Brendan Howlin (Wexford, Labour) | Oireachtas source

I might have the opportunity to respond to Deputy McDonald's question if I piggyback it onto these questions, as I did not mention the troika when she raised that matter.

We need to find €300 million in payroll savings in this year's budgetary arithmetic. We must embed them in a way that achieves savings of €1 billion by 2015. When we embarked upon this process, I had no illusions about how difficult it would be. I commended the public sector unions on engaging in the process. It would have been easier for them not to involve themselves and to tell us to impose what measures we wanted so that their fingerprints would not be on them.

Nevertheless, they did engage and they put forward solutions. Some engaged tentatively. Some attended but did not engage at all. That was their own decision, but those who did engage contributed to what was demonstrably a reasonable package. One could ask what is fair. Is it fair to take a cent off anyone? In truth, all the reductions in expenditure impact on people and we would rather not do it. Any of the reductions could be described as unfair. I refer to the reductions in the social welfare budget in recent years. A previous Government decided to unilaterally cut all pensions and social welfare benefits. All of those things are very difficult. I commend those who were involved. We must now reflect on how we can go forward but the inescapable truth is that we need to get the money.

I had more than one discussion with the head of the troika since the vote. He understands the result and what it means. No doubt my officials and the officials from the troika will engage in discussions over time, but they like us understand that this is an issue that must be addressed. We must find a solution that finds the money in the payroll and pensions Bill.

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