Unions say State open to new jobs initiative

THE GOVERNMENT has told the social partners that it is prepared to engage “urgently and intensively” with them to develop innovative…

THE GOVERNMENT has told the social partners that it is prepared to engage “urgently and intensively” with them to develop innovative approaches to job- protection and creation.

It also said they could become closely involved in monitoring the effectiveness of specific commitments of the banks under the State recapitalisation scheme.

In a position paper on a new national recovery programme, the Government said the social partners could play a role in monitoring the effectiveness of the new statutory code of conduct for financial institutions on mortgage arrears.

It also said their “insights and views” could be reflected in decisions on and the implementation of “extremely difficult” cutbacks that would be needed in the years ahead.

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The Government’s position paper, circulated yesterday following a meeting between Taoiseach Brian Cowen and union leaders, effectively offers a new social partnership process in which key areas such as job-protections and creation, pensions and public sector reform would be considered priority issues. However the Government paper set out few specifics in these areas.

Unions are to meet with Government officials on the issues of jobs, pension supports and mortgage arrears and home repossessions in the coming days before a meeting of the executive of the Irish Congress of Trade Unions (Ictu) on Wednesday, which will decide on whether a national recovery agreement is possible.

Siptu president Jack O’Connor said last night there had been more substance to the talks with the Taoiseach than set out in the position paper.

Union sources said Mr Cowen had suggested the Government was open to a new jobs initiative if all sides could agree on a viable package of measures and a system to monitor its effectiveness.

The unions have been seeking a €1 billion State-investment programme in job-creation and protection measures – a plan backed largely by the employers’ group Ibec – as well as new measures to protect private-sector pension schemes which are in difficulties.

In its paper the Government said it believed the overriding objective in the social partnership process should be to develop effective responses to the jobs crisis.

It also said it was considering “further reforms” to make the social welfare system more responsive to the current crisis, “especially in supporting the maintenance of jobs in current labour market conditions”.

It said it was also looking at “further adaptation to the design and delivery of training employment\further and higher education programmes to reflect the more diverse profile of those now in need of them”.

The Government said that it was committed “to finalising as a matter of urgency” a comprehensive framework for future pension policy which responded to the challenges facing the Irish pensions system. It also said it was committed to “a collaborative approach to the transformation of the public service”.

The position paper said “appropriate arrangements in respect of pay, in both the private and public sectors, which can contribute to a peaceful industrial relations climate will also need to be developed as part of future arrangements”.

It said the State faced “the prospect of losing nearly 15 per cent of national income between 2008 and 2010, and unemployment rising to nearly 16 per cent”.

The Government said it also intended engaging with the social partners on the construction of economic and social arrangements for the longer term.

It suggested this could include how resources generated by a return to growth could be prioritised.