Parlon heckled as builders protest cuts

Director general of the Construction Industry Federation Tom Parlon was heckled and booed by picketing Siptu workers as he arrived for talks on wage cuts at the Labour Court this morning.

Mr Parlon who was meeting Siptu national organiser Noel Dowling was jeered by a group of about 20 picketers who said the construction industry had benefited most from the boom, while contributing most to the economic downturn.

As Mr Parlon stopped briefly to speak to reporters, arguing the Construction Industry Federation needed wage cuts to protect jobs, picketers chanted "no more cuts" and waved placards protesting at job losses.

Speaking as he arrived for talks Siptu national organiser Noel Dowling criticised Mr Parlon directly remarking that "he could walk out of a job as a Government minister and into a job representing the construction industry". Mr Dowling added that builders had "helped wreck the economy and now they are attempting to get the last drop of blood out of it".

Unions rejected calls from the CIF for a cut in building workers' pay ahead of the Labour Court hearing.

Unions are seeking the implementation of a 3.5 per cent pay rise under the national pay deal. However, the CIF wants a 10 per cent pay cut.

Chairman of Ictu's construction industry committee Noel Dowling last night said Mr Parlon's calls for pay cuts was "playing to the lowest common denominator" among employers. He accused Mr Parlon of pursuing a "short-sighted confrontational approach" to workers and their organisations.

"The reality is that, unlike sectors such as manufacturing, construction firms do not compete internationally with rivals in low wage economies. This is clear from the massive profits they made during the boom years from 2003 to 2007, when profits rose by 66 per cent. During the same period wages only rose by 22 per cent," said Mr Dowling.

"While activity has fallen sharply in residential housing, the most labour intensive sector, public projects have not been as hard hit and a price correction was necessary to curb excessive profit taking. Not alone are wages a smaller element in this sector but employers have also enjoyed the benefit of falling prices for building materials."

The CIF, however, claims the 10 per cent pay cut is necessary to save jobs in the industry, with the Government demanding lower tender prices for public capital projects, the use of fixed-price lump sum contracts and private clients seeking reduced prices.

It claims up to 55,000 jobs are at "immediate risk" in the next five months due to a lack of demand in the construction industry.

Seperately, the construction industry committee called on construction workers to join the Ictu demonstration planned for tomorrow. march organised by Ictu.

Mr Dowling said this morning that builders and developers were "the biggest beneficiaries of the economic boom and the first group of employers to walk away from their commitments to their workers and the wider community".

"It was their excessive profit taking and manipulation of the market that played a leading role in creating the present crisis."