Dáil debates

Thursday, 4 June 2020

Covid-19 (Taoiseach): Statements

 

12:25 pm

Photo of Mary Lou McDonaldMary Lou McDonald (Dublin Central, Sinn Fein) | Oireachtas source

I want to start by extending my heartfelt condolences and sympathies to those who have lost loved ones to Covid-19 in recent days. These are very difficult times for so many who are coping with profound grief. I also want to send good wishes to those who are sick with the virus and I wish them a full and speedy recovery.

We are walking a long road and our battle with this virus and the disruption it has brought to our lives continues. All the signs suggest that we are heading in the right direction. The numbers of deaths, hospitalisations and cases have fallen significantly. Much progress has been won thanks to the strength and dedication of the people.

Now, we must stay the course and see this through.

Black lives matter. The life of George Floyd mattered. His death and the manner of his death matter, too. Racism is, as the Taoiseach said, a virus, and it is a global one. While we stand in solidarity with all in the United States of America as they face the ugly reality of systemic racism and the challenge of solving and overcoming it, we must also do our bit. Whatever its source, rhetoric from the Irish system that decries racism but fails to dismantle the disgraceful and discredited system of direct provision is no good at all. Rhetoric that decries racism but still allows blatant discrimination and injustice against our Traveller citizens is no good either and would beg the response from all onlookers: "Physician, heal thyself." Racism is a virus. We have the diagnosis. Now we need the treatment. Now we need to ensure that we take direct and definitive action. The ball is in our court. What do we do? That is what the death of George Floyd asks of all of us.

Reports this morning that the Government is preparing to cut the pandemic unemployment payment for thousands of workers have come as a significant blow to people who are struggling to cope with the economic impact of this public health emergency. Last night, many workers breathed a sigh of relief when the Minister for Finance, Deputy Donohoe, announced that the payment would be extended beyond 8 June. Today, however, that relief has been replaced by stress and anxiety about the future at a time when people need security and certainty.

Beidh sé mícheart an íocaíocht seo a ghearradh. Cuirfidh sé strus airgeadais ar go leor teaghlach. Nuair a chailleann daoine a gcuid post, ní athraíonn a gcuid chostais mhaireachtála. Tá bíllí fós le híoc agus airgead fós le fáil. Tá dualgas ar dhaoine bia a chur ar an mbord agus caithfear soláthar a dhéanamh do pháistí. Cutting the Covid payment would be deeply unfair and leave many families in difficult financial straits. When people lose their jobs, they lose their incomes, but the cost of living does not go away. The electricity and gas bills still have to be paid. Money still has to be found for the rent or mortgage. Food has to be put on the table. Children have to be provided for. The ESRI has stated that cuts to these payments would lead to an increase in mortgage arrears. The Covid payment has helped workers and families to keep the wolf from the door during this pandemic.

The mantra from the Government throughout the crisis has been that we are all in this together. However, the Government's plan to cut the Covid payment contradicts that message. It demonstrates that, while we might all be living through the same storm, we are certainly not all in the same boat. Thousands of workers who have lost their incomes through no fault of their own will now have their protections slashed. That will have serious consequences.

I acknowledge that there are anomalies in the emergency schemes. I also acknowledge the correction of the anomaly around women returning from maternity leave. The anomalies with the Covid payment should have been sorted out weeks ago - the exclusion of 66 year old workers or, at the other end of the scale, students who would have worked one shift per week. It is grossly unfair and unacceptable to introduce a blanket cut to the payment for all workers who work less than full-time hours. That is a blunt instrument, poorly thought out and a bad approach by the Government. It is also another example of where the Government's plan to reopen the economy is disjointed. It is similar to the Government's shambolic approach to childcare where the sum total of the plan was to send people back to work with no solution for their childminding needs. It is incredible that, as large sections of the economy remain shut, the Government is planning to withdraw an income on which people depend.

The Taoiseach says that this was an emergency payment, but the emergency is still here. This suggests to me that his Government really does not have a clue, or maybe does not want to have a clue, about the pressures on ordinary people at this time. It is a grossly unfair move and a bad decision for the economy because we need to boost domestic demand, and that means protecting, not slashing, household incomes. At a time when consumer spending and confidence are down, the best thing the Government can do is support demand. That is the smart thing to do. It would be the height of recklessness to withdraw income from people and to deny income that is currently being spent in the local economy. The Sinn Féin position is clear. Nobody who has lost income as a result of this crisis should be worse off again as a result of cuts to income supports. To ensure that this happens, we believe that the emergency Covid payment should continue until the end of the year.

Is the Taoiseach really suggesting cutting payments to hundreds of thousands of workers by 40% overnight? What will these proposals mean for people working less than 40 hours per week, perhaps for 35 hours? What is going to happen to seasonal workers who work one or two jobs for most of the year but who were on less hours in January and February? What about them? Does the Taoiseach understand that the move he is proposing to make will drive households into debt? Has he factored that in? Does he understand that such a move will undermine the repair and growth of our economy? What of the ESRI's contention that a move to cut these payments would cause mortgage arrears? Have these issues been factored in?

These workers and families should not have learned of the Government's plan to cut their income from a newspaper. The way this Government handles matters is the height of disrespect. The Minister for Finance reassures people that everything is okay one evening and then the following morning, all across a national newspaper, is news that in fact incomes are going to be cut. These are real families in real time who have to provide for themselves, and as we speak today, the Taoiseach has caused incredible stress and grief for them. In the short time available, I ask the Taoiseach to answer my questions around seasonal workers and those working less than 40 hours per week. What of household debt that will inevitably follow from the cut that the Government is planning?

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