Finian McGrath (Dublin North Central, Independent) | Oireachtas source

First, I thank the Acting Chairman for the opportunity to speak on this new legislation, the Financial Emergency Measures in the Public Interest Bill 2013. The Bill is an attack on all public servants and one should not beat around the bush, it will cause further hardship to all public servants and their families. In addition, it will suck out more money and spending from the local economy and will damage further the potential to create and develop jobs and local employment in the small and medium-sized enterprise, SME, sector. Neither the Minister nor the Government appear to get it. Ireland's jobless figures are still among the highest in the European Union. Moreover, its long-term unemployment figures also are among the highest in the EU, despite recent initiatives such as changes in the welfare system and the provision of more training opportunities for people looking for work. Approximately 62% of Ireland's unemployed people have been without a job for a year or more. This is far in excess of the EU average of 45% and these people make up 9% of the total Irish population. I raise this point because it is relevant in this debate. Under other definitions, these statistics could be even more dramatic as the European Union's approach to measuring long-term unemployment is generous when compared with that of the United States Bureau of Labor Statistics, which defines it as being 27 weeks or longer without a job. Unemployment statistics also do not take account of those who emigrate in search of work. I raise this issue in the context of cutting the wages of public servants who did not cause this crisis. I also mention this in the context of the banking crisis and more importantly, of the debt crisis that is dragging this country down.

Paragraphs 1.1 and 1.2 of the Bill's explanatory memorandum outline measures that will see a reduction in the remuneration of certain public servants on higher rates of pay in excess of €65,000 per annum, which in the present day is not a huge amount of money. The Bill provides for the reduction of the amount of the payment of pension or other benefits, other than lump sums, payable to or in respect of certain persons who are or were in the public service under an occupational pension scheme or pension arrangement or in receipt of pensions greater than €32,500. The Bill also provides for certain contingency measures for savings to pay the bill, which include provision for suspension of incremental progression for three years for all public servants, unless they are covered by a collective agreement that modifies the terms of the incremental suspension and which has been registered with the Labour Relations Commission. This Bill is disgraceful legislation and I will be voting against it. I will stand by our public servants, who do not deserve this injustice and this legislation is not in the public interest.

In addition, I must also point out the issue concerning senior citizens and the effect on pensions of the Bill. The fact there are to be reductions in pension payments, while stated at paragraph 2.27 of the Haddington Road agreement, is inserted in that agreement in a manner that could be construed as in fact forming part of the agreement. However, closer examination reveals it is merely noted in the agreement. The introduction of this Bill without consultation with pensioners or their representative groups is a further matter of serious concern to the citizens and pensioners of the State. Many of the aforementioned groups are very angered and it is important that people should look at the details of this legislation, which is the reason I will be voting against it.

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