Brian Stanley (Laois-Offaly, Sinn Fein) | Oireachtas source

I welcome this opportunity to speak on the motion tabled by the Technical Group. Not only has there been a significant increase in income disparity and inequality in general since the economic downturn began, but there is no sign of things improving. This is not just our take on it as it is what the ESRI has shown. The Government may claim the economy is picking up, but the most recent statistical evidence shows the number of people subject to deprivation continues to increase. In County Laois 16% of mortgage holders are more than 90 days behind on their payments. I meet many of these people and see not only the suffering and deprivation but the mental torture and anguish they go through. They do not have a solution because there is a hole in the legislation which was passed several years ago. The banks were given a veto, which we pointed out at the time. This needs to be revisited and there needs to be a level playing pitch for people. The small people stuck with these mortgages do not have a NAMA.

The number of people living in material deprivation and the number of children living in poverty are high. One sixth of people with a job, and 28%of children, are in poverty. I heard the Taoiseach state the best way out of poverty is a job. I agree with him, providing the job pays a wage. The social welfare system is propping up much of this low-wage economy because without family income supplement, FIS, payments many people could not go to work. I am not arguing against FIS but we should not be so dependent on it to subsidise employment in companies making profits.

While the Government points to a revival in GDP growth and a fall in unemployment statistics, which are welcome, unfortunately this may not be reflected in an improvement in the circumstances of a large part of the population. The numerous cuts inflicted by Fianna Fáil, Fine Gael and the Labour Party have had a disproportionate effect on low income groups such as lone parents, people with disabilities and the unemployed. This is clearly shown by the ESRI findings. Cuts to child benefit, the carer's respite grant and jobseeker's allowance have all hit these groups very hard.

Unfortunately, having a job is not a guarantee that a person or a family will be free from poverty. A total of 16% of adults with an income below the poverty line are working. Surely this is unacceptable, even for the most fervent supporters of unbridled capitalism. The fact so many working people live in poverty is a consequence of the successful campaign by powerful interests to drive down wages. So successful have been low-wage employers that the previous Government cut the minimum wage, as if it were not already low enough. I need not say any more about this. I welcome the fact the Government restored it but we need to re-examine it, because, apart from the period it was cut, it has been at the same rate for approximately eight years. People on the minimum wage are living in poverty. We meet them in our local supermarkets every Saturday.

Yesterday, ISME made a bizarre claim. It stated the minimum wage has not addressed poverty, which is partly true, but then it made the somewhat illogical deduction that even lower wages would help in this regard. What does it suggest? Does it suggest a rate of €6 or €5 an hour and that people work 80 hours a week?

Is that their way out of poverty? Even if someone was earning €500 per week, which is counted as a liveable wage, and working serious hours at that, what about the rents? The fact that a major portion of income is going on rent is a serious problem, particularly in large towns and the capital city.

The boom was built on a bloated and unsustainable property market and by people selling overpriced houses to each other. We know what that was about and how that was created. However, what is termed the recovery is being built on the exploitation of workers. The need to tackle poverty goes beyond the austerity policies of the State. It involves ensuring that working people are paid properly, have proper working conditions and are able to afford a place to live. There should be proper conditions, a proper diet and clothes and the basics of life. Combating poverty also means having access to good public services, including health services, education, housing and public transport. All citizens are entitled to that.

The thrust of the motion includes reference to many of the costs. However, there is one line in the motion suggesting that the Minister, Deputy Michael Noonan, should go and find the money. That is a little glib. I want those cuts undone, as does Sinn Féin. However, the motion does not include the cost or what it would take to undo them. While we support undoing those cuts over a period, we have to be realistic. We have to target the most serious cuts first, undo those having the worst effects, including those I mentioned, and then try to lift people who are really on the floor out of poverty again. Anyone making that proposition needs to set out what the cost of this would be and where the money will be found. Our party will continue to do that.

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