far more while those on social welfare were affected less.

Having said all that, I genuinely acknowledge the call to solidarity by Members on the Opposition benches and I take it as a sincere call. Like everyone in this Chamber, I am proud to call myself a republican. Far too often, however, republicanism in Ireland has been paddywhackery. I do not want to go off on a tangent but I remember sitting in a pub once and when everyone was pissed out of their brains, and the rebel band was playing the national anthem at the end of the night, as a naive 16 year old, I sat down because I thought this was an insult to our national anthem. Someone whacked me in the back of the head and asked if I was not proud to be Irish. I said I was proud to be Irish which is why I sat down.

It is like that now. I am damn proud to be Irish. I am not proud of what has happened, I am not proud of the fact the banks had to be bailed out, of the corruption and worship of mammon in this country that has brought us to this sorry state, I am not proud of that, colleagues,-----

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